Is it better to transfer the SMS to lpr or repair it?

? There is great pressure to buy a house. Which is better, mortgage LPR or fixed interest rate?

Whether it is better to convert personal mortgage interest rate into LPR or fixed interest rate is actually inconclusive. The central bank said that the two conversion methods have their own advantages, and the specific choice depends on our own judgment, which is our judgment on the future interest rate trend.

a

The general principle is: if you judge that the market interest rate will rise, it may be more beneficial to choose a fixed interest rate; If you judge that the market interest rate will drop, it may be more beneficial to switch to LPR.

For us ordinary people, it is too professional to judge whether China will raise interest rates or cut interest rates in the next twenty or thirty years. We should choose LPR or fixed interest rate. There is actually another way of thinking: how much you hate the uncertainty of the future.

If you feel that the current mortgage repayment pressure is not great, and you are worried that the future interest rate rise will lead to the increase of mortgage, and may even make the family financial risk out of control, then fixed interest rate is also a good choice. Although this may make you miss the benefits brought by the downward interest rate, it will also help you eliminate the financial uncertainty risk in the next few decades.

b

If your mortgage cycle is still relatively long, then you can choose a floating interest rate based on LPR. It is not excluded that the five-year benchmark interest rate of LPR is 4.85% today, and it will drop to 4% after 10, and even to 3% or even lower after 20 years. Anything is possible.

And those friends whose mortgage is very short-term, if your mortgage is only one year, two years, three years, the impact is not great. After all, the change of interest rate is a slow process, not a sudden change in one day.

Of course, in the face of today's inflationary pressure, the loss of choosing a fixed interest rate is relatively small and practical.

Judging from the current situation, choosing LPR floating interest rate may be more beneficial to mortgage owners. Because from the historical experience, the economic growth rate has switched from high-speed development to medium-low speed. In order to ensure economic vitality, more abundant market liquidity is needed, and the probability of medium and long-term interest rates falling is relatively high.

The developed countries in the world are basically in a state of low interest rates or even negative interest rates. So people in the industry almost reached an agreement. In the medium and long term, it is better to choose linked LPR than fixed interest rate.

c

If you have plans to repay the loan in advance in the near future, it doesn't matter which one you choose. Unless there is hyperinflation and deflation, interest rates will generally not change greatly in the short term.