Korea Housing Finance Corporation Expands Preferential Guarantee Fees for Vulnerable Groups

Easing the Burden for Small Business Owners, Disaster Victims, Large Families, and Low-Income Groups

Korea Housing Finance Corporation (President Kim Kyunghwan) announced on April 20 that, starting with guarantee applications submitted that day, it will strengthen preferential guarantee fee policies for housing guarantees targeting low-income and vulnerable groups.

This measure was introduced to alleviate the housing cost burden for groups in need of policy support, such as small business households, disaster-affected families, households raising children, and low-income individuals.

First, small business households and disaster-affected families will receive discounts on guarantee fees when using personal guarantees and jeonse deposit return guarantees. For small business households, the personal guarantee fee will be reduced by 0.1 percentage points and the return guarantee fee by 0.02 percentage points. For disaster-affected families, the personal guarantee fee will be reduced by 0.2 percentage points and the return guarantee fee by 0.03 percentage points, respectively.

Support for households raising children is also being expanded. Previously, only households with three or more children were eligible, but going forward, households with even one minor child, including unborn children, will receive preferential guarantee fees ranging from 0.01 to 0.03 percentage points depending on the number of children.

In addition, for low-income individuals with an annual income of 25 million won or less, the discount on the jeonse deposit return guarantee fee will be increased from the previous 0.02 percentage points to 0.03 percentage points.

President Kim Kyunghwan stated, "We hope this system improvement will help ease the housing cost burden for low-income and vulnerable groups," adding, "We will continue to promote inclusive finance, focusing on groups requiring policy support."

Korea Housing Finance Corporation

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