□ Korea Housing Finance Corporation (HF, CEO Kim Jae-Chun) announced on the 30th that it would freeze the interest rate on Bogeumjari Loans, its long-term, fixed-rate amortizing mortgage loans, for December.

□ An HF official said, "HF decided to maintain the current interest rate through the end of the year despite its rising cost of funds, because the recent increase in mortgage rates offered by commercial banks to nearly 4% has inflicted a heavy interest burden on aspiring homeowners."

□ HF explained that it froze the interest rate to minimize the loan repayment burden on the