In July 2020, the LPR was 4.65%, which can reduce the monthly supply after the change. According to the trend in recent years and the overall economic development, the interest rate shows a downward trend, and it is more cost-effective to switch to LPR. Of course, once selected, it cannot be changed, and there is also the risk that interest rates will rise for a long time to come.
Two methods are selected. The original repayment method is calculated according to "benchmark interest rate+floating ratio", with the benchmark interest rate variable and the floating ratio unchanged; The new method is calculated according to "loan market quoted interest rate (LPR) plus floating point". LPR is variable and floating point is constant.
According to Announcement [20 19] No.30 of the People's Bank of China, the interest rate level of personal mortgage is unchanged before and after the conversion. According to the new choice, the interest rate should be expressed as: LPR+ floating point. After the conversion, the mortgage interest rate is the same as before the first repricing date; From the first repricing date, the mortgage interest rate will become "the latest LPR+ floating point over five years"; And so on, every repricing day.
The impact of lowering the LPR interest rate is as follows:
1. The mortgage interest rate may be lowered.
The mortgage interest rates quoted by local banks are different, but they are basically formed in the form of LPR+ basis points. LPR interest rate refers to the quotation of the last month. According to the regulations, the loan interest rate of the first suite shall not be lower than the LPR interest rate of the same period, and the second suite shall not be lower than the LPR interest rate of the same period plus 60 basis points.
Because the term of housing loan usually exceeds 5 years, the mortgage interest rate is directly linked to the 5-year LPR interest rate. The 5-year LPR interest rate is lowered, so the mortgage interest rate may also be lowered.
However, it should be noted that at present, China's housing purchase policy has not been relaxed, and the principle that "houses are used for living, not for speculation" remains unchanged. Although the 5-year LPR interest rate has been lowered, banks still have the freedom to add some points on this basis.
Judging from the actual situation, the scope of bonus points in different regions varies greatly. This means that in cities with overheated housing prices, even if the 5-year LPR interest rate is lowered, the mortgage interest rate may not be lowered because of the high point.
2. Good for the stock market.
The reduction of LPR interest rate means the reduction of loan interest rate, which is a signal of interest rate reduction and is good for the stock market. After the latest LPR interest rate was announced in June 165438+ 10, the offshore RMB against the US dollar and 10-year treasury bond futures both rose slightly.