With more and more people recognizing the concept of buying a house by loan, buying a house by loan has become a popular value, and most people have mortgages on their backs. Buy a house with a price of 6.5438+million, with a down payment of 3 million and a loan of 7 million, and the price is only 5 million. Will the bank confiscate your house for compulsory auction?

Our mortgage contract clearly states that if the price of the collateral drops, the bank will ask you to replenish the collateral, which is the right of the bank. Then when the price of collateral drops, the bank will inform you to replenish the mortgage. This contract is not specified. Many people think that as long as I can repay the mortgage on time, the bank can't confiscate the house. Is that really the case?

First, we need to define a concept. What the bank wants is not a house, but your assets. In your eyes, you borrowed 7 million yuan to buy a house, but you didn't get the money, so it's all in the house, so the worst case is to confiscate the house.

But in fact, the bank gave you a huge sum of 7 million yuan in real money and silver, and formed a loan relationship with you with a very clear creditor's rights structure. The bank has no interest in that house. He gave you cash to pay it back. It's also cash.

Therefore, in most cases, as long as you repay the mortgage on time, the bank will not give you any trouble. House auction confiscation also needs to go through the court prosecution process, which has law enforcement costs and is very troublesome. Banks prefer the lender to repay the remaining mortgage according to the contract.

But all this is based on the fact that the house price has not fallen much, that is, you have not fallen through the safety mat, and your down payment is still there. If you fall off the safety mat, your house will be in danger.

Still in the case above, if the house price drops by 30% and the house is only worth 7 million, your down payment has already fallen. If it falls again, it will hurt the principal of the bank. And if it is auctioned, it may only sell for 6 million. At this time, the bank will consider protecting itself, and it will be in trouble if it falls again.

At this time, the bank will urge you to make up the pledge. What does it mean to supplement the mortgage? Suppose the house price is halved, the house is only worth 5 million yuan, you borrow 7 million yuan, and you supplement the bank with 2 million yuan in cash, then the bank will recognize that you are safe. If you continue to fall, then you have to continue to make up the money.

What if there is no money? Other assets can be mortgaged, such as other real estate, land, cars, expensive antiques and other assets recognized by banks. Anyway, you have to make up the difference of 2 million to get the bank's funds back to the safe line.

If you don't have other assets as supplementary pledge and can't come up with 2 million cash, then the bank will definitely confiscate your house and auction it. If you get 4 million from the auction, you will have nothing but 3 million from the bank, and you will be blacklisted. Before you pay off your debts, any assets in your name may be seized by the bank.

The significance of supplementary mortgage loan is to protect the safety of bank funds. Many people think that I will honestly repay the mortgage, and I can afford it. Don't confiscate my house from the bank. But in fact, if you borrow 7 million yuan and the value of the house drops to about 7 million yuan, most people will not choose to give up. But if the price drops to 5 million yuan or even only 3 million yuan, except for a few people with very high moral character, others will generally not repay the loan, and you will take the house away if it is a big deal.

With a loan of 7 million, the house can only be sold for 3 million, with an additional debt of 4 million. The market price of this house is only 3 million yuan. If he has this 4 million, he can transfer it directly, pay 30% down in the name of the child, and buy 4 houses directly. How much money can he make? Why did he honestly return it to the bank?

Never overestimate human nature, and banks will never pin their life and death on the trustworthiness of lenders. This is called loyalty, not a market economy. If there is a choice between the middle class and the bank, the bank will definitely choose the middle class to die. As for the continued sharp drop in house prices caused by the confiscation of real estate auctions, assuming that there is only one bank and one voice in China, he may think so. However, if dozens of banks doing asset appraisal reward and punish each other for promotion, no one will care about the market and will only consider taking their banks out of the misery first.

Because as long as house prices fall, there will really be a large-scale default, and many unscrupulous owners want banks to take the fall. China's housing prices plummeted only once in 2008. Coincidentally, there was a wave of large-scale defaults right after the crash. Let's take a look at a special report made by the media in 2008, saying that the Shenzhen property market defaulted on a large scale and the loan owner was taken to court by the bank.

Shenzhen housing prices once fell, and then there was a large-scale wave of supply cuts. What a coincidence. Many people are like a mirror in their hearts. If the value of their house is really lower than the loan balance, it is hard to expect them to keep their promises.

Therefore, when the house price has just fallen below the loan balance, the bank will immediately let you make up the mortgage loan, and it will never wait too long. Generally speaking, it will also make you pay more money as a safety mat to protect your principal to the maximum extent.

Another factor is that when housing prices fall, it must be in the economic downturn, and the decline in housing prices is usually tied to the tide of unemployment, especially in China, where the economy can still survive, and the government will definitely not let housing prices fall. If so, the economy will really be unable to survive.

For example, in 2008, with normal means, the economy can never be saved, and it is impossible to pull house prices back. Later, large areas of water were released to create inflation to quench thirst, and then the economy was pulled up. If the water was not released that year, it must be an economic crisis. You think you can afford the monthly payment, but when the unemployment wave appears, what will you pay back?

In Hong Kong and Japan, for example, in the house disaster, most people who committed suicide by jumping off a building were forced to lose their jobs because of the economic downturn, and those whose houses were confiscated by banks were burdened with millions of huge debts. Many of them, according to the original salary, can barely afford the mortgage, but unfortunately they can't stand the wind and rain. Once they lose their jobs, they will cut off their mortgage immediately. Now, those house slaves who go north and deep, give themselves a stress test. Suppose you lose your job tomorrow, how long can you pay the monthly payment? Even if only 10% people fail this stress test, they will kill more. The forced auction brought by the first batch of defaulting suppliers will lower house prices, bring more people to default and default, and then it will be like an avalanche of selling pressure. The stock market crash in 2065,438+05 was due to the break of leverage.

Banks won't easily confiscate and auction your property, especially self-occupation, but don't think you can transfer the risk to banks. In front of banks, a single lender is absolutely weak, and there is no saying that it is smarter than banks. Don't underestimate the IQ of banks. Banks will try their best to ask for additional pledged cash, and after the house price falls to a certain extent, they will also confiscate the property decisively. There is absolutely no manners. As for the outstanding loan balance by auction, it is also necessary to collect lifelong debts.

Now you know why the government dare not let house prices plummet. When the lever is broken, no one can stop the landslide and tsunami. Of course, I have published many articles before, and I don't think that house prices will rise. The reason why we don't want house prices to continue to soar is that we are afraid that the first wave of decline will bring leverage collapse, and it will be difficult for the government to move sideways. Estimated sideways time is 3-5 years. Only after such a long time can we barely digest the first wave of bubbles.