Mortgage financing can be a complicated process that involves several steps, which is why planning your mortgage costs before you apply for a loan is highly necessary. Your interest rate and your tenor will determine your basic mortgage cost? your monthly repayment. There are various repayment options for mortgages in Hong Kong namely:
MoneyHero has a mortgage comparison tool which functions as a mortgage calculator. You can use filter options at the top of the page to specify how much you'd like to borrow and the loan tenor. The calculator will then provide you with a list of housing loan products with varying interest rates. With this tool, you can get an idea of how much your monthly repayment will be.
You also need to take into account the provision of cash rebate by banks. The net mortgage cost is calculated by deducting the maximum cash rebate from the total mortgage costs. This will allow you to have an idea of the total mortgage cost over the mortgage repayment period.
The type of mortgage you take out can also affect the mortgage cost, so study your options carefully. For the two interest rates used in flexible rate mortgage, the HIBOR-based mortgage plan (H Plan) interest rate is generally lower than the HKD Prime rate plan (P Plan). In MoneyHero's mortgage comparison page, the mortgage cost is calculated based on the lowest rate that the bank could offer, either H Plan or P Plan.
- fixed monthly instalment method
- increasing monthly repayment method; and
- fortnightly repayment method.
MoneyHero has a mortgage comparison tool which functions as a mortgage calculator. You can use filter options at the top of the page to specify how much you'd like to borrow and the loan tenor. The calculator will then provide you with a list of housing loan products with varying interest rates. With this tool, you can get an idea of how much your monthly repayment will be.
You also need to take into account the provision of cash rebate by banks. The net mortgage cost is calculated by deducting the maximum cash rebate from the total mortgage costs. This will allow you to have an idea of the total mortgage cost over the mortgage repayment period.
The type of mortgage you take out can also affect the mortgage cost, so study your options carefully. For the two interest rates used in flexible rate mortgage, the HIBOR-based mortgage plan (H Plan) interest rate is generally lower than the HKD Prime rate plan (P Plan). In MoneyHero's mortgage comparison page, the mortgage cost is calculated based on the lowest rate that the bank could offer, either H Plan or P Plan.