Are you eligible for the Flemish renovation loan?
If you own a property in Flanders and would like to renovate it, you can apply for an advantageous loan from September 01, 2022.
Are you eligible for the Flemish renovation loan?
If you own a property in Flanders and would like to renovate it, you can apply for a low-cost loan from September 1, 2022. This low-cost loan is provided by the Flemish government as part of the MijnVer-bouwLening (My Renovation Loan) project. Flemish ministers Zuhal Demir (Energy) and Matthias Diependaele (Housing) are aiming to help low- and middle-income citizens to make their homes more energy-efficient, in order to better protect themselves against rising energy prices.
You're buying and renovating at the same time. Are you eligible?
No, the Mijn VerbouwLening loan is only for people who already own their own home and want to make it energy-efficient. It is not intended for new homeowners. However, since last year, new homeowners have been able to apply for a zero-interest renovation loan from the Flemish government if they make their home more energy-efficient within five years.
To be eligible for the MijnVerbouwle-ning loan, the dwelling must be located in Flanders and be at least 15 years old at the time the application is submitted, unless the application is for the financing of a solar water heater, (hybrid) heat pump or solar panels. In this case, it is sufficient for the dwelling to have been connected to the electricity grid before January 1, 2014, or for the environmental permit to have been granted at least five years earlier.
Can all households living in Flanders benefit from this loan?
Only low and medium incomes are concerned. For a single person, gross annual income may not exceed 46,170 euros. For a couple with no dependants (i.e. children) or a single person with one dependant, the ceiling has been set at 65,960 euros. This amount is increased by3,700 euros per child. In concrete terms, the tax authorities take into account the income shown on your last tax return. If you live as a de facto cohabitant, or if only one of you owns the property, the income of the spouse who does not own the property is not taken into account.
Yes, but only if you rent your property through a social real estate agency. In this case, no income ceiling is taken into consideration. But the rent cannot be too high, and you must grant a rent reduction for nine years. Matthias Diependaele explains: "As a result, the benefits are shared between the lessor, who improves the quality of his property, and the tenant, who sees his energy bill go down. In practice, the rent cannot exceed 9oo euros (1,000 euros in city centers). The discount granted depends on the amount borrowed.
What if you own an apartment in a condominium?
Many apartment buildings are undergoing extensive renovation work to meet 2050 energy and climate targets. But if you're an apartmentBut if you're an apartment owner, you can't decide on your own to replace your windows or roof. This decision must be taken by the co-owners' assembly. The latter can call on MijnVerbouwLening and borrow up to 60,000 euros at a favorable rate for the 25,000 euros per apartment. The loan is repaid by the condominium owners' meeting via the provisions paid by allavailable capital.
From the end of 2022, apartment owners will also be able to contact the Flemishthe Flemish government to help them draw up an in-depth renovation plan for their building.
What about inheritance or real estate donation?
If you inherit a property or receive it as a gift and intend to renovate it within the next five years, you'll need to know that you fall into the low- or middle-income category. You can apply even if you don't intend to live in the property, until the end of 2024.
How much can I borrow and at what rate?
You can borrow up to 60,000 euros, with a minimum minimum of 1,250 euros. You must repay the loan within a maximum of 25 years. The Energiehuis (where you must submit your application) will check, on the basis of your financial situation and repayment capacity, what is acceptable in your case. You must apply for the loan amount no later than 36 months after signing the credit agreement. If you exceed this deadline, you will no longer be able to apply for further instalments.
The MijnVerbouwLening program operates on the basis of the legal interest rate. This is communicated in January of each year and is based on the one-year Euribor. The loan will be free as long as the legal rate is below 3%. The applicant also benefits from a three percentage point reduction on the market rate. For this year, the legal rate is 1.5%. Energichuis does not charge any administration fees.
What work is taken into consideration?
You can borrow for work covered by the Mijn VerbouwPremie program. This is the new unified subsidy that replaces the old renovation subsidy and most of the subsidies granted by network operator Fluvius for investments designed to reduce energy bills . In concrete terms, this concerns the renovation of the roof, external walls, external joinery, renovation of floors and foundations, interior renovation, electricity and sanitaryware, a (hybrid) heat pump, a thermodynamic water heater, a solar water heater, a gas-fired condensing boiler (only for low-income earners) and photovoltaic panels. You cannot obtain a loan for demolition or reconstruction work.
Only invoices issued after the credit file has been submitted will be taken into consideration. Transitional measures have been provided for: invoices dated from July 1, 2022 may be submitted for files submitted by November 1, 2022 at the latest.
Do you need a contractor?
To be eligible, however, you must have most of the work carried out by a licensed contractor. You can only carry out interior renovation work yourself, electrical and plumbing work. There are no requirements in terms of level E or energy performance, but the work must be eligible under the MijnVerbouwPremie program.
How to submit your application
The application must be submitted to one of the 18 Energichuizen. You can find. your nearest Energiehuis on the mijnenergiehuis.be website. You can apply for a credit until the end of 2026. If the renovation work you intend to undertake is eligible for a bonus, the Energiehuis will apply for the MijnVerbouwPremie on your behalf and use it to repay your loan early.
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SOURCE L'écho 10 09 2022