Thoughts on 50-year 0.9% variable rate loan?

We’re in the process of building a home. My eigyoman quoted us 5800万 and also applied us a loan at [MCJ](https://www.mc-j.co.jp/) which we got approved.

MCJ is a bank established for housing by my house builder, so I can’t help but feel that this loan is not in the best interest of me but of my house builder.

>term: 50 years
loan amount: 5800万
rate: 0.9% variable rate
monthly payments: 12.1万 (partner will handle 5万)
total paid over 50 years: 7,272万

I’m pretty happy with the monthly payment but other banks seem have a much lower interest rate (0.2\~0.4%).

Here is a simulation with AU Jibun Bank

>term: 35 years
loan amount: 5800万
rate: 0.319% variable rate
monthly payments: 14.5万 (partner will handle 5万)
total paid over 50 years: 6,291万

These look a much better numbers to me, though honestly the 50-year loan doesn’t seem bad. I can handle the additional 2万 fine.

The only problem is I’m not sure if we can get a loan at other banks with lower interest.

Some additional information:

* My annual income is 580万
* Land price is 1700万
* For personal reasons, we really need to live in an ikkodate house
* Currently our combined rent is 12万 and 2-3万 in electricity. The house we’re building has solar panel which could reduce our electricity bill to 0 so our monthly payments would actually be less.

by kakuni11

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