KB Kookmin Bank Halves Mortgage Loan Limit... Maximum 300 Million Won from the 10th

Stricter Than the 600 Million Won Cap Set by Financial Authorities
Loan Limit Halved from 600 Million Won to 300 Million Won

Starting July 10, KB Kookmin Bank will reduce the maximum loan limit for home purchase funds from 600 million won to 300 million won. While the financial authorities reduced the maximum mortgage loan limit to 600 million won last year as part of the June 27 measures, KB Kookmin Bank has independently lowered it further to 300 million won.

On July 8, KB Kookmin Bank announced that, beginning July 10 and until further notice, it will lower the mortgage loan limit for the Seoul metropolitan area and regulated regions from 600 million won to 300 million won. In addition, the loan limit for home purchase funds in non-regulated areas, which previously had no restrictions other than the Loan-to-Value (LTV) ratio, will also be capped at 300 million won.

Previously, the Financial Services Commission had limited the mortgage loan for home purchases in regulated areas of the Seoul metropolitan region to 600 million won from the end of June last year.

However, collective loans such as relocation expenses, interim payments, and balance payments, as well as fund loans, Bogeumjari Loans, and purchase or auction funds for victims of rental scams, are excluded from these loan limit regulations. In addition, KB Kookmin Bank refinancing loans and re-lending without an increase in loan amount, as well as debt assumption due to inheritance, are not subject to the new loan cap.

The existing loan limits for high-priced homes will remain unchanged. For mortgage loans to purchase homes in the Seoul metropolitan area and regulated regions with a transaction price exceeding 2.5 billion won, the maximum loan limit of 200 million won will continue to apply as per the current policy.

A KB Kookmin Bank official explained, "This is an internal management measure to ensure stable control of household lending and to proactively adjust our portfolio."

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