Which is better, fixed interest rate or floating interest rate?
1 The remaining life of the mortgage is 5 years, and the fixed interest rate is selected. Because the mortgage has been paid almost, and the interest has been collected by the bank, there is not much to save if you want to save money. If you choose LPR interest rate, you will have to pay more interest if the interest rate rises, which is not cost-effective.
2 the remaining life of the mortgage is between 6- 10 years, and the fixed interest rate can be changed to LPR interest rate. At present, China's economy is still stable in five years, the possibility of inflation is relatively small, and interest rates are still falling, so it is more cost-effective than fixed interest rates.
3 The remaining life of the mortgage is between 1 1 ~29 years, and the fixed interest rate is better. Because there is still a long time to repay the loan, no one can predict the economic changes in China. If there is inflation, the LPR interest rate will rise, which is not cost-effective.
The difference between fixed interest rate and floating interest rate of mortgage loan;
The fundamental difference between floating interest rate and fixed interest rate of mortgage is whether the interest rate can be adjusted during the loan period. Floating interest rate means that users choose a certain market interest rate as the base interest rate when lending, and then add a certain proportion determined by the bank to the base interest rate for calculation, and the base interest rate will change. Fixed interest rate is to set a loan interest rate when handling a loan, which will not change during the loan period.
The above views only represent the views of some netizens. How to choose interest rate depends on individual's estimation of economic development. How to choose depends on your own careful consideration. Everyone has the right to choose only once, and once he chooses, he cannot change it.