The central bank has issued new regulations! From March next year 1 renegotiate the contract interest rate of personal mortgage.

19 Announcement No.30 (20 19) issued by the People's Bank of China on February 28th has aroused widespread concern and heated discussion in the society. Because the announcement not only involves ordinary loan products, but also involves the mortgage interest rate of thousands of households. From March 1 to August 3 1 next year, it may be necessary to renegotiate the personal commercial mortgage interest rate contract signed between the property buyers and the bank. It is pointed out in the announcement that before June 5438+1 October1in 2020, customers can negotiate with financial institutions to decide the mortgage interest rate: fixed interest rate or LPR pricing. The "changing anchor" LPR of the stock floating interest rate loan pricing reflects the advancement of the interest rate marketization process, but how to choose the two options of "repricing"?

Re-pricing (usually price increase)

The interest rate benchmark can only be converted once.

LPR generally refers to the market-oriented benchmark loan interest rate. On August 19, the central bank issued an announcement to reform and improve the formation mechanism of the loan market quotation rate (LPR), and the new loan interest rate turned to LPR pricing. Before the implementation of LPR, the benchmark interest rate of central bank loans was the yardstick of mortgage interest rates of major banks. The announcement mainly clarifies the pricing benchmark of floating rate loans, especially how the interest rate of individual housing loans shifts to LPR pricing.

First of all, it is clear in the announcement that from June 5438+1 October1day, 2020, all financial institutions shall not sign floating rate loan contracts with reference to the benchmark loan interest rate. This means that the pricing of stock floating rate loans officially "changes the anchor" LPR pricing.

For the floating interest rate loans (excluding provident fund personal housing loans) issued by financial institutions before 65438+ 10/2020, and those that have signed contracts but have not been issued with reference to the benchmark interest rate, that is, from March 1 2020, the stock floating interest rate loans will be determined through consultation with the stock floating interest rate loan customers, and the interest rate pricing method agreed in the original contract will be changed to LPR. It can also be converted into a fixed interest rate.

In other words, the borrower can negotiate with the bank to choose a fixed interest rate or "LPR plus point" as the pricing benchmark, but the borrower can only have one choice, which cannot be changed after conversion. In the last repricing cycle, the floating-rate loan of inventory shall not be converted. Moreover, the announcement also stipulates the selection period. In principle, the conversion of the pricing benchmark of existing floating rate loans should be completed before August 3, 20201.

Stock mortgage

The interest rate will remain unchanged next year.

Property buyers are generally concerned about whether to choose a fixed interest rate or "LPR plus points" when re-signing a contract with a bank. As far as the current market interest rate is concerned, the difference is not very big. In the long run, the predicted interest rate in the industry is in a downward period, and the form of "LPR plus points" may be more choices.

No matter which way you choose, the existing mortgage interest rate will remain unchanged in 2020. The announcement shows that in order to implement the regulation requirements of the real estate market, the interest rate level of commercial personal housing loans should remain unchanged at the time of conversion.

If the stock floating interest rate loan is converted into a fixed interest rate, the converted interest rate level shall be determined by the borrower and the borrower through consultation, and the converted interest rate level of commercial personal housing loan shall be equal to the latest interest rate level of the original contract.

If the pricing benchmark of floating interest rate loans is converted into LPR, except for commercial personal housing loans, the value-added part shall be determined by both borrowers and borrowers through consultation. The value-added of commercial personal housing loans should be equal to the difference between the latest interest rate of the original contract and the corresponding term LPR issued in February 20 19. From the conversion point to the first re-pricing date after that point (excluding), the execution interest rate level shall be equal to the latest execution interest rate level of the original contract, that is, the sum of LPR and value-added during the corresponding period of 20 19. Thereafter, from the first repricing date, the interest rate level is recalculated on each interest rate repricing date, and is determined by the corresponding period LPR and added value of the latest month.

Two kinds of pricing

Interest rates are basically the same at present.

Previously, your mortgage was based on "central bank benchmark interest rate ×( 1+ floating ratio)", and now it will be converted into the calculation formula of "LPR benchmark interest rate+basis point", where the basis point is the same as the previous floating ratio, and it will not be changed once it is determined. But in 2020, the interest rate will remain unchanged before and after the conversion, and then the mortgage interest rate of that year will be determined according to the latest LPR quotation+basis point when repricing every year.

For example, the original contract term of commercial personal housing loan is 20 years, and the remaining term is 8 years. The interest rate agreed in the original contract is that the benchmark interest rate of loans for more than 5 years will rise 10%, and the current interest rate is 4.9% × (1+10%) = 5.39%. 20 19 and 12 issued an LPR of more than 5 years, which was 4.8%. If the borrower and lender decide to change the pricing benchmark on March 30, 2020, and the repricing period is still 1 year and the repricing date is still 1 day every year, the increase rate should be 0.59 percentage points (5.39%-4.8%=0.59%). From March 30th to February 30th, 2020, 65438+3 1, the interest rate is still 5.39%(4.8%+0.59%). On the first re-pricing date thereafter, that is, 202 1, 1, according to the re-agreed re-pricing rules, the interest rate announced in 65438+February 2020 will be adjusted to LPR+0.59%, and so on every year thereafter.

