With the rising house prices, buying a house by loan has become a common way to buy a house, so many people think that the higher the loan, the better, which can make better use of leverage and reduce the pressure of buying a house; Others think that the more loans, the more interest needs to be repaid, which is not cost-effective. Do you want to borrow more or less to buy a house by loan?

Of course, this also depends. If your assets are in good condition and the bank has a lot of deposits, but there is no other channel to invest and the income is high, then you can choose to borrow less and the interest will be less. Another situation is that if all the money in hand is invested in wealth management products such as funds and futures, and the yield is higher than the interest paid, then choose to borrow more.

Why choose to borrow more?

be economical

First of all, of course, it is more economical! Secondly, when we buy a house, the mortgage interest is relatively low. If there is a provident fund, it will be even lower! And as we all know, especially when we buy the first house, the basic down payment is generally about 30% of the total amount. If we apply for a loan, it is best to pass the remaining house payment.

② Anti-inflation.

Money has been depreciating. Buying a house with a loan is to overdraw your future achievements in advance to enjoy your present life, and you may earn more in the future than you do now. In addition, the annual inflation rate is about 10%. If the mortgage interest rate of about 4% is deducted, it is still cost-effective to buy a house with a loan.

③ Meet the emergency needs.

At present, most families are working families, and their monthly income is relatively fixed. If you spend all your savings on buying a house, you will panic in case of an emergency. After all, having cash in hand is much more practical than having no money. If you can, you can also use idle funds to make other investments, so as to obtain other income.

How to get a loan depends on the actual situation. Buying a house with a loan must first consider the total house price that you can afford. Generally speaking, the down payment of a house will not be less than 20% of the total price, so when choosing a house, new people should consider the total price, down payment and monthly repayment they can afford. Under normal circumstances, it is best to control the monthly repayment amount of newcomers within 50% of the total family income, so as to basically ensure that daily life is basically unaffected.