For most working-class families, the best way to buy a house is to borrow money, but many people are struggling with how many years it will take to pay off their mortgage when applying for a loan. So how many years of mortgage is the most cost-effective? How big is the summary of the rejection of mortgage application? Keep reading if you want to know!

First, how many years of mortgage is the most cost-effective?

Considering the loan interest and other issues, it is recommended that buyers set the repayment period as 15-20 years, which is the most cost-effective. Not only will the total amount of interest paid be less, but it will not have much impact on their daily lives. Of course, the economic conditions of each family are different, and the specific repayment period needs to be decided according to the actual situation of the individual.

Second, what is the probability of applying for a mortgage being rejected?

1. When applying for a mortgage, the bank has three criteria for examining the applicant, namely, the applicant's income level, credit status and the status of the house purchased. Once any one of them has problems, it may lead to the rejection of the mortgage application by the bank.

2. Under normal circumstances, as long as the applicant's income level and credit status are no problem, the mortgage application can be passed. In addition, many real estate developers now have cooperative relations with a bank, and buyers who apply for mortgages in cooperative banks will have a greater chance of success.

3. If the money borrowed by the applicant is used to buy a second-hand house, the bank needs to evaluate the second-hand house and then determine the down payment and loan amount after the evaluation. However, when banks receive real estate-related regulations such as purchase restriction and loan restriction, the review of mortgage loans will be very strict, and the materials provided by everyone must be complete and true, so the chances of applying for approval are greater.

Summary: The most cost-effective related content about how many years of mortgage is introduced here for everyone, hoping to help everyone. In short, applying for a mortgage is not as much as possible, so the pressure of repaying the loan in the future will be very great, and before applying for a mortgage, I suggest you know the local mortgage policy first and make full preparations!

How many years is the most cost-effective loan to buy a house?

The most cost-effective plan for how many years to buy a house loan is as follows: due to different personal circumstances, the time limit for applying for a mortgage is also very different. Specifically, it can be defined according to the following circumstances: 1, and the maximum period for individual housing loan application is 30 years; 2. The longest period for individuals to apply for commercial housing loans is 10 year; 3. Men should not be over 60 years old and women should not be over 55 years old. Generally speaking, the longer the loan term, the less the monthly repayment amount; The shorter the loan period, the higher the monthly repayment amount. If the income of buyers is relatively stable and high, it is suitable to choose short-term loans. The shorter the time, the less interest. For high-income people who just want to temporarily turn around, this can save a lot of mortgage interest. People with unstable income or low income need to consider their own income, so it will be more cost-effective to prolong their life. Although the choice of mortgage term is closely related to the economic strength of buyers, according to the current mortgage interest rate, in general, buyers are advised to choose the repayment term of 15-20 years, and the total interest paid in this case is relatively reasonable. If you choose 30 years, the interest will exceed the total loan amount at the current interest rate; If you choose 10, buyers will face greater pressure to buy houses.

How many years is the most cost-effective loan to buy a house?

What everyone should know is that there is no mortgage plan suitable for everyone, because the personal situation is different and the mortgage period varies from person to person. Specific can be defined according to the following circumstances:

1. The maximum term of individual housing loan is 30 years;

2. The longest term of personal commercial housing loan is 10 year;

3. Men under 60 years old and women under 55 years old.

The question of "how many years of mortgage loan is appropriate" cannot be generalized, but should be discussed according to the different income and economic situation of buyers. Generally speaking, the longer the loan term, the less the monthly repayment amount; The shorter the loan period, the higher the monthly repayment amount.

If the lender's income is stable and relatively high, it is suitable to choose short-term loans. The shorter the time, the less interest. For people whose high income is only for temporary turnover, this can save a lot of mortgage interest. For people with unstable income or low income, it is more cost-effective to lengthen the life span considering their own income problems.

Although the choice of mortgage period is closely related to the economic strength of buyers, in the eyes of experts, there are different mysteries. Judging from the current expected annualized interest rate of mortgage, under normal circumstances, it is generally recommended that buyers choose the repayment period of 15-20 years, so that the total interest paid is relatively reasonable.

How many years is the mortgage loan more cost-effective?

According to the national mortgage policy, the longest loan period is not more than 30 years, and the loan period plus the borrower's age is not more than 70.

Young type

Young people here refer to young people who are not married or just married.

For young people with average or weak repayment ability, it is suggested that the loan term 15-20 years is the most suitable.

Young people with strong repayment ability are advised to pay off their mortgage within 5- 10 years. Although it may be difficult in the early stage, once they have a mature job and a stable career, the burden on individuals or families will be much smaller.

Second, mature type.

Mature borrowers generally refer to people who are about to enter middle age or are in middle age or slightly past middle age.

This kind of people usually get married and have a stable job development.

For mature borrowers with average or weak repayment ability, it is suggested that the loan term is 20-30 years.

Note that the age plus loan period shall not exceed 70 years. For mature borrowers with strong repayment ability, the suggested term is 15-20 years.

Now you can choose the scope of the loan term according to your own situation. How many years is the mortgage cost-effective? For more details, please consult the bank or related professionals.

