1. Equal principal and interest repayment method: the principal and interest of the mortgage loan are evenly distributed among the fixed monthly repayments within the loan term, and the monthly repayments are equal. The repayment amount in previous years was mainly interest, and gradually became the principal in the later period. This method is suitable for buyers with stable income, because the monthly repayment amount is the same, and it is easier to plan family finances.
2. average capital repayment method: the principal of mortgage loan is gradually reduced in the fixed repayment amount every month, and the interest is calculated according to the remaining principal. As the principal decreases month by month, the monthly repayment will gradually decrease. This method is suitable for the situation that the future income of buyers is expected to increase gradually and they can bear a higher down payment.
It should be noted that the specific mortgage payment methods may be different due to factors such as countries, regions and banks. When choosing the method of mortgage payment, buyers should choose according to their own specific situation, financial situation and preferences, and consult banks or financial institutions for detailed repayment plans and interest rate information.