After the completion of LPR reform in 20 19, all new and existing commercial personal housing loan interest rates were formed by adding points on the basis of LPR in the same period. According to industry experts' analysis, this LPR adjustment will have an impact on new and existing personal housing loans. When commercial personal housing loans are added, the interest rate will be lowered immediately 15 basis points. On May 15, the central bank and the China Banking Regulatory Commission adjusted the lower limit of the interest rate of the first commercial personal housing loan in China from LPR to LPR-20BP, which will bring double benefits to new applicants and families who buy second homes will also benefit from it. For the existing commercial personal housing loans, after the interest rate agreed in the contract between the purchaser and the commercial bank is re-priced, it will also be lowered by 15 basis points. According to the loan amount of 500,000 yuan, the term of 30 years, and the equal repayment of principal and interest, the average monthly repayment can be reduced by about 45 yuan, and the interest payment can be reduced by about 1.6 million yuan in the next 30 years.
It is reported that since the LPR reform in August 2009, the five-year LPR has been lowered four times, from 4.85% to 4.6%, and further lowered to 4.45% after this adjustment. Different from corporate loans, individual housing loans have a long term. At present, more than 99% of individual housing loan interest rates are linked to LPR with a term of more than five years. Recently, the central bank and the China Banking Regulatory Commission issued the Notice on Relevant Issues Concerning the Adjustment of Differentiated Housing Credit Policies, which adjusted the lower interest rate limit of the first commercial personal housing loan from LPR to LPR at the national level to -20BP, and maintained the lower interest rate limit of the second home loan of LPR at 60BP. After this adjustment, according to the latest LPR calculation, the personal housing loan interest rate can reach 4.25% for the first suite and 5.05% for the second suite. The downward trend of LPR over the past five years is conducive to implementing the spirit of the the Political Bureau of the Communist Party of China (CPC) Central Committee Conference, supporting rigid and improved housing demand, reducing the pressure on residents' mortgage interest, stabilizing investment, consumption and macroeconomic fundamentals, and promoting the stable and healthy development of the real estate market.
In view of the impact of this interest rate adjustment on the current economy, Wen Bin, chief researcher of Minsheng Bank, said that this LPR quotation was only lowered for the first time for varieties with a term of more than five years. Structural interest rate cuts will have a positive effect on stabilizing the total credit and boosting the medium and long-term credit demand. At the same time, for the existing housing loans, the decline of LPR will reduce the cost of mortgage loans through the repricing of loans, which will not only help stabilize the real estate market expectations and promote real estate sales, but also help to promote the growth of consumer demand by reducing debt costs.
Related Q&A: Related Q&A: How to calculate the interest on the house loan? For example, I plan to buy a house with a total amount of 600,000 yuan. What is the interest on a loan of 400,000 yuan? Thank you for inviting me. How much interest is calculated according to the term of your loan and the bank's interest rate. If the interest rate is fixed, the interest rate will be different for different loan years.
Take your example: the loan is 400,000 yuan, the interest rate is the benchmark interest rate (4.90%), and the repayment method is equal principal and interest repayment. Compare the two loan years respectively.
1: Term 10 year, total repayment amount 5067 1.50 yuan, interest10/.5 yuan, monthly payment of 4223.338+0 yuan.
2: 20-year term, with total repayment of 628,266.29 yuan, interest of 228,266.29 yuan and monthly payment of 26 17.78 yuan.
So from the example, the interest rate is fixed, the shorter the loan term, the less the interest and the more the monthly payment. The longer the loan term, the more interest and the less monthly payment.
The above is personal experience, I hope I can help you.