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 Help on deciding bank loan

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arowana33
post Jul 9 2020, 03:46 PM

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QUOTE(aj12 @ Jul 9 2020, 03:35 PM)
Hi Guys - I am new to buying a house. Need help to decide on which loan should I choose to purchase a house. Both banks are having same rate at 3.15% but with different spread rate and MRTT tenure years

Bank A
BR 2.5% / Spread rate 0.65%
Interest - 3.15%
MRTT 30275 for 27 years

Bank B
BR 2.88% / Spread rate 0.27%
Intereat - 3.15%
MRTT 30365 for 22 years
*
I go bank B.
arowana33
post Jul 13 2020, 12:17 PM

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QUOTE(aj12 @ Jul 10 2020, 10:30 AM)
Any reason why Bank B? Is it because of the spread rate?
*
Yes spread rate. But in long run, there is almost no significant difference. Next to compare termination clause in case you want to refinance later with other people.

 

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