Government Offers Housing Mortgage Loans with 2% Interest Rate for Youth Signing Up for Cheong Youth Subscription Savings Account

"New·Home to Be Offered at Around 70% of Surrounding Market Prices"

The government has decided to provide mortgage loans at a low interest rate of around 2% to young people without homes.

[Image source=Yonhap News]

On the morning of the 24th, Won Hee-ryong, Minister of Land, Infrastructure and Transport, announced this at the 'Youth Homeownership Measures' party-government meeting held at the National Assembly.

In his opening remarks, Minister Won said, "To support the dream of homeownership, which the future generation is most anxious about and suffering from, and to move toward a society with a strong middle class, the government plans to implement a groundbreaking policy that offers financial opportunities for homeownership at a long-term low interest rate of around 2% if one subscribes to a dedicated subscription savings account."

Currently, the mortgage loan interest rates at commercial banks are at the level of 5 to 6% per annum.

Minister Won also announced that 340,000 units of public sale housing called 'New·Home' will be provided at about 70% of the market price. He emphasized, "New·Home will be offered at around 70% of the surrounding market price, which is more than three times the amount compared to the previous government."

He added, "If young people win the expanded subscription opportunities through the youth special supply and lottery system, which were unfavorable in the past subscription system, for homes supplied at this price range, they will be able to realize a future where they can achieve their dream of homeownership step by step by receiving financial opportunities with ultra-long-term and ultra-low interest rates."

Minister Won also stated, "Before challenging homeownership, the government will not neglect efforts to alleviate the housing cost burden of young people and low-income households living in jeonse or monthly rent, to solve various social problems that hurt vulnerable residents such as jeonse fraud, and to strongly protect the housing of ordinary citizens."

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