10 before June 8, the interest rates of first home loans of many banks in Qingdao mostly rose on the basis of the benchmark interest rate (4.9%) 15%, that is, 5.635%. Starting from June 8 10, a new commercial personal housing loan interest rate will be formed by adding the loan market quotation (LPR) in the same period of last month as the pricing benchmark. Many banks in Island City granted individual housing loans according to the latest LPR this month. Industrial and Commercial Bank of China, Agricultural Bank of China, Bank of China, Bank of Qingdao, Postal Savings Bank and China CITIC Bank all implemented the interest rates of the first home loan LPR+83.5BP(5.635%) and the second home loan LPR+ 108BP(5.88%), which were basically the same as those before the implementation of the New Deal.

Overall trend

The pricing of LPR is expected to be optimistic.

According to the relevant person in charge of the People's Bank of China, nearly 90% of the new loans have been priced with reference to LPR, but the existing floating-rate loans are still priced based on the benchmark loan interest rate, which cannot reflect the changes in market interest rates in time, which is not conducive to protecting the rights and interests of both borrowers and borrowers. In order to further deepen the LPR reform, the People's Bank of China promoted the smooth conversion of the pricing benchmark of floating rate loans.

For domestic buyers, should we shift the benchmark loan interest rate to LPR? Or simply a fixed interest rate?

Mr. Yin, the financial manager of Qingdao Branch of a state-owned bank, told reporters that the pricing model is a further embodiment of interest rate marketization and a perfect performance of financial development. In countries such as Britain and the United States, buyers also have two choices: fixed interest rate and market interest rate pricing. Moreover, with the fluctuation of interest rates every year, when buyers feel that interest rates are inappropriate, they can also find other financial institutions to replace them, or even directly transfer the mortgage to the buyers when selling the house. "With the acceleration of interest rate marketization, I believe there will be more loan financial products in China." Mr. Yin said that the more developed the economy, the lower the interest rate level, which is a common international phenomenon. At present, the domestic loan interest rate is at a high level, and it is likely to fall in the long run.

Li Wanbin of Jianpu Technology Big Data Research Institute believes that the latest LPR quotation on February 20, 65438 has not changed, but considering the current economic situation, there is still room for decline in the future. With the relaxation of talent policies in many places and loose market funds, the interest rate of bank mortgage will be lowered with LPR next year. However, the range and speed of downward adjustment will be relatively gentle, and stable development will remain the main theme of the real estate market in 2020.

Not only is the personal loan interest rate expected to increase in the future, but LPR pricing is also conducive to reducing corporate financing costs. Wen Bin, chief researcher of China Minsheng Bank, said that since the introduction of the new LPR mechanism in August this year, the 1 year LPR interest rate has dropped 16 BP (basis point), the interest rate of new credit mainly based on LPR has steadily moved down, and the comprehensive financing cost of enterprises has shown a downward trend.

■ extension

It remains to be seen how banks will adjust.

The relevant person in charge of the central bank said that since the date of the announcement, the bank should formulate the existing commercial personal housing loan pricing benchmark conversion work plan as soon as possible, including system support and personnel training. At the same time, inform customers through various channels (including official website, network announcements, short messages, emails, mobile banking, telephone notifications, etc.). ) and on the premise of mutual agreement, change the original contract terms in a simple and easy way as far as possible.

"Because it also involves matters such as changes in contract terms, banks also need time to prepare and arrange, and the specific implementation needs to wait for the notice of the head office." The staff of Qingdao Branch of a state-owned bank in Qingdao said that the workload of "changing anchors" is large, and banks may have some pressure.

Fan Ruoying, a researcher at China Bank Research Institute, believes that the conversion of deposit and loan interest rates will bring greater operational pressure and challenges to commercial banks. On the one hand, under the background of declining savings rate and increasingly fierce competition for deposits, the conversion of pricing benchmark will bring greater pressure to commercial banks in interest margin management and asset-liability management. On the other hand, it puts forward higher requirements for the risk pricing and internal pricing ability of commercial banks. Judging from the requirements of the announcement, the final loan interest rate should be determined by the bank and the customer through consultation, which requires the bank to comprehensively consider the credit qualification of the customer, the capital cost of the loan bank, the risk cost, the market supply and demand and other factors. In addition, the deposit and loan business FTP of commercial banks (that is, the transfer pricing of funds within commercial banks) is out of line with the financial market business FTP. How to optimize and adjust the FTP pricing management system in the future is a problem that commercial banks need to consider.