"Are there any Seoul apartments under 600 million won?"... Even if youth loans open, they are 'out of reach'

Through the August 13 real estate measures, the government has unveiled a large number of financial support measures targeting actual homebuyers, such as young people and newlyweds.
The intent is to help people purchase their own homes by lowering income requirements and eligibility thresholds for policy loans. However, critics point out that there are limitations in enabling young people to actually purchase the housing they prefer. The argument is that while the number of "people eligible for loans" has increased, "homes available for purchase with a loan" remain insufficient. According to the Financial Services Commission on the 17th, the "Comprehensive Financial Measures for Stabilizing the Real Estate Market," announced on the 13th, included plans to resolve the "marriage penalty," which excludes couples from policy loans due to the combined spousal income criteria after marriage. Starting this coming October, the Bogeumjari Loan for newlyweds will be available even if the annual income of one spouse is 70 million won or less.
Didimdol and Beotimmok loans are also permitted if one spouse meets the income requirements of 60 million won and 50 million won or less, respectively. However, the housing price limit for these loans is a maximum of 600 million won. It is not easy to find an apartment in Seoul that meets this criterion. 07 million won.
69 million won, respectively. Consequently, young people and newlywed couples in Seoul inevitably have limited options if they wish to purchase an apartment using policy loans. "Where in Seoul can you find a house under 600 million won other than a villa?" said Mr. A, a prospective newlywed in his 30s.
"I don't know who this loan is for. Are they telling us not to live in Seoul?" Seo Jin-hyung, a professor of Real Estate Law at Kwangwoon University, stated, "The complaints raised by the younger generation are entirely valid. " He added, "Since it is difficult to buy a house without taking out a loan, it is desirable to ease lending regulations so that non-homeowning actual buyers can purchase homes at low interest rates over the long term. " The Youth Future Home Loan, set to launch next January, is also controversial.
This is a policy mortgage available to young people aged 39 or younger purchasing a non-apartment home for the first time with an exclusive area of ​​85 square meters or less and a price of 400 million won or less. It targets those with an annual income of 70 million won or less, and applies a maximum Loan-to-Value (LTV) ratio of 80%. Even if this product is utilized, the preferential LTV benefit for first-time homebuyers, which can be used for future housing upgrades, is not exhausted. The problem is that the younger generation prefers apartments as their first home.
7% of young heads of households preferred apartments when purchasing their first home. 5%). B, a person in their 30s considering marriage, pointed out, "Easing loan restrictions centered on non-apartment housing ignores the reality of young people seeking housing stability," adding, "If the intention was to use non-apartment housing as a stepping stone, it would have been more appropriate to introduce measures regarding Jeonse and monthly rent. " Lee Eun-hyung, a research fellow at the Korea Institute of Construction Policy, noted, "If the price range young people can afford in Seoul, it inevitably ends up being non-apartment housing, so the content of the announcement itself reflects reality," but also pointed out, "Specifying non-apartment housing as the target type becomes the starting point for controversy.
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[email protected] Choi A-young Reporter