Half of the Surveyed Aged 55-59 Do Not Want to Leave Their Home to Their Children

- The percentage of those unwilling to give their home to their children has been steadily rising three years in a row
- One of every five elderly households willing to consider JTYK

Korea Housing Finance Corporation (HF, CEO Kim Jae-Chun) stated on the 30th that it conducted a JTYK survey to gain insights into the livelihood of senior citizens. The survey was conducted from June 29 through August 18, 2017, on 3,000 elderly households aged 55-84 without a JTYK scheme and 1,200 elderly households* aged 55-84 with a JTYK scheme. 
  * (Households in their second year of JTYK subscription) 600 elderly households which have subscribed to a JTYK scheme from July 2015 to June 2016
    (Households in their third year or longer of JTYK subscription) 600 elderly households which have subscribed to a JTYK scheme from July 2007 to June 2015 

The survey found that 44.7% of those in early old age (aged 55-59) are not considering leaving their home to their children. In addition, the percentage of elderly households unwilling to give their home to their children stands at 27.5%, showing a steady increase for the third year in a row. In addition, one of every five elderly households is willing to subscribe to the JTYK scheme. It is also found that the longer they have subscribed to the JTYK scheme, the less support they receive from their children. 
  * JooTaekYeonKeum (JTYK) is a state-guaranteed reverse mortgage loan in which senior citizens 60 years of age or older provide their owned home as collateral and receive living expenses for their post-retirement life in the form of monthly pension benefits either for the rest of their life or for a certain period of time.

27.5% of elderly households are found to be unwilling to leave their home to their children, and the figure has been steadily rising for three consecutive years 

Of households in early old age (55-59)*, 44.7% responded that they are not going to leave their home to their children. In addition, 27.5% of elderly households (60-84) without a JTYK subscription said that they will not leave their home to their children. The figure is the highest such percentage yet, up from 2015's 24.3% and 2016's 25.2%, and shows a steady increase over the last three years.
  * Elderly households aged 55-59

One out of every five elderly households found willing to subscribe to a JTYK scheme

Of senior households aged 60-84, 17.7% said that they are willing to subscribe to a JTYK scheme. This is a 3.1%-point increase from a year earlier. Among households aged 55-59, 31.0% of them said they are willing to consider a JTYK scheme. The number is up by 8.7% from the previous year's 22.3%.

The longer their JTYK subscription, the less support they receive from their children

The percentage of JTYK-subscribing households which get financial assistance from their children differs by how long they have subscribed to a JTYK scheme. For those in their second year of JTYK subscription, the percentage stands at 24.6%; 27.2% for those in their third to fifth year of JTYK subscription; 22.0% for those in their fifth to seventh year of JTYK subscription; and 17.5% for those in their seventh year or longer of JTYK subscription. This shows that the longer their JTYK subscription gets, the less support they receive from their children. 

The survey also studied the monthly incomes of households with and without JTYK subscription. The survey showed that from the age of 75, the monthly income of households with JTYK subscription is greater than that of those without JTYK subscription. In particular, among households aged 75-79, those with JTYK subscription have a monthly income of 1.61 million won, while the monthly income of those without JTYK subscription stands at 1.49 million won. In this age bracket, those with JTYK subscription enjoy 120,000 won more in their monthly income. It was found that the difference increases to 490,000 won in the age bracket of 80 or over.  

The percentage of elderly households preparing for retirement stands at nearly 50%

Among elderly households aged 60-84, the percentage of retired households and unretired households
with retirement preparedness stands at 51.2% and 55.9%, respectively.

In particular, a high percentage of them said that they began preparing for retirement after their children found a job or got married. And only 19.5% and 11.8% of retired and unretired households, respectively, said that they began preparing for their retirement since their head began working.

Among elderly households without JTYK subscription, 55.6% said that the biggest share of their monthly income comes from earned income. The percentage of pension income to the total monthly income stands at 26.1%. More specifically, the percentages of public pension income and private pension income to the total monthly income are 22.6% and 3.5%, respectively.

In addition, 45.2% of unretired elderly households without JTYK subscription responded that they expect public pension income to be their principal income source, showing their high dependency on the public pension program.

<The survey conducted is classified as quantitative data according to Article 3 Subparagraph 1 of the Statistics Act and Article 2 Subparagraph 5 of the Enforcement Decree of the Act. It is not governed by the Statistics Act.>