On 14 Apr 2005 11:10:01 -0700, "John W." <worthj1970@yahoo.com> wrote:

>Ken Yasumoto-Nicolson wrote:
>>
>> Hopefully I find out on Monday that they are giving me a vast sum at
>> 1.25% fixed for three years, then 1% discount of base rates for the
>> remaining 32 years.

Woo-hoo, just heard today I gotapproved, with the BYJW as my
guarantor, even though she is also my dependent. My Permanent
Residence application is also still in the post, so they must be
desparate to give the money away!

>Does Japan not do fixed rates? 

For the whole term? There was a sliding scale of fixed rates, from
0.9% for one year to 2.5% for five or seven (base rates are 2.375%)
all the may up to over 6 or 7% for the full 35 year term. We took the
three year option, and after 3 years for a small fee we can
renegotiate a new fixed rate.

>What if the rate happens to fall below
>1%? Is there a limit they'll absolutely not go below?

I imagine there must be some small print somewhere to avoid them
having to pay you for your loan!

>My sister in law keeps saying they can't afford to build their house
>(her husband has some family land out near Himeji), but my wife and I
>kept telling her that the interest rates were so low it's too good an
>opportunity to pass up. Of course, the commute from Himeji to Shiga
>(where hubby works) would be a bitch. I suggested they buy it and let
>me live there.

Given the current rates, there should really be no reason not to, and
even if they don't live there, I'm sure they could rent it at a decent
price.

>John W.

Ken