Central Bank: LPR "double drop"!How much is the monthly loan less?

The People's Bank of China authorized the inter -bank interbank borrowing center today that the interest rate (LPR) of the loan market in August (LPR) was: one -year LPR was 3.65 % (3.7 % last month), and the LPR of more than 5 years was 4.3 % (last month was the last month. 4.45 %). This means that the 1 -year LPR decreases 5 basis points from the previous month, and the LPR of more than 5 years decreases 15 basis points.

What are the reasons for the decline in LPR? What impact will it have on the real estate market? Will the mortgage interest rate decrease? This issue of "Quick Questions and Answers" for you ↓↓↓

Question: What are the backgrounds of the decrease in LPR?

Answer: First of all, since this year, my country's macroeconomic recovery trend is not stable. From the perspective of economic data in July, various main indicators such as investment and consumption have declined across the board, and the steady growth is facing great pressure.

Secondly, the effective financing needs of enterprises and residents are insufficient. According to data released by the central bank, the increase in social financing and RMB loans in July has fallen significantly, and corporate investment and residents' willingness will shrink.

In addition, the decline in policy interest rates laid the foundation. On August 15, the central bank launched the mid -term loan convenience (MLF) and inverse repurchase operations, and the bid interest rates fell 10 basis points. LPR comes on the basis of MLF interest rate. MLF interest rates have decreased, and LPR often decreases.

Q: How does the decline in LPR have on the real estate market? Will the mortgage interest rate be reduced accordingly? How much is the monthly loan less?

Answer: The decline in LPR above 5 years is large, which helps promote the recovery of the property market and is conducive to the rise of consumption.

On the one hand, the reduction of LPR helps reduce the cost of buying a house, enhance the willingness to buy a house, and boost real estate sales.

Among the internal needs, the large -scale, upstream and downstream chain, and the real estate industry that is closely related to the residential balance sheet is still important to stabilize the economy, which is related to the effects and processes of wide credit landing. In the current environment where the real estate market is still sluggish, the LPR reduction has been used to drive the reduction of mortgage interest rates, which has become an important part of reversing market expectations and promoting the recovery of the property market.

On the other hand, the reduction of LPR also helps reduce the interest rate of the stock loan, delay the rhythm of the residents' reduction of leverage, and increase consumption expectations under the savings of mortgage interests to help consumption rebate.

Personal housing loans are generally based on LPR of more than 5 years. According to the previous notice issued by the Central Bank and the Banking Insurance Regulatory Commission, the first set of housing commercial personal housing loan interest rates were adjusted to not lower than the corresponding time limit of the loan market quotation interest rate of 20 basis points for the purchase of ordinary housing households who purchased ordinary housing. After the decrease of LPR above 5 years, the mortgage interest rate can be up to 4.1 %.

For example, if you calculate at the angle of the 15 basis point, the amount of loan amount of 1 million loans and 30 -year equivalent, the monthly supply can be reduced by about 88 yuan.

The decline in LPR above 5 years will guide financial institutions to further reduce new and stock loan interest rates, reduce the burden on most loan buyers, stimulate residential housing consumption demand, and promote the steady and healthy development of the real estate market.

Beginning on January 1 next year, the effect of the cumulative LPR this year will be reflected in the monthly supply of residents. With the increase in interest and disposable income, it is expected to boost the consumption expectations of residents, so as to bring domestic demand and boost the economy bringing the economy to bring A series of "positive feedback".

Q: How does the decline in LPR affect the cost of reducing the cost of the real economy?

Answer: The decline of the new phase of LPR will play an active role in reducing the cost of real economy financing, boosting the confidence of market entities, and promoting the recovery of valid demand for credit.

According to industry analysts, the one -year LPR downgrade will drive the decline in loan interest rates at other periods. On the one hand, it will help further reduce the cost of financing of enterprises, boosting confidence in expectations, helping enterprises to accelerate recovery and stable operation, drive investment repair growth; another In terms of, it will continue to reduce the cost of social financing, reduce the financing cost and debt repayment pressure of corporate debt issuance, and maintain stability of various financing channels.

Small knowledge: What is LPR?

LPR is the abbreviation of the loan market quotation interest rate, which refers to the loan interest rate performed by financial institutions on its best customers. In August 2019, the central bank reform and improve the loan market quotation interest rate (LPR) formation mechanism, and the new LPR quotation method is changed to the formation of the public market operating interest rate plus points; the quotation interest rate period increases more than 5 years; Change to the monthly quotation once.

Source / Economic Daily (Reporter / Yao Jin plan / Wang Yan Liu Xinwei)

Supervision / Zhang Yiyong

Edit / Liu Xinwei

- END -