Can Provident Funds be used for loans to renovate houses?

Housing Provident Funds cannot be used for loans to renovate houses, because renovating houses is not within the scope of use of Housing Provident Funds. Everyone needs to note that although housing provident funds can be used to purchase, build, renovate, and overhaul self-occupied housing, the meanings of overhaul and decoration are different.

Overhaul refers to a kind of house reinforcement and repair behavior that requires the removal or removal of some main components of the house, but does not require the complete demolition of the house; decoration refers to the superficial decoration of the original house structure. and grooming behavior inside the house.

In real life, employees apply for provident fund loans mostly to buy houses. If you don’t have enough money to renovate your house, it is recommended to go directly to the bank to apply for a renovation loan. You can also apply for a consumer loan from other licensed financial institutions. Or if the bank provides special large-amount credit card installment services, you can also apply for a credit card home improvement installment.

In addition to purchasing, building, renovating, and overhauling self-occupied housing, the housing provident fund can also be used to repay the principal and interest of housing loans. Households without a house can also use it to pay rent that exceeds the prescribed proportion of family income.

Extended information:

Individual application for provident fund loan process:

If an individual has needs such as buying a house, building, renovating and overhauling a house, renting a house, decorating a house, etc., he or she can apply for a provident fund loan. Loan, the specific process is as follows:

1. The borrower brings all the loan materials, submits a written application to the local Housing Provident Fund Management Center outlet, and fills in the "Housing Provident Fund Loan Application Form";

2. The Housing Provident Fund is responsible for reviewing borrowing qualifications, guarantor qualifications, loan amounts, loan terms, etc.;

3. After passing the review, the borrower signs relevant loan contracts and agreements, and applies for insurance;

4. The Housing Provident Fund Center issues a loan approval notice to the bank, and entrusts the bank to organize the materials and take them to the real estate transaction department to handle the mortgage and pledge procedures;

5. After the mortgage and pledge certificates are issued, the bank organizes the borrower's materials Submit it to the provident fund management agency for re-examination;

6. The application is approved for bank loan.

Note that you cannot apply for provident fund loans in the following four situations:

1. The building structure is a brick-wood structure or a mixed structure;

2. The purpose is non-residential Housing and low-density commercial housing;

3. Have used housing provident fund loans twice;

4. Do not meet other provident fund loan conditions, etc.

Provident fund loan application conditions:

Provident fund loan is a loan available to employees who have paid into the housing provident fund. As long as you have paid into the provident fund, you can follow the relevant provisions of the provident fund loan. Go apply for a personal housing provident fund loan. The application conditions for provident fund loans are as follows:

1. The applicant has a permanent residence in a certain city or a valid residence certificate.

2. Applicants must have paid and deposited the housing provident fund in full for at least 12 consecutive months before applying, or have continuously paid and deposited the housing provident fund for more than 12 months after withdrawing the provident fund.

3. Applicants need to have a legal and stable job and income, stable economic income and the ability to repay loans.

4. The applicant needs to have a contract or relevant supporting documents for purchasing, constructing, renovating, or overhauling ordinary housing for self-occupation in this city.

5. The applicant must have good personal credit, meet other conditions stipulated by the Provident Fund Center, and agree to provide guarantee in accordance with the guarantee method approved by the Provident Fund Center.

6. If it is a couple, both spouses must have no outstanding housing provident fund loans and housing provident fund policy discount loans.

Of course, provident fund loan policies may vary from place to place. It is best for you to consult with the relevant local departments and the actual situation shall prevail.

Can Provident Fund be used for renovation loans?

Yes.

The provident fund can be used for loan renovation, and the following conditions need to be met:

1. Generally, the area of ??the house for renovation is required to be greater than 70_, and the age of the house should be less than 15 years.

2. The standard limit for provident fund decoration loans is generally 1,000 yuan/_, which may be relaxed to 2,000 yuan/_ in the future.

3. You cannot apply for a new provident fund housing loan if your provident fund renovation loan has not been paid off. Owners who need to buy a house in the short term should not easily take out a provident fund renovation loan.

4. The repayment of the provident fund decoration loan in the first two months requires cash to be deposited into the repayment account before it can be offset by the provident fund. After getting the loan, do not withdraw all the money in the account, at least leave The repayment amount for the next 2 months to avoid repayment default.

Notes on using provident fund loans

Repayment method of provident fund: The repayment method also has different requirements in different cities. Generally speaking, there is an equal amount of principal (the first month There are three repayment methods: larger repayment amount, which will be reduced once a month thereafter), equal principal and interest (the same monthly repayment amount), and free repayment. You can also apply for a provident fund offset loan, that is, entrust the bank to withdraw the balance in the provident fund account to repay the loan.

Early repayment: If you want to consider early repayment, according to the relevant provisions of provident fund loans, it must be made after one year of repayment, and the amount of early repayment must exceed 6 monthly repayment amount.

For the above content, please refer to People’s Daily Online - Can I apply for a housing provident fund loan for house decoration?

How to apply for a provident fund loan for renovation

How to apply for a provident fund loan for renovation:

1. To apply for a provident fund loan for renovation, the materials you need to prepare: ID card (if any) For spouses, you also need to prepare the other party’s ID card (if you are married, you need a marriage certificate); proof of income; proof of provident fund payment; real estate certificate/house purchase contract, renovation contract, budget book and renovation invoice, receipt of no less than 20% of the down payment of the house .

