1. The loan term is usually between 1 and 25 years, depending on the age of the borrower and the remaining years of the collateral.
2. The calculation method of the loan period is: 70 minus the age of the applicant, or the older of the applicant and his wife.
3. The calculation method of the remaining life of the collateral is: the service life of the building (50 years for brick-concrete structure and 60 years for steel-concrete structure) minus the service life and then minus 3 years.
4. To apply for housing provident fund and individual housing portfolio loans from commercial banks, the longest service life is adjusted from 70 years to 65 years, and the loan life is calculated according to the formula.
Provisions on the use of housing provident fund:
1. restrictions on use: the housing accumulation fund is mainly used to purchase, build, renovate or overhaul self-occupied housing;
2. Extraction conditions: The extraction of housing accumulation fund must meet certain conditions, such as purchase contract, real estate license, etc.
3. Loan amount: The loan amount is usually related to the deposit amount and deposit term, and different regions have different regulations;
4. Loan interest rate: the loan interest rate of housing provident fund is generally lower than the commercial loan interest rate, with certain concessions;
5. Repayment method: Repayment method includes equal principal and interest, average capital, etc. , to choose according to personal circumstances;
6. Joint account: Both husband and wife can merge their respective housing provident fund accounts and increase the loan amount.
To sum up, the term of the housing provident fund loan is no longer than 25 years, and the specific term depends on the older borrower or his spouse (70 years is the upper limit, and the combined loan is 65 years) and the remaining years of the collateral, and is determined by the service life of the building minus the service life plus 3 years.
Legal basis:
People's Republic of China (PRC) Civil Code
Article 667
A loan contract is a contract in which the borrower borrows money from the lender, repays the loan at maturity and pays interest.
Regulations of People's Republic of China (PRC) Municipality on the Administration of Housing Provident Fund
Article 26
Workers who have paid housing provident fund can apply for housing provident fund loans to the housing provident fund management center when purchasing, building, renovating or overhauling their own houses.
The housing provident fund management center shall make a decision on whether to grant loans within 15 days from the date of accepting the application, and notify the applicant; Where a loan is granted, the entrusted bank shall go through the loan formalities.
The risk of housing provident fund loans shall be borne by the housing provident fund management center.
Article 27
Applicants who apply for housing provident fund loans shall provide guarantees.