Sorry, another post about home loan interest rates. But just like the others, every situation is different, and I wanna get advise/opinions as much as I can. It's a huge amount of money involved and a long term commitment.
Recently, we are looking for a house, and trying our luck on how good of interest rate we can get. Here's a bit of background:
- Almost 4yrs in Japan (also in the same company)
- Engineer/Humanities Visa (No PR / No HSP Visa)
- 8.8M annual income
- Single income family (partner is foreigner too, No PR) with kids
The brand new houses in our preferred area ranges from 50M-60M. And below loan term is the one we got approved on a pre-loan application with SMBC:
- Loan Amount: 59M (35yrs)
- 70% of loan amount will be at 0.42% floating interest rate
- 30% of loan amount will be at 2.67% fixed interest rate
- We have to cashout around 5M for fees/etc (not part of the 59M loan)
We'll most likely not get a 59M house tho. Our agent just suggested to try with the higher amount and if it gets approved, it's easier to change to lower loan amount. Cashing out 5M is also no problem, but still, if possible I wanna cash out less.
Do you think above loan term is good enough? Or should I upgrade my visa & increase my years of stay in Japan first? I'm actually planning to apply for HSP visa next year and I heard having that visa somehow helps. They say if I have an HSP visa and staying in Japan for >5yrs, I could possibly get better rates and hopefully don't have to cash out 5M (or just cashout less because it will be part of the loan). So i'm thinking of passing up to this now, and wait for another year.
Any advise? Or had the same experience/situation as mine? Or maybe any tips I can do to still negotiate the above loan terms and hopefully make it better?
by Relative-Driver7860