Is pricing benchmark switching good or bad?

Prior to this, many home buyers have received bank text messages, which stated that eligible borrowers can handle pricing benchmark conversion services through mobile banking or bank counters. So is it good to switch this pricing benchmark or not?

Is it good to switch the pricing benchmark or not?

Whether the pricing benchmark should be switched or not, this mainly depends on the current loan repayment situation in the market. Interest rates, as well as future LPR development trends. Generally speaking, if the economy is not good and inflation is serious in the future, then we choose LPR as the basis for repayment, and the final result will be lower than the current fixed interest rate, that is, the monthly repayment will be less than now. On the contrary, if the economy is good in the future, then if you choose LPR as the basis for repayment, it is possible that the interest rate will be higher than the current fixed interest rate, that is, the monthly repayment amount will be higher than now.

Whether our pricing benchmark can be changed or not depends on our own expectations for the economic situation. In this regard, if the bearish situation is serious in the short term, then it may be better to switch directly. If the short term is better, then it may be better not to switch temporarily. Of course, the lender only has one choice, and it cannot be changed after the choice is made, so we must be careful.

To sum up, this is a case of whether pricing benchmark switching is good or not.