The Flat 35 rate for August 2026 is expected to be around 3.29%. This article also reviews trends and the outlook for variable rates and 10-year fixed rates other than Flat 35, based on the latest rates quoted by major banks.
Looking at mortgage rate trends, 2 of the 14 major banks raised their variable rates, while 12 left them unchanged. Among 10-year fixed rates, 6 banks raised rates, 3 cut them and 4 left them unchanged. New-borrowing rates for Flat 35 continued to trend lower month on month, with rates of around 3.25% indicated depending on the Flat 35 borrowing conditions.
In the detailed table of Flat 35 rate trends, the August surcharge rate was forecast at -0.07%, and the final rate was expected to be around 3.25%. However, the rate announced on 1 August was actually 3.29%, stated for borrowing periods of 21 to 35 years, a down payment of at least 10% and group credit life insurance. Flat 20 was also quoted at 2.97%. These rates apply to both new borrowing and refinancing.
For variable rates, the article examines the latest rates quoted by Sony Bank and Rakuten Bank. Their effective rates for new borrowing and refinancing in August 2026 were 1.347% and 1.543%, respectively, while the refinancing rates were 1.347% for Sony and 1.267% for Rakuten. The 10-year fixed rates were 3.355% for Sony and 3.799% for Rakuten, indicating that rates are adjusted slightly each month.
This article positions developments in the long-term fixed-rate market for Flat 35 as a move back toward levels seen since the 2010s, and reviews the renewed appeal of fixed rates for the entire loan term. In the author’s view, Flat 35 rates remain relatively low, and its advantages appear to have been broadly maintained, including through expanded programs for young married couples and households raising children.