Korea Housing Finance Corporation Raises Bogeumjari Loan Rates by 0.1 Percentage Point in November... Lowest Annual Rate at 4.0%

Apply by November 8 to receive current rates

The Korea Housing Finance Corporation said on November 2 that it will raise the interest rates on Bogeumjari Loan, a long-term, fixed-rate, amortizing mortgage product, by 0.10 percentage points starting November 9.

Accordingly, the annual base rate for the “Akiem e-Bogeumjari Loan” will range from 5.00% for a 10-year term to 5.30% for a 50-year term.

Low-income young adults, newlywed households, socially vulnerable groups (including people with disabilities and single-parent families), and victims of rental deposit fraud may receive additional preferential rates of up to 1.0 percentage point. With all preferential rates applied, the lowest annual rate will fall to between 4.00% for a 10-year term and 4.30% for a 50-year term.

However, a 0.1 percentage point surcharge will apply to non-face-to-face (u-type) and face-to-face (t-type) products for which the loan agreement and mortgage registration are not processed electronically.

A Korea Housing Finance Corporation official said, “We made a modest rate increase after taking into account market interest rates and funding conditions for mortgage-backed securities (MBS). We will continue to closely monitor market conditions and work to minimize the financial burden on ordinary households and those borrowing for their actual housing needs.”

Meanwhile, applicants who complete their Bogeumjari Loan applications by November 8 will be eligible for the rates in effect before the increase.

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