Mortgage loan “Flat 35” with a loan condition that meets energy saving standards

The Ministry of Land, Infrastructure, Transport and Tourism has set a condition for the long-term fixed-type housing loan "Flat 35" to meet certain energy-saving standards from April next year, and will encourage homes to take energy-saving measures.

"Flat 35" is a housing loan handled by the Japan Housing Finance Agency in partnership with private financial institutions, and can be financed at a fixed interest rate for up to 35 years. Regarding this, the Ministry of Land, Infrastructure, Transport and Tourism, which has jurisdiction over the mechanism, has announced that from this month, interest rates will be increased to 0.5 at maximum for housing with high energy-saving performance called "ZEH", which utilizes renewable energy to reduce household energy consumption to less than zero.

Furthermore, from April next year, we will make it a condition of loans to meet the energy-saving standards set by the government, such as improving the insulation performance of window glass and outer walls. The government has set a goal of reducing greenhouse gas emissions in the household sector by 66% by 2030 compared to 2013 levels. To this end, from fiscal 2025, all new buildings, including houses, will be required to meet certain national energy conservation standards.

Prior to this, the Ministry of Land, Infrastructure, Transport and Tourism will revise the loan system for "Flat 35" to encourage energy conservation measures for housing.

Source: https://www3.nhk.or.jp/news/html/20221024/k10013868051000.html