Mortgage, also known as house mortgage. Mortgage means that the buyer fills in the mortgage loan application form to the bank and provides legal documents such as ID card, income certificate, house sales contract and guarantee letter. The bank promises to grant loans to the buyer after passing the examination, and handle the registration and notarization of real estate mortgage according to the house sales contract provided by the buyer and the mortgage loan contract concluded between the bank and the buyer. The bank directly transfers the loan funds to the seller's account within the time limit stipulated in the contract.

housing loans

Personal housing loan refers to the loan issued by the bank to the borrower for purchasing ordinary housing for personal use. The borrower must provide a guarantee when applying for a personal housing loan. Personal housing loans mainly include entrusted loans, self-operated loans and portfolio loans. entrusted loan

Entrusted loans for individual housing refer to loans issued by banks to individuals who purchase ordinary housing according to regulations, and the source of funds is housing provident fund deposits. Also known as provident fund loans.

Self-operated loan

Personal housing self-operated loans are loans granted to individual buyers with bank credit funds as the source. Also known as commercial personal housing loans, the loan names of banks are different. China Construction Bank is called individual housing loan, and Industrial and Commercial Bank and Agricultural Bank are called individual housing guarantee loan.

Consortium lending

Personal housing portfolio loan refers to a loan issued to the same borrower with housing provident fund deposits and credit funds for the purchase of self-occupied ordinary housing, which is a combination of personal housing entrusted loans and self-operated loans. In addition, there are housing savings loans and mortgage loans.

Mortgage repayment methods: average capital, equal principal and interest, biweekly payment, etc.

Loan amount: 80% of the value of the loanable property after being audited by the bank.

Mortgage down payment: 30% down payment for the first home mortgage loan and 50% down payment for the second home mortgage loan.

Loan life: 30 years for first-hand houses and 20 years for second-hand houses. At the same time, the loan period plus the applicant's age must not exceed 70 years old.

Loan interest rate: the benchmark interest rate of the first home loan for more than five years is 6.55%, and the interest rate of the second home loan is 7.26% when the benchmark interest rate rises 1. 1 times.

How many years is mortgage loan cost-effective?

This problem can not be generalized, but should be discussed according to the different income of buyers and their own economic situation. If the lender's income is stable and relatively high, it is suitable to choose short-term loans. The shorter the time, the less interest.

For people whose high income is only for temporary turnover, this can save a lot of mortgage interest. For people with unstable income or low income, it is more cost-effective to lengthen the life span considering their own income problems.

For the specific situation, we will try to calculate the loan amount of 300,000 yuan, the benchmark interest rate of the loan (6.55%), and repay the principal and interest in equal amount. If the borrower chooses to pay off in 20 years, it needs to repay 2245.56 yuan per month, with total interest of 2344.8+08 yuan; If you choose 10 to pay off, you need to pay back 34 14.08 yuan per month, and the total interest is 109689. 16 yuan.

According to the above calculation results, we can see that the mortgage with a term of 10 is less than the mortgage with a term of 20 years 1 168.52 yuan per month, and the total interest is less 129245.02 yuan. In other words, the longer the loan term, the lower the monthly payment, but the higher the total interest expense;

The shorter the loan term, the higher the monthly payment and the lower the total interest expense. Therefore, it is cost-effective to buy a house loan for many years. For high-income people, the shorter the better; For low-income people, extending the repayment time is conducive to ensuring the quality of life.

Extended data:

First, housing provident fund loans to buy a house:

For residents who have participated in the housing provident fund deposit, loans to buy a house and low-interest loans for housing provident fund should be the first choice. Housing provident fund loans have the nature of policy subsidies, and the loan interest rate is very low, which is not only lower than the loan interest rate of commercial banks (only half of the mortgage interest rate of commercial banks), but also lower than the deposit interest rate of commercial banks in the same period.

In other words, there is a spread between the mortgage interest rate of the housing provident fund and the bank deposit interest rate. At the same time, when handling mortgage and insurance related procedures, the housing provident fund loan will be halved.

Second, individual housing commercial loans to buy a house:

The above two loan methods are limited to employees who pay housing provident fund, and there are many restrictions. Therefore, people who have not paid the housing provident fund have no chance to apply for loans, but they can apply for personal housing secured loans from commercial banks, that is, bank mortgage loans.

As long as your balance in the loan bank accounts for not less than 30% of the funds needed for house purchase, and it is used as the down payment, and the assets recognized by the loan bank are used as collateral or pledge, or the units or individuals with sufficient compensation ability are used as guarantors to repay the loan principal and interest and bear joint liability, then you can apply for using the bank mortgage loan to buy a house.

Third, individual housing portfolio loans to buy a house:

The maximum amount of provident fund loans that can be issued by the housing provident fund management center is generally1-290,000 yuan. If the purchase price exceeds this limit, the insufficient part shall apply to the bank for commercial housing loans. These two kinds of loans are collectively called portfolio loans.

This business can be handled by the real estate credit department of the bank. The interest rate of portfolio loans is moderate, and the loan amount is large, which is mostly used by loan buyers.

Personally, it is best not to borrow for more than 20 years under any circumstances, and some families even borrow for 30 years. It seems that under pressure, they actually pay too much interest, and they will always care about their loans mentally, and their quality of life may even decline.