From the perspective of income, the average rate of return of bank personal housing loans is higher than other types of assets. From the risk point of view, the risk of individual housing loan is low. If banks are free to choose, the more they allocate, the less they will. Therefore, banks raise the interest rate of real estate loans not based on the consideration of income and risk, but also in response to the national policy of "staying and not speculating". The increase in the interest rate of housing loans increases the cost of real estate speculation and is conducive to limiting the excessive growth of housing prices.

Personal mortgage banks have low bad debt rate and high average yield.

Take China Construction Bank as an example,

At the end of 20 18, the balance of personal loans of China Construction Bank was 5.84 trillion yuan, including 47,500 yuan, accounting for 8 1.33% of personal loans. Personal loans increased by 12.44% year-on-year, and the interest income of personal loans was 236.588 billion yuan, second only to corporate loans, but the average yield of personal loans was 4.58%, the highest among all kinds of loans, and the average yield of corporate loans was 4.33%.

In 20 18, the NPL ratio of China Construction Bank was 1.46%, of which the NPL ratio of corporate loans was 2.6%, and the NPL ratio of personal loans was 0.4 1%, and the NPL ratio of personal housing loans accounting for over 80% was only 0.24%.

To sum up, the average rate of return brought by personal housing loans is high and the bad debt rate is extremely low. From the perspective of income and risk, banks definitely want to issue more personal housing loans, but why should banks provide mortgage interest rates? This is to respond to the national policy of "housing and not speculating", increase the cost of real estate speculators, and then control the excessive growth of housing prices.

From April 2065438 to April 2009, the the Political Bureau of the Communist Party of China (CPC) Central Committee Conference reiterated the position of "housing and not speculation" and implemented a long-term regulation mechanism of "one city, one policy, policy for the city, and the main responsibility of the city government". On July 30th, the meeting of the Political Bureau of the CPC reiterated that "houses are for living, not for speculation" and proposed for the first time that "real estate should not be used as a short-term means to stimulate the economy".