RBC experts told how to reduce mortgage payments to ordinary citizens. It turns out that it is quite possible to reduce the overpayment of loan payments if you know some subtleties.
As you know, the amount of monthly payments is influenced by 3 factors - rate, loan term and down payment. The higher the rate and the longer the loan, the greater the overpayment. And vice versa: the shorter the loan term, the less the overpayment.
The mortgage program with state support at 6.5% per annum allows the mortgage program with state support at 6.5% per annum to reduce the overpayment of a home loan by almost half, borrowers can use this right until October 1 of this year. For comparison, let's recalculate the payment taking into account the rate at the beginning of 2020. With the same parameters, but at 9.5%, monthly expenses will increase by 10 thousand, to 52.2 thousand. rub. In total, the borrower will pay almost 9.4 million rubles, of which the bank's interest will amount to 4.4 million rubles. The difference is almost 1.7 times.
The second option, which developers are also quite willing to take, is to use the refinancing program. Refinancing, or on-lending of an existing loan. It allows you to fully or partially repay an already issued loan at the expense of a new one on more favorable terms. Thanks to refinancing, the borrower can reduce the loan rate, reduce or increase the mortgage repayment period, and reduce the amount of the monthly payment.
According to experts, it is advisable to refinance a mortgage when the difference in rates is 1-2%. Refinancing a mortgage can be disadvantageous if the client has already repaid more than half of the loan. Nowadays, most banks issue mortgages with an annuity payment scheme, when interest is paid first, and then the body of the loan. It turns out that the longer you pay the loan, the less savings on interest overpayment will be.
Another option for a more profitable repayment of an existing loan is overpayment of the principal amount. By increasing your monthly payment by only a couple of thousand rubles, you will ultimately save more. You can also go for shortening the term of the home loan. In this case, the size of the monthly payment will increase, so you need to be confident in your financial position. In addition, the very procedure for changing the deadline will require additional costs, which must also be taken into account.
Source: RBC real estate
