New JTYK subscriptions grow 16.4% year-on-year in August 2013

- The number of new JTYK subscribers increased for two months in a row, reaching 482 this past August -

On September 11th, the Korea Housing Finance Corporation (HF, CEO Seo Jong-dae) announced that the JooTaekYeonKeum (JTYK) reverse mortgage loan scheme, which provides homeowners with pension benefits throughout their life after retirement based on the value of their homes, welcomed 482 new subscribers (with 592.4 billion won offered in housing guarantees) in the month of August 2013.

This represents growth of 16.4% year-on-year in the number of new subscriptions (from 414 to 482) and a 3.2% increase in the amount of housing guarantees offered (from 573.8 billion won to 592.4 billion won). Although August had only 21 working days compared to 23 in July, it saw the month-on-month number of new subscriptions and the amount of housing guarantees increase 0.8% (from 478 to 482) and 5.1% (from 563.8 billion won to 592.4 billion won), respectively.

A total of 3,527 households have joined JTYK this year through August, up by 14% from the 3,091 recorded over the first eight months of last year.

“Following the launch of the Early-Subscription JTYK this June, the minimum age requirement for JTYK subscription was relaxed to ‘only the registered housing owners being 60 years or above.’ This triggered the pent-up demand for JTYK, leading to an increase in new subscriptions last month despite a lower number of working days than in July,” explained one HF official. “During the Korean thanksgiving holidays this month, many families will likely get together and discuss the potential subscription of their parents to the JTYK scheme. As a result, the number of new subscriptions is projected to continue growing in September and beyond.”