- Down Payment Loan Standard Price Raised from 900 Million Won to 1.2 Billion Won
- Riverside SK View Lotte Castle Attracts Attention with Large-Type Units Featuring Separate Household Layouts
In the future, it is expected that interim payment loans will be available for newly supplied apartments priced up to 1.2 billion KRW. Additionally, the deadline for existing homeowners who win a subscription to dispose of their current homes will be extended from 6 months to 2 years.
The government announced these measures on the 27th at the 11th Emergency Economic and Livelihood Meeting presided over by the President. This action is based on the judgment that excessive regulations have suppressed real estate transactions, causing genuine buyers difficulties in securing their own homes or relocating. Since August 2016, interim payment loan guarantees were only applied to homes priced at 900 million KRW or less, but as Seoul housing prices mostly exceeded 900 million KRW, there were repeated criticisms that only 'cash-rich' buyers could enter the market.
Minister Won said on the day, “The ceiling for interim payment loans has been too low compared to the rise in housing prices, so we will raise it to 1.2 billion KRW.”
Until now, the government has restricted interim payment loan guarantees by the Housing and Urban Guarantee Corporation (HUG) and the Korea Housing Finance Corporation (HF) for homes priced over 900 million KRW since August 2016. If the price exceeded 900 million KRW, buyers had to cover the contract deposit and interim payments, which account for about 70% of the price, without loans.
However, since the implementation of the system, Seoul housing prices have surged, and cases where apartment prices in major Seoul areas exceed 900 million KRW have continued, leading to calls for raising the standard. Accepting these opinions, the government plans to expand the current 900 million KRW standard to homes priced up to 1.2 billion KRW.
Raising the interim payment loan standard to 1.2 billion KRW can be done by the Housing and Urban Guarantee Corporation (HUG) revising its internal loan guarantee regulations, and it is expected to be implemented as early as this month. It will apply from the installment due date after the implementation date, so places that have just started sales and have a long time until the interim payment due date are expected to benefit.
Meanwhile, attention is also focused on ‘Riversen SK VIEW Lotte Castle,’ which opened its model house on the 4th and started full-scale sales. It is a branded large complex apartment introduced in Seoul after a long time, undergoing transformation through active redevelopment projects in the area, and boasts excellent living infrastructure such as transportation, education, convenience, and natural environment, attracting high interest from prospective subscribers.
Riversen SK VIEW Lotte Castle is located in Jung-hwa-dong, Jungnang-gu, Seoul, consisting of 8 apartment buildings ranging from 2 basement floors to a maximum of 35 floors above ground, with exclusive areas from 39 to 100 square meters, totaling 1,055 households. Among them, 501 units will be sold to the general public.
For Riversen SK VIEW Lotte Castle, units up to 70㎡ were priced below 900 million KRW, allowing interim payment loans, but some units of 84㎡ A, B, C and 100㎡ A, B types exceeded 900 million KRW, making interim payment loans unavailable.
For buyers who want medium to large-sized units and need loans, it was difficult to secure funds, leading some to apply for small to medium-sized units or even give up on subscription altogether. However, with the government's recent deregulation, funding opportunities have opened, allowing buyers interested in those types to consider applying.
Among them, the separated household layout particularly draws attention. The separated household layout applied to some 84㎡ and 100㎡ units features two separate entrances, kitchens, and bathrooms, enabling landlords and tenants to live independently without encountering each other.
The complex boasts an excellent location. It is an ultra-station area complex located just a 2-minute walk from Jung-hwa Station on Subway Line 7, allowing quick access to Gangnam without transfers. Nearby are Shinmuk Elementary, Mukdong Elementary, Jangan Middle, Jungnang Middle, and Jung-hwa High School, and universities such as Kyung Hee University, University of Seoul, and Hankuk University of Foreign Studies are also close, providing excellent educational infrastructure.
All units are arranged mainly facing south to maximize sunlight, and the above-ground area is designed as a car-free complex (except for neighborhood living vehicles), providing residents with a pleasant environment. The underground parking lot has increased ceiling height to accommodate delivery vehicles, and spaces for electric vehicle charging are also provided.
In the center of the complex, the ‘Biotopia Garden’ with an ecological pond enhances openness. Throughout the complex, resident exercise facilities and healing walking trails will be created, making it a nature-friendly resting space.
SK Ecoplant’s Clean Air Solution, a fine dust reduction specialized design, will also be applied. An energy-saving heat exchange ventilation system will be installed in each unit, allowing indoor ventilation without opening windows, and room-by-room temperature control will reduce heating costs while maintaining a comfortable indoor environment.
The waiting area for school buses will also have ventilation and heating/cooling systems, and an air quality signal light indicating fine dust levels will be installed. Many tree species with fine dust reduction effects will be planted in the external landscaping, and community facilities such as senior centers and daycare centers will have windows equipped with fine dust filters.
Advanced safety management systems will be introduced. Black box cameras installed at entrances automatically record abnormal movements detected at unit entrances. Emergency bells and high-definition CCTV will be installed throughout the complex, including underground parking lots and children’s playgrounds.
Facilities for daily convenience will also be provided. Through the in-unit wall pad, residents can call elevators, monitor energy usage, and remotely control heating, gas, lighting, and more.
Additionally, various community facilities such as an indoor golf practice range, screen golf zone, fitness center, GX room, daycare center, library, study room, book caf?, and senior center will be prepared.
Meanwhile, subscriptions for Riversen SK VIEW Lotte Castle will begin with special supply on the 14th, followed by first priority applications from the relevant area (residents of Seoul for 2 years or more) on the 15th, first priority applications from other areas (residents of Seoul less than 2 years and residents of Gyeonggi and Incheon) on the 16th, and second priority applications on the 17th. Winners will be announced on the 23rd, and contracts will be signed from December 5th to 8th.
Move-in is scheduled for November 2025.
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
