When buying a house with a loan, the pricing method of mortgage interest rate is not only formed by adding LPR as the pricing benchmark. Although the central bank issued an announcement as early as August 25th, starting from June 8th, with 10 as the pricing benchmark, LPR with the corresponding term in the latest month will be added to form a new commercial personal housing loan interest rate. But this is only for personal commercial housing loans, and it is not linked to LPR housing provident fund loans.

The mortgage interest rate is 5.39. Do you want to transfer to LPR?

1. Previously, the percentage fluctuation was based on the benchmark interest rate, and the actual implementation interest rate was the benchmark interest rate multiplied by the proportion. Let's look at people who have gone up by 20%. The multiplier is 1.2, and the real interest rate is 4.9* 1.2=5.88, up by 0.98. Suppose the benchmark interest rate rises to 6.0, rising by 20%, which is actually 7.2, rising by 1.2.

2. Suppose that when the interest rate dropped to 4.0, it was actually 4.8, which actually increased by 0.8. It can be seen from this that according to the original system standard, when the interest rate rises, the floating real value becomes larger and larger, and when it falls, the floating real value becomes smaller and smaller.

3. According to the old system, the interest rate dropped and the actual floating value became smaller and smaller. In extreme cases, if the interest rate is 0, then the real interest rate is also 0, which does not reflect the floating value. How to maximize the bank's income when the interest rate drops, then we will fix this actual added value. Even if the extreme situation drops to zero, the bank will still have this floating fixed value. If the interest rate rises, the previous system is more beneficial to banks.

Why should LPR increase the basis point?

LPR is 10, and 8 newly-added city commercial banks, rural commercial banks, foreign-funded banks and private banks report their own loan interest rates, and then the National Interbank Funding Center removes the lowest price and the highest price to get an average preferential loan interest rate, which is LPR. The LPR interest rate of more than 5 years is the coordinate of the ordinary mortgage interest rate.

In this case, LPR is based on market bidding, which can better reflect the market interest rate compared with the benchmark interest rate set by the original central bank.

Bonus points: The specific bonus value of each loan shall be negotiated and agreed by the lending bank with the borrower according to the requirements of national and local housing credit policies and the comprehensive loan risk status. Once the added value is determined, it will be fixed throughout the contract period.