Do you have renovation plans soon? The Flemish Government provides financial support to improve the living quality and energy performance of the Flemish home. Before starting works, check whether you are eligible for My VerbouwLening and borrow up to €60,000 for your renovation works. My VerbouwLening replaces the Energy Loan (loan up to €15,000) and the Energy Loan+ (home acquired through inheritance or donation) since September 1, 2022. In this article, we explain who is eligible, how to apply, the works you can apply for and the repayment process.
Who is eligible?
The 5 target groups below can apply for My Rebuilding Loan. Read the groups carefully, who knows, you too may qualify.
Private owner-occupants in the lowest and middle income categories of My Rebuilding Premium
- The applicant owns the property and is domiciled there (or within 36 months at the latest).
- My Rebuilding Loan can be applied for in conjunction with a walking mortgage loan (if there is sufficient repayment capacity, which are evident from the Energy House analysis).
For private owners, the following income eligibility limits apply (for applications beginning Jan. 1, 2023):
- Single person: maximum annual income is €51,840.
- Single person with 1 dependent or couple without dependent person: maximum income is €74,060 on an annual basis. This amount is increased by € 4160 per additional dependent person.
Private landlords
1. Landlords through a social rental agency.
- Income limits do not apply to this target group.
- One must be in possession of a written rental pledge with the social rental office for the rental of the property.
2. Conventional rentals (private rentals)
- Income limits do not apply to this target group either.
- The monthly rent should not exceed €900. However, it will be determined after the renovation works are carried out.
New owners through inheritance or donation
If you have inherited a house or apartment or acquired it by gift, you have been eligible for My Rebuilding Loan since September 2022, provided your salary belongs to the lowest or middle income group. Remember that in this situation, you can only apply for My Rebuilding Loan until the end of 2024. Did the inheritance or gift take place before September 1, 2022? Then you will still be able to take out an Energy Loan+.
Non-commercial legal entities and cooperatives
- Buildings on which they have a right in rem
- Homes rented through SVK (social rental office)
- Properties rented through private rentals
Co-owner associations
An Association of Co-owners (VME) can use My Rebuilding Loan with a maximum term of 25 years. The loan offers up to €60,000 for the building, plus €25,000 per apartment.
What works can I finance?
Not only you, but also your home must meet some things. Wondering what the conditions are? Then read on quickly
My VerbouwLening is only applicable to buildings located in the Flemish Region and at least 15 years old on the application date. For solar water heaters, heat pumps and heat pump boilers, the following applies: the environmental permit must have been granted more than 5 years ago and the building must meet the EPB conditions
Demolition and reconstruction do not fall under categories of works and thus are not part of My Rebuilding Loan.
What kind of works can you apply for?
We briefly list all the categories of works within My Rebuilding Loan for you and also mention the maximum amount to borrow for each category:
- Roof renovation (limited to amount on invoice including VAT)
- Interior renovation (a maximum bill of €5000 + VAT)
- Renovation of floors and foundations (limited to amount on invoice including VAT)
- Exterior wall renovation (limited to amount on invoice incl. VAT)
- Renovation of windows and doors (limited to amount on invoice incl. VAT)
- Solar water heater (limited to amount on invoice incl. VAT)
- Heat pump boiler (limited to amount on invoice incl. VAT)
- (hybrid) Heat pump (limited to amount on invoice incl. VAT)
- Electricity and plumbing (maximum invoice of €7,500 + VAT)
- Gas condensing boiler (this category is only possible when renting through a social rental office and for the lowest income category)
- Solar panels that meet the conditions of the Fuvius Solar Panel Premium (the full amount on invoice including VAT)
Are you a do-it-yourselfer? Then work on electricity, plumbing and interior renovation qualify.
How do I submit an application?
Request
From September 1, 2022, you can apply for My Rebuilding Loan through the Energiehuis in your neighborhood, for this you should consult your municipality. You can borrow up to €60,000 euro at an advantageous interest rate. The repayment of the loan runs for a maximum of 25 years.
You can apply for My Rebuilding Loan from September 1, 2022 until the end of 2026 (until the end of 2024 in case of inheritance/donation). You can apply through the online application platform or through the Energy House for your municipality. Only 1 My Rebuilding Loan can run per property. A new renovation loan can only be granted once the first one has been repaid in full. The loan can be divided into up to 6 different tranches, so you do not have to use the borrowed amount in full right away. The withdrawal tranches may not total more than €60,000. The final withdrawal date of the borrowed amount is 36 months (after the signing of the loan agreement
Invoices
To apply for a loan, you need quotes. Based on these quotes, The Energy House can determine if the applicant, the home and the planned work qualify on My Rebuilding Loan. To disburse the loan, you need invoices. These should not be older than the application date of My Rebuilding Loan. The invoice amount determines the final loan amount.
What is the refund process like?
Just like taking out a loan from a bank, The Energy House will also consider what is feasible for you based on your individual situation and ability to repay and will then determine a well-balanced loan amount and term.
Some important points:
- The amount to be borrowed is between €1,250 and €60,000
- A maximum repayment term of 25 years
- The Flemish Government offers this loan interest-free, as long as the legal interest rate remains below 3% (currently the legal interest rate is 5.25%)
- Since Feb. 1, 2023, new applications will receive an interest rate of 2.25% (current loans will not be adjusted)
- You can calculate the interest rate for your renovations yourself using the interest rate simulator
- The Energy House does not charge filing fees
Don’t qualify for My Rebuilding Loan? Then apply for a green loan to finance energy-saving works.