Calculation formula of home loan interest rate

Loan interest is a kind of principal interest paid by home buyers according to the interest rate specified by the bank when they borrow money from the bank. The calculation formula of interest is:

Interest = principal × interest rate × deposit period (that is, time).

The calculation of mortgage interest will vary depending on the loan method and mortgage repayment method.

According to different mortgage repayment methods, mortgage interest calculation can be divided into two calculation methods: equal principal and interest and equal principal. To calculate mortgage interest, you must first understand the basic knowledge of interest:

The interest rate conversion formula for RMB business is (note: common for deposits and loans):

1. Daily interest rate (0/000) =Annual interest rate()÷360=Monthly interest rate(‰)÷30.

2. Monthly interest rate (‰) = annual interest rate ()÷12.

Extended information:

There are two calculation formulas according to the general mortgage repayment methods:

1. Calculation formula of equal principal and interest:

Calculation principle: From the monthly monthly payment, the bank first collects the interest on the remaining principal and then the principal; the proportion of interest in the monthly payment will decrease with the reduction of the remaining principal, and the principal will be charged in the monthly payment. The percentage in has increased due to the increase, but the total monthly payment remains the same.

What needs to be noted is:

1. The maximum amount of provident fund loans in various cities should be considered based on local conditions;

2. For those who have already taken a loan to purchase a house However, if the per capita area is lower than the local average, residents who apply to purchase a second ordinary owner-occupied house will be subject to the preferential policies for purchasing an ordinary owner-occupied house with a first loan.

2. Calculation formula of equal principal:

Monthly repayment = monthly principal, monthly principal and interest

Monthly principal = principal/ Number of repayment months

Monthly principal and interest = (principal - total cumulative repayment) Decrease due to decrease in remaining principal.