How to apply for a reduction in mortgage interest

When taking a loan to buy a house, many people take a commercial loan. The interest rate is determined by the bank that borrows the loan. The bank stipulates that the personal housing loan interest rate shall be based on the latest month. The loan market quotation rate LPR of the term is formed by adding points to the pricing benchmark, that is, the interest rate level = the LPR plus points value of the corresponding term in the last month. However, there is room for coordination in the final loan interest rate.

If you plan to buy a house with a loan, then take a look at the latest LPR interest rate announced by the market. The interest rate is the lowest for the first home. As the number of loans to buy a house increases, the interest rate will rise accordingly. Furthermore, banks The final loan interest rate is determined based on the lender's loan qualifications. A strong repayment ability and good credit will help reduce the loan interest rate. If you have already taken out a loan to buy a house, you cannot apply for a lower mortgage interest rate. If the interest rate is floating, the bank will adjust its mortgage interest rate during the re-pricing cycle selected by the lender. 1. The interest rate of a first-time personal home renovation loan shall not be lower than the LPR of the corresponding period.

2 The interest rate for a second personal housing loan shall not be lower than the LPR plus basis points for the corresponding period.

3 The provident fund personal housing loan interest rate policy will not be adjusted for the time being.

4 If you have already taken out a loan, you can only wait until the repricing cycle, and the bank will change it according to the latest LPR adjustment.

When applying for a loan to buy a house, you must ensure that the interest rate is low. First, apply when the market LPR quotation is low. Second, improve your loan qualifications and choose a bank with a closer relationship with you to apply. If the interest rate is finally determined If it is higher, it is recommended to choose floating interest rate. Can I apply for an interest reduction on my mortgage interest?

I cannot apply for an interest reduction on my mortgage interest.

Generally speaking, the user’s mortgage interest rate is fixed at LPR. Even if the LPR is lowered, the user’s mortgage interest rate will not change, and users are not supported to apply for an interest rate reduction from the bank. If the user's mortgage interest rate implements LPR floating interest rate and the LPR decreases, the mortgage interest rate may decrease accordingly. The specific content depends on the agreement between the bank and the repayer.

How many months can I be in arrears on my mortgage?

According to the bank's handling of overdue loans, the suspension of mortgage payments cannot exceed three months at most. After more than three months, the bank will choose to sue the home buyer considering the safety of the funds. If the homebuyer is still unable to repay the debt after being sued, the bank will ask the court for enforcement.

After being enforced, the buyer's house will be recovered by the court and directly auctioned. The money from the auction is used to repay the debt, and if there is any leftover, it goes to the home buyer. But in auctions, because the price set by the court is generally much lower than the market price, it is difficult to achieve a high price. Can I apply for adjustment of the mortgage base point?

The mortgage base point cannot be adjusted. The mortgage base point is determined by the bank after a comprehensive assessment of the user's credit qualifications. Once determined, the bank will not change the mortgage base point. The better the user's credit qualifications, the smaller the base points added to the mortgage interest rate will be. Users can actively improve their personal comprehensive credit score before applying for a mortgage, which will help reduce the basis point of the mortgage.

Once a mortgage contract has been signed, the mortgage base point is fixed. With subsequent adjustments to the LPR operation, the mortgage base point will remain unchanged. The role of the mortgage base point is that the user's mortgage interest rate is higher than the LPR of the corresponding period. Therefore, the mortgage base point must be a positive number, and for second-home loans, the mortgage base point also has a minimum additional point requirement, that is, it cannot be less than 60 basis points.

Although the mortgage base point is fixed, as long as the LPR is lowered, the mortgage interest rate will also be lowered, so that the user's mortgage interest can still be reduced. Can the mortgage be reduced after adding 150 basis points to the mortgage?

If the interest rate agreed upon when signing the mortgage contract is to add 150 basis points to the LPR, then the basis points will remain unchanged once determined and cannot be adjusted. However, this does not mean that mortgage interest rates cannot be lowered in the future. In addition to commercial loans, housing loans can also be provided with provident fund loans. However, provident fund loans are subject to the central bank's benchmark loan interest rate and are not linked to LPR and do not involve any basis points.

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