After many home buyers are not interested in borrowing, some banks have just adjusted the policy and are evaluated “reality, more beneficial” to customers.
In early February, Prime Minister Pham Minh Chinh asked banks to study preferential credit packages for young people aged 35 and under. Shortly thereafter, some units simultaneously introduced the loan programs introduced as “super cheap” with interest rates around 4 – 5%.
However, many experts or home buyers recognize these loan packages that are not actually, preferential interest rates only apply in a short time from 3 months to half a year, soon after that will be floating. Loan procedures at some banks are also assessed difficult.
Up to now – After about a month of implementation, the units have begun to make book adjustments in a more beneficial way for customers. On March 28, the Military Bank (MB) announced the expansion of the loan package “Dream Home” to reduce financial pressure for young people to buy houses. MB will exempt the principal repayment within the first 5 years and only need to pay at least 15% of the principal in the next 5 years.
Real Estate in the East of Ho Chi Minh City (Thu Duc City) with apartment projects, townhouses, land … in February 2025. Image: Quynh Tran
Last year, MB’s borrowed customers were exempted from principal repayment for 24 months. Over the past year, this bank has disbursed over 3,000 billion dong to more than 2,000 young customers borrowing houses.
Similarly, Big4 – BIDV has just decided to grace the principal of 5 years for customers under 35 years old. Along with that, from now until December 31, the bank applied a fixed interest rate of 5.5% a year in 3 consecutive years.
From the 4th year, the new interest rate is calculated by the 24 -month deposit interest plus a 3%amplitude. Each customer borrows up to VND 5 billion according to this preferential policy of BIDV for a maximum period of 40 years. Thus, in the case of 2 billion dong, the first 3 years, customers only pay more than 9 million VND per month to the bank.
International Bank (VIB) also has a loan package that only requires customers to pay 1 million VND per month for 1 billion loans. This level corresponds to 0.1% per month, while the popularity on the market is 0.3-0.8%. Borrowers at this bank can be 5.9% fixed interest rate packages for 6 months, 6.9% in 12 months or 7.9% for 24 months. The total value of VIB’s apartment and townhouses this year is about VND 45,000 billion.
Deputy Director of the State Bank of Region 2 Nguyen Duc Lenh said that through preliminary statistics, banks have actively responded to the Prime Minister’s request for making a credit package to support young people under 35 years old to buy houses. According to Mr. Lenh, the highlight of these loan packages is long, helping to reduce the pressure of repayment with the amount of payment per period and the preferential interest rate.
Real estate experts Tran Khanh Quang evaluated the recent credit preferential policies has been “more realistic” compared to the month before the loan interest rate is 2-3%higher than the deposit interest rate.
According to Mr. Quang, the increase in the time of grace of principal to attract borrowers to buy houses is also a positive point in the context of the real estate market in the early stages of development, the demand for real home buying to increase. Along with that, the real estate market was launched at the time of many investors from the North to the South, entering the sales race, the real estate supply in many expected areas is about to increase sharply. “The new move from banks also brings opportunities and stimulates the real estate market to recover,” Quang said.
In the report published this month, MB Securities (MBS) also forecast that banks will continue to maintain low loan interest rates in 2025 to support customers due to great competitive pressure in promoting credit. Last year, the real estate supply was limited, leading to the slow recovery of home loans who slowed down retail credit. According to MBS, this trend can continue in the first half of this year, reducing the benefits of banks.