Now people will basically choose loans to buy houses. The state also supports provident fund loans to buy houses. But for young people who have just joined the work for a short time, even if they have no choice, they have to carry the mortgage on their back and start early. We know that the loan to buy a house, the repayment cycle is generally relatively long, during this period, the situation of people who can suddenly afford the house price in full is not without. Then some people asked, can the mortgage be returned in advance? Let's see the small series for you.
1. Prepayment time is important
There are many types of housing loans, such as provident fund loans, bank housing loans, commercial combination and other ways. Each bank and mode is different. For example, according to the relevant provisions of provident fund loans, part of the prepayment should be put forward after the loan has been repaid for one year, and the amount returned should exceed the repayment amount of six months. And most of the commercial banks also need to repay a year before they can apply for prepayment, and they are likely to face huge penalty interest!
2. Prepayment is not cost-effective
Many people don't like to be in debt, even in the bank. Therefore, many people want to pay off the money they owe in advance if they are well-off. On the other hand, they also want to save a sum of interest. However, many people are blind. If they pay in advance according to their mood, they often ignore the most important point, that is, the repayment method chosen at the beginning.
In this way, the amount of repayment of the loan will be the same as that of the total amount of the loan, which is the amount of interest that needs to be paid off over the same period of time.
There is another way is equal amount of principal and interest. The amount of monthly repayment is the same, but after paying off all the mortgage loans, it will be found that the interest generated by the equal principal and interest is much more than that of the equal principal and interest, and it is very uneconomical to prepay the same amount of principal and interest.