“ Appraisal Fee Slashed for the JTYK Loan Applications ”

- Simple appraisal introduced on February 18 -

The appraisal fee on a house that is offered as collateral when applying for the JTYK loan is significantly reduced.

On February 13, the Korea Housing Financial Corporation (KHFC) announced that it signed the Collateral Examination Agreement with the Korea Appraisal Board (KAB) and would start doing simple appraisals on apartment units on February 18.

Earlier, in order to apply for the JTYK loan with an apartment unit worth KRW 300 million as collateral, an official appraisal costing KRW 492,000 was required if its market price was not available online. Starting February 18, however, the applicant needs to only pay a fee of KRW 50,000~80,000 for a simple appraisal.

“About 83.7% of JTYK borrowers owned apartment units. We expect many borrowers will enjoy cost-savings with the introduction of the simple appraisal,” said an official at KHFC.

Meanwhile, JTYK borrowers may pay lower rates on the registration tax, the education tax and the special farming and fishing villages tax, which are required for the mortgages, and are exempted from the obligatory purchase of National Housing Bonds.