K-HAI in Q2 Increased by 7.8% from Q1

Housing became less affordable to low and middle income households due to the rise in interest rates and other reasons.

According to KHFC, as of the end of June, the average K-HAI (Housing Affordability Index) nationwide was 81.4, an increase of 7.8% from 75.5 in March, which indicates that it became more difficult for middle income households to purchase houses.

This increase may be attributable to rising house prices, especially for small houses. In addition, household incomes declined due to seasonal factors such as the reduction in bonuses, while the interest rates on housing loans edged up slightly.

The index for homes of more than 135㎡ far exceeded 100 in all regions except Jeonnam. The index for houses larger than 85㎡ was also above 100 in most metropolitan cities, indicating that it is still difficult for low/middle-income earners to buy larger houses.