Housing Loan Q’s

[lilly45]

Hi! Help please. We don’t want to make bad decisions while acquiring our own home via loan. Anxious lang so I’m making sure na we got everything covered. We’re planning to acquire a house end of next year or early next 2025. Not RFO, pre-selling as I believe this will give us enough time to save for the monthly ammort. I’m unsure about the interest rates of the bank but I’ve read somewhere na it’s around 7-8%.

Loan Details:
TCP : 7.2M
Equity: 27k for 2 years
Loanable Amount in bank: Around 6.3M

1. I’m unsure about how to calculate the actual monthly ammortization with the given interest offered by the bank. Can anyone educate me on how to calculate this? I was asking the agent but she seems hesitant to share figures. I wanna know how to calculate this. We’re planning to pay out the loan for 25 years. Max years to be safe, we can always pay the prinicipal if extra funds are available.
2. What does fixed rate mean regarding interests? Is it better to have a higher fixed rate for years (ex. 5 years, 8% interest) or better na mag stick sa lower fixed rate like 2 years, 6% interest.
3. Once na complete na yung equity and pwede na mag move in, kasama ba sa loanable amount ng bank (6.3M) yung transfer charges?
4. Other tips/what we need to expect you can advise to future home buyers please.

Thank you!

 

[resjudicata]

@lilly45 My cousin availed of two housing loans recently and the prevailing rate at the moment is 7%, yes.

1. Most banks will have their own housing mortgage calculators you use to test out different scenarios. I'd suggest using these with your partner to weigh the pros and cons of different payment schedules, since your agent isn't willing to go over them with you. Choose something that's best for your situation.
2. In a nutshell, the longer you can maintain low interest rates, the better. Some people choose the longer fixed-term window with higher interest because it's makes future expenses predictable. But after the fixed-term window, it's all the same; annual interest adjustments will depend on the market climate at that time.
3. Not included po. They're not hidden charges per se, but be ready to fork out an additional few extra hundred thousands at that point.