The Bank of Japan revised its monetary easing measures on the 20th of this month, and the impact on mortgage interest rates is spreading.
Major banks have announced that they will raise their 10-year fixed interest rates starting next month.
Mortgage interest rates are determined by each bank based on the level of long-term interest rates, etc., and on the 30th, major banks announced the fixed interest rate levels of mortgage loans that will be applied next month.
Of these, MUFG Bank will raise the interest rate for 10-year fixed mortgages by 0.18 percentage points to 1.05% per year in the case of the most preferential treatment, which will be applied from the 1st of next month.
The increase from the previous month is the largest in 5 years and 9 months since April 2017.
In addition, Sumitomo Mitsui Banking Corporation will raise the interest rate on housing loans with the same conditions by 0.26 percentage points to 1.14% annually, and Mizuho Bank will raise it by 0.3 percentage points to 1.4% annually.
Both of these increases are the first in 14 years and 7 months since June 2008.
In addition, Sumitomo Mitsui Trust Bank will raise the rate by 0.34 points to 1.39% a year, and Resona Bank will raise it by 0.1 points to 1.18% a year.
All banks raised their housing loan interest rates all at once because the Bank of Japan revised its monetary easing measures on the 20th of this month and raised the upper limit of the fluctuation range of long-term interest rates to about 0.5%, causing long-term interest rates to rise to 0.4%. This is because it has risen to a higher level.
For those who already have a fixed interest rate mortgage, the interest rate is fixed at the time of borrowing, so the burden will not increase.
On the other hand, all banks have decided to leave the variable mortgage interest rates linked to short-term interest rates unchanged.
Home loan interest rate comparison sites inquired one after another
Since the 20th of this month, when the Bank of Japan announced revisions to its monetary easing measures, websites that compare mortgage interest rates have received a series of inquiries about loans.
Specifically, we have received consultations such as "I'm worried about whether to choose between a floating interest rate or a fixed interest rate" or "I'm worried about how to deal with future interest rate rises." On the day of the announcement, the number of accesses exceeded 5 times the usual number, and the site was temporarily inaccessible.
Through the company's website, the company is strengthening information dissemination that this revision of the Bank of Japan's policy will affect only fixed interest rates and that floating interest rates will not be affected so far.
Takashi Shiozawa, director and COO of the mortgage comparison site Mogecheck, said, "Japan has a long history of low interest rates, so some people have never experienced a situation where interest rates might rise in the future. There are many people who want to borrow housing loans with variable interest rates, but I think there are many people who feel uneasy about whether they can borrow floating interest rates as they are."