2. After submitting the application according to your own house type, the bank will review the real estate developer and guarantee company, and will report the applicant's information and other information to the Housing Provident Fund Management Center, and then conduct review. The review time is generally 40 days.

3. If the application is approved, the Provident Fund Management Center will notify the applicant and sign a loan contract with him.

Can provident fund loans be used for decoration?

Can provident fund loans be used for decoration?

The functions of housing provident fund:

1. Purchase a house. When we buy a house, we can use provident funds for loans and enjoy preferential interest rates, and the payment is also very fast.

2. Used to pay rent when renting a house. Maybe many friends only know that provident funds can buy a house, but don’t know much about provident funds for renting. Nowadays, it is quite convenient to rent a house with provident fund. We only need to submit relevant materials and certificates to withdraw the provident fund for renting.

3. Treat major diseases. When a family member suffers from a serious illness or requires major surgical treatment, employees who have paid provident fund can withdraw the provident fund. Of course, the date of application should be within 1 year from the date of discharge.

4. Use in building, renovating and decorating houses. If you are not buying a house in the city, you can use your provident fund to build and renovate your house. If you have already purchased a house in the city, you can also withdraw your provident fund to renovate the building.

To withdraw the housing provident fund, employees must first provide their ID cards and copies, as well as relevant supporting documents. For example, if you withdraw the provident fund for buying a house, you need to provide the "Commercial Housing Pre-Sale Contract" and Down payment receipt.

Can house renovation be used for provident fund loans?

Yes. Provident fund renovation loan is another form of provident fund loan mortgage to buy a house.

1. The borrower must have a permanent urban residence or valid residence status

2. From the date of application, the housing provident fund must be paid in full for more than 12 months (both husband and wife) Only one person is allowed to borrow if the provident fund is deposited)

3. Have contracts (agreements) and related materials for house purchase, construction, and overhaul of self-occupied houses that comply with legal provisions

4. A certain percentage of self-financing. To purchase commercial housing or affordable housing, self-raised funds must be no less than 20% of the total house price (for purchases of second-hand houses or to build or overhaul housing, self-raised funds must be no less than 30% of the total house price)

5. Have stable economic income and the ability to repay the principal and interest of the loan (monthly income certificate issued by the employer)

6. Agree to use the purchased house or a self-owned house with full property rights or a third-party house Make a mortgage, or use securities or bank time deposit certificates recognized by the lending bank for pledge, or provide guarantees by legal persons, organizations or third parties recognized by the lending bank

Personal housing provident fund loans are provided by the state for employees policy-based low-interest housing loans.

It refers to a borrower who has paid the housing provident fund in full and on time, and when purchasing, constructing, or overhauling a self-occupied house, uses the purchased (built) house or other ownership property as a mortgage or pledge, or a third party provides The loan provides guarantee and assumes joint liability for repayment of principal and interest, and applies to the housing provident fund management center for a housing loan with housing provident fund as the source of funds.

Reference link: Baidu Encyclopedia_ Provident Fund Decoration Loan

Can housing provident fund loans be used to finance renovations?

Yes.

Housing provident fund loans include: new house loans, second-hand house loans, self-built housing loans, housing decoration loans, commercial housing loans converted to provident fund loans, etc. Therefore, housing provident fund loans can be used to finance renovations.

The maximum limit of personal housing provident fund loans generally does not exceed 200,000 yuan. Those exceeding 200,000 yuan will be reviewed and approved by the central loan review committee. Generally, the loan amount is determined based on the borrower's monthly repayment amount not exceeding 50% of his or her family income.

The following information is required to apply for a provident fund decoration loan:

1. Identity certificate of the borrower and spouse (ID card, household register, marriage certificate or divorce certificate, judgment, ruling, issued by the unit Certificate of unmarried or divorced and not remarried, etc.).

2. Documents proving stable economic income (certificate of unit salary income, etc.).

3. Proof of payment of housing provident fund.

4. House purchase contract and agreement signed with the selling unit (if you build a house yourself, you need to provide land and planning department approval).

5. I and my spouse *** both fill in the loan application approval form.

6. A receipt for the house payment (down payment) of no less than 20% of the total house price is required (for purchasing a private house, building or overhauling a self-occupied house, a self-financed deposit of no less than 30% of the total house price is required. Proof of funds).

7. List of pledge rights and ownership certification documents issued by the borrower (or written commitment issued by the guarantor agreeing to provide guarantee).

Extended information:

Provide fund loan application process

1. Submit application

To build or overhaul a self-owned house, the land and planning With the approval document from the management department, go to the Housing Provident Fund Management Center to apply for a loan.

2. Bank or financial institution for review

The housing sales unit or guarantee company shall submit the borrower's information, together with the purchase contract, down payment receipt and other materials to the Municipal Housing Provident Fund Management Center for approval.

3. Sign a renovation loan contract

After approval by the Housing Provident Fund Management Center, the borrower will be notified to sign a loan contract with the bank. And handle relevant procedures such as contract notarization and mortgage insurance.

4. Find a guarantee

5. After passing the review, the bank will lend money

After the borrower has completed all the above procedures, the center will issue an "Approval" to the entrusting bank. Loan Decision Letter", notifying the bank to lend.

6. Repayment at a later stage.