Many banks simultaneously lower home loan interest rates from the beginning of 2024

Since the beginning of 2024, many banks have lowered their home loan interest rates by 1-2% compared to the end of last year. A survey of home loan interest rates at 29 banks shows that for individual customers, most banks apply two interest rates to home loans, including: preferential loan interest rates, applied by banks for new loans, with a grace period of 3 months to 12 months; after this preferential interest rate period, home loans will be subject to a floating interest rate. The interest rate adjustment margin between preferential and floating interest rates at banks is currently commonly around 2-3.8%/year.

Many banks have lowered interest rates on home loans since early 2024, picture 1

Home loan interest rates of Big 4 banks have all decreased by 1-1.5% compared to the end of the year, and compared to the same period in 2023, the current loan interest rate is 2-3% lower. Home loan interest rates of Big 4 are fluctuating at 6.4-7%/year. After the preferential period ends, the floating interest rate in the following years will be calculated by the mobilization interest rate of the 4 Big 4 banks plus a margin of 3.5%.

At the group of joint stock commercial banks, the current interest rate for home loans ranges from 5-10.5%/year. When the preferential interest rate period expires, the loan will be subject to a floating interest rate, falling between 1-13%/year.

Up to now, BVBank is one of the banks with the lowest lending interest rates. This bank has just announced a preferential home loan package with an interest rate of only 5%/year. The program applies to new disbursed loans for the purpose of buying or repairing real estate for residence, starting from January 8, 2024. BVBank also adjusted the lending interest rate margin after the preferential period ends to only 2%/year. Following BVBank is VPBank with a rate of 5.9%, Sacombank with an interest rate of 6.5%/year, HDBank is applying a preferential interest rate of 6.8%...

At 100% foreign-owned banks, home loan interest rates are fluctuating between 6-9.75%/year. When the preferential loan period ends, the floating interest rate falls to around 9-11.75%/year.

At a recent press conference to deploy the banking sector's tasks in 2024, Deputy Governor of the State Bank - Mr. Dao Minh Tu commented that the current interest rate level is at its lowest level in 20 years. Many commercial banks said that interest rates cannot be lower. Experts also said that the reason for the high interest rates is that of previous terms when banks mobilized high amounts. Currently and in the future, according to the actual situation, interest rates tend to be low.

Thus, it can be seen that the race to reduce home loan interest rates by banks is a positive stimulus move at a time when the real estate market is predicted to have passed its most difficult period.

Explaining the reduction of home loan interest rates to the most attractive level on the market right from the beginning of the year, Mr./Ms.... BVBank representative said: “Each bank has its own customer base and preferential credit packages for each of its priority customer groups. We understand the needs of the customer base that the bank is aiming for at the end of the lunar year, so we offer the most preferential loan rates. The end of the year is often the time when many people tend to look for houses with the mentality of "buying land at the beginning of the year, buying a house at the end of the year". A preferential loan rate will help customers consider more carefully when deciding to spend money.”

It is known that before offering attractive preferential loans on the market today, BVBank has launched a 7,000 billion VND loan package, the product "Flexible Loan 24h", same-day loan application approval, no-fee business account package... to help customers easily access the bank's preferential programs and policies.

Many banks have lowered interest rates on home loans since early 2024, picture 2.

Currently, according to forecasts from real estate experts, the market has undergone a harsh purification in recent times, and virtual needs have gradually given way to real values. Typically, in the apartment segment, individual houses are still sought after by many people. The market is expected to gradually stabilize and the overall picture may change in a positive direction this year. Along with the moves to lower interest rates by the banking system, it is forecasted that the demand for home loans will gradually warm up in the coming time.

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