Summary of announcement of stock mortgage conversion: The following four points are summarized from the announcement of stock floating interest rate pricing benchmark conversion:
(1) March 20201to August 3 1 to convert the existing mortgage interest rate;
(2) It can only be converted once, and cannot be converted repeatedly;
(3) It can be converted into a fixed interest rate or a floating interest rate (the floating interest rate will be re-priced after one year);
(4) The last re-pricing cycle does not need to be turned over, and it will be repaid at the benchmark interest rate of the original loan of the central bank.
The existing loan interest rate is 5. 145%. Should we change it to LPR now? We have learned about the announcement of stock mortgage conversion, and we can know that the mortgage with the previous benchmark interest rate will definitely be changed to LPR pricing mode, so I personally suggest that it is best to take this opportunity to change it to LPR floating interest rate.
Why change it to LPR?
The country should find that for the sake of economic progress, the original benchmark loan interest rate can only be adjusted by upward adjustment or discount, so the adjustment of capital loan interest rate is relatively rigid and not so flexible. The biggest drawback is that it cannot be adjusted in time according to the market economy.
And with the national decision, the benchmark loan interest rate will be represented by LPR. LPR+ basis point? It is necessary to change and adjust it once a month, which is more in line with the actual situation and timely adjust the loan interest rate. Therefore, the original benchmark loan interest rate contract must be changed into a mortgage contract with LPR pricing mode, so as to comply with the policy and cooperate with the policy-oriented implementation.
Secondly, there is another reason to change, that is, the change time is only six months, and it can only be changed once, so we should cherish the time and frequency. If you miss this opportunity, you won't have the opportunity to change the LPR pricing model in the future, which is also the main reason why I personally suggest that you change it.
It is suggested to change to floating loan interest rate.
According to the original mortgage interest rate of 5. 145%, it is on the high side, rising by 5% on the basis of the original benchmark loan interest rate of 4.90%. Since the original loan interest rate is on the high side, it is necessary to use the current stock mortgage conversion work to change to floating interest rate, and strive for the opportunity to lower the loan interest rate for yourself.
Therefore, changing from the original benchmark fixed interest rate to LPR floating interest rate has won an opportunity for lowering the mortgage interest rate in the future, saving the loan cost and paying less loan interest, which is the biggest reason for changing to floating interest rate.
If we don't change the floating interest rate this time, we will still follow the fixed loan interest rate. In the future, this interest rate will remain unchanged, no matter how much LPR the country will reduce in the future, it has nothing to do with the fixed interest rate.
According to China's current loan interest rate, under the premise that China's economy will continue to develop steadily in the future, there will be a lot of room for downward adjustment of the future loan interest rate, which can be explained from three aspects.
(1)20 19 In August, China officially implemented the loan interest rate based on LPR, and then lowered it twice in the following months, showing a downward trend.
(2) We can refer to the loan interest rates of developed countries in the world, such as American loan interest rate 1%, Japanese negative loan interest rate 0. 1%, UK 0.75%, Korea 1.25% and so on. However, China's one-year loan interest rate is 4.05%, far exceeding the loan interest rate of other developed countries, which shows that there is still a lot of room for lowering the loan interest rate in China.
(3) The more developed the economy is, the lower the loan interest rate will be, and China's economy will definitely get better and better in the future and maintain steady growth. With the economic growth, the loan interest rate will definitely decline, which shows that the downward trend of LPR in the future is inevitable.
abstract
Based on the above analysis and understanding of the relevant provisions of stock mortgage conversion, we can draw a choice. The original mortgage interest rate of 5. 145% must be changed and changed to a floating interest rate. Only in this way can we meet the policy orientation, and at the same time give us the opportunity to lower the mortgage interest rate, killing two birds with one stone, so we must change to LPR pricing model.