You can also choose a fixed interest rate when buying a house. After the lender chooses a fixed interest rate, the mortgage interest rate will remain unchanged and will not be affected by the change of LPR. If the floating interest rate of LPR is selected, the mortgage interest rate of the lender will change with the change of LPR in the future, which will affect the monthly payment. When LPR decreases, the repayment amount will decrease, but if LPR increases, the repayment amount will also increase.

Choose fixed interest rate or floating interest rate for housing loan.

1, the fixed interest rate is actually very easy to understand, that is, the monthly repayment interest rate is the same, and the monthly repayment interest is the same. You just need to prepare the same repayment amount every month. The advantage is that you don't worry about growth, because it has been agreed in advance.

2. Floating interest rate, referred to as LPR. After LPR is March 1, the original fixed interest rate contract can be converted into a floating interest rate contract, and every mortgage repayment person has and only has a certain opportunity to change it.

Is it better to buy a house with a floating interest rate or a fixed interest rate? Since the addition point is fixed, it depends on your personal judgment on the change of LPR trend. If you think that LPR will decrease in the future, it is more cost-effective to choose "LPR+ bonus" floating interest rate, because the interest will be less; If you think LPR will rise, it is more cost-effective to choose a fixed interest rate. China Construction Bank said that if it is converted to LPR, the mortgage interest rate will be more market-oriented. In the future, every interest rate adjustment day will be adjusted with the change of market interest rate level. If LPR is reduced, you can enjoy the benefits of interest rate cuts. If it is converted into a fixed interest rate, the interest rate level will remain unchanged. However, it should be emphasized that because everyone has different judgments on the future trend of the LPR interest rate market, they have different conclusions.

These two interest rates have their own advantages and disadvantages. If the lender judges that the LPR interest rate will be higher than 4.9% in all future mortgage repayments, then you can choose the current fixed interest rate unchanged. If you judge that in all future mortgage repayments, if the LPR interest rate will be lower than 4.9%, then choose floating LPR interest rate.