Those Owning Homes with a Market Value of KRW 1.2 to 1.3 BN and Residential Studios Eligible to Apply for Home Pension from Today

- Revision bill of the Korea Housing Finance Corporation Act promulgated on Dec. 8 for greater Home Pension availability 

- The bill eases the eligibility requirements for Home Pension, a reliable source of income for middle-aged and older homeowners

Owners of homes with an official appraised value of KRW 900 million (or KRW 1.2 to 1.3 billion in market value) and residential studios will become eligible to sign up for the Home Pension reverse mortgage program from December 18, 2020. 

Korea Housing Finance Corporation (HF, CEO Lee Jung-Hwan) revealed that the revision bill of the Korea Housing Finance Corporation Act (the “Act“) passed the cabinet meeting on December 1, 2020, and will be promulgated on December 8, 2020. The revision bill includes two main features: a higher maximum home value (from the existing KRW 900 million to KRW 900 million in officially appraised value) and additional home types (including residential studios). The bill will come into effect upon its promulgation. 

HF CEO Lee Jung-Hwan said, “Prior to the official publication of the revision bill, we received applications for pre-purchase counseling from December 1 and received a total of 81 applications. These applicants will enter into a guarantee agreement process and soon receive Home Pension payouts in a consecutive manner. As we open our official application and subscription process today under the revised Act, we hope that Home Pension helps middle-aged and older adults financially hit by COVID-19 stay warm and secure throughout the winter holiday season.”       

An HF official said, “Anyone interested in Home Pension counseling and subscription can get free consultation and subscription assistance if they contact their nearest HF branch office or our official webpage or call center (1688-8114).”