Saving for a loan down payment (5 years)

[pfdsa]

Thank you for the answer fools_gold and Gab. I think that we are going to apply for a pair loan.

You should have no problems getting 100% or even more than 100% (misc expenses, reform etc) even now, provided you have stable jobs. Banks seem to have limit of loan amount = income x (5~8), and you are well below the limit.

Not having a PR is a bigger problem, though. But if you think there is a high possibility of you not getting it anytime soon, you better try to get loan now instead of wasting money on rent. I've heard Prestia (and Suruga maybe?) is ok with no PR, though the rate will be higher than the regular one.

That’s good to know.
The reason we aren’t applying now to the loan is because we are planning on moving back to Okinawa next year, with new jobs for both of us. Therefore we are planning on waiting 5 years, building some job stability to first apply for the PR (maybe 3 years later? ), and then for the loan. Currently on a work visa, and I’m applying to the spouse visa next month. So for the next 5 years, we will most likely keep renting.

[pfdsa]

If you are saving for something with a limited time scale, I would just put the money in the bank (maybe in a time-limited account with slightly higher interest).

Any idea what those time-limited accounts are called in Japanese? Tried to research about them but I'm not sure what those are called.
All I could find was some savings account with extremely low interest rates.

[Bubblegun]

If you are saving for something with a limited time scale, I would just put the money in the bank (maybe in a time-limited account with slightly higher interest).

But do look into getting a 100% loan. It may well be possible, and then you could invest the money you would have used for the deposit.

This .I would agree on this totally. If your returns in say vanguards S&P tracker 500 pays more than the interest payed on the loan, then borrow the 100% , because you'd have already saved a big chunk of cash. Why give it all to the bank, and have zero yen,when you can keep it, invest it, and if at the end of our working life, you have some loan to pay off, you can take the cash and pay off the loan anyway. Hopefully with the compound interest, you'd still have cash in YOUR POCKET.

I'm thinking of doing the exact same next year with my wife.Buying second hand, around the same budget, for 100% loan.(wife isn't quite on board with that bit yet).But she understood it, when I discussed it. I think she is pretty Japanese is that she doesn't like to borrow, and needs to think about it.

[RetireJapan]

If you are saving for something with a limited time scale, I would just put the money in the bank (maybe in a time-limited account with slightly higher interest).

Any idea what those time-limited accounts are called in Japanese? Tried to research about them but I'm not sure what those are called.
All I could find was some savings account with extremely low interest rates.

定期講座 I believe.

But don't get your hopes up. They pay an extra tiny amount of interest at best.

[pfdsa]

If you are saving for something with a limited time scale, I would just put the money in the bank (maybe in a time-limited account with slightly higher interest).

But do look into getting a 100% loan. It may well be possible, and then you could invest the money you would have used for the deposit.

This .I would agree on this totally. If your returns in say vanguards S&P tracker 500 pays more than the interest payed on the loan, then borrow the 100% , because you'd have already saved a big chunk of cash. Why give it all to the bank, and have zero yen,when you can keep it, invest it, and if at the end of our working life, you have some loan to pay off, you can take the cash and pay off the loan anyway. Hopefully with the compound interest, you'd still have cash in YOUR POCKET.

I'm thinking of doing the exact same next year with my wife.Buying second hand, around the same budget, for 100% loan.(wife isn't quite on board with that bit yet).But she understood it, when I discussed it. I think she is pretty Japanese is that she doesn't like to borrow, and needs to think about it.

Thank you for the comment. It does sound good like a good option.
Just taking measures in case we don’t manage to get a 100% loan or in case loan interest rates go up in 5 years.

If you are saving for something with a limited time scale, I would just put the money in the bank (maybe in a time-limited account with slightly higher interest).

Any idea what those time-limited accounts are called in Japanese? Tried to research about them but I'm not sure what those are called.
All I could find was some savings account with extremely low interest rates.

定期講座 I believe.

But don't get your hopes up. They pay an extra tiny amount of interest at best.

Thank you, finally found it (It's 定期口座 btw ).
Will look up the interest rate and see if it’s worth going through the hassle of opening an account.

[RetireJapan]

Thank you, finally found it (It's 定期口座 btw ).
Will look up the interest rate and see if it’s worth going through the hassle of opening an account.

Dammit! Can you tell a lot of my work involves giving lectures?

[zeroshiki]

Time deposits do really crappy in Japan. To be honest, I haven't found any savings account, time deposit or otherwise, that beats Rakuten Bank's 0.1% interest when you link Rakuten Securities to it.

[EmaxisSlim Cultist]

Time deposits do really crappy in Japan. To be honest, I haven't found any savings account, time deposit or otherwise, that beats Rakuten Bank's 0.1% interest when you link Rakuten Securities to it.

Here you go! -> https://www.retirejapan.com/forum/view ... f=2&t=2061

[pfdsa]

Forgot to ask...in case you keep your money in a standard account in bank "Z" and "X", but apply for a house loan at bank "Y", does it influence the outcome? For example, if you instead kept all your money at bank "Y", would it have any kind of influence on the result?
Still researching how the house loans work in here, so this might be a dumb question.