Housing Finance Corporation Raises Jeonse Deposit Limits to 700 Million KRW in Seoul Metropolitan Area from 500 Million KRW... 300 Million KRW to 500 Million KRW in Provinces

[Asia Economy Yeongnam Reporting Headquarters, Trainee Reporter Hwang Du-yeol] Korea Housing Finance Corporation (HF) is easing the deposit requirements for lease deposit guarantees to reflect the housing market situation.

On the 27th, HF announced that the deposit requirement for lease guarantee subscription will be raised from the existing 500 million KRW to 700 million KRW in the metropolitan area. In provincial areas, it will increase from 300 million KRW to 500 million KRW.

The increase in deposit requirements was made to alleviate the housing cost burden for low-income and actual demand households.

The revised rules will apply to new lease contract applicants from January 3rd onward. Customers currently using HF guarantees or guarantees from other institutions can also use HF lease guarantee products if they renew their lease contracts after the application date.

The maximum guarantee limit for lease loans remains unchanged at 200 million KRW.

Lease guarantees are supplied to commercial banks in the form of entrusted guarantees so that customers can choose guarantee products that meet the requirements when using lease loans. Detailed information on loan interest rates and guarantee fees can be confirmed at the banks.

President Choi Jun-woo said, “We will deeply consider developing new products and improving systems to ensure housing stability for low-income households without homeownership.”

This content was produced with the assistance of AI translation services.