Korea Housing Finance Corporation (HF) announced on the 30th that it will raise the special Bogeumjari Loan interest rates by 0.25 percentage points starting November 3.
Accordingly, the preferential rates (for housing prices up to 600 million KRW and combined annual income of married couples up to 100 million KRW) will be applied at 4.50% per annum (10 years) to 4.80% per annum (50 years).
Low-income, young newlywed households, and socially disadvantaged groups (such as persons with disabilities and single-parent families) who receive additional preferential rates (up to 0.8 percentage points) will be offered rates as low as 3.70% per annum (10 years) to 4.00% per annum (50 years).
However, for victims of jeonse fraud, the same interest rates as before will be applied to support housing stability and economic recovery. The interest rates are 3.65% per annum (10 years) to 3.95% per annum (50 years).
An HF Corporation official stated, “Due to concerns over prolonged tightening, geopolitical risks from the Middle East, rising government bond yields, and increased uncertainty in the funding market, an interest rate hike is inevitable. We have minimized the increase to reduce the burden on low-income earners and actual homebuyers.”
If the special Bogeumjari Loan application is completed by the 2nd, the pre-increase interest rates will be applied.
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