Discover the mortgage loan ranking and find out which bank is best to establish a long-term relationship with in order to make your dream of owning your own home come true.
Mortgage Loan Ranking – As of the First Quarter of 2021
The situation concerning the mortgage loan ranking is quite changeable. It is worth taking this into account. To generalize the situation, several aspects should be considered when reviewing the ranking. The APRC is particularly important. PKO Bank Polski currently has the lowest APRC, at 2.99%. The bank's margin is also important from the customer's perspective—at PKO, it is currently 1.10%. A cheap mortgage loan can definitely be obtained from this bank. Bank Millennium ranked second in the mortgage loan ranking, while BNP Paribas came third. It is worth visiting the website https://www.czerwona-skarbonka.pl/kredyty-hipoteczne-ranking/ to see the current comparison of mortgage loans.
How Can You Reduce the Cost of a Mortgage Loan?
The APRC, margin and commission are not the only key factors affecting the final amount of a loan installment. How can you reduce the cost of a mortgage loan? In certain situations, it is worth considering cross-selling, meaning taking advantage of an additional offer from the bank that makes it possible to lower the loan interest rate. This is possible when the customer opts for a credit card or has their salary paid into an account.
Equal or Decreasing Installments—which Are Better?
The cost of a mortgage loan is primarily affected by fluctuations in the WIBOR(R) interest rate. However, the customer cannot do anything about this and must therefore accept the risk. With equal installments, the borrower mainly repays interest on the loan during the first years, while the principal portion of the repayment is minimal. In the case of decreasing installments, on the other hand, repayment primarily concerns the principal from the outset, while interest is paid almost incidentally. In the latter case, the cost of the loan is significantly lower.
In conclusion, the total cost of a mortgage loan is affected by many factors, such as the amount of principal borrowed, the loan term, the WIBOR (R) rate, the bank's margin, commissions and the type of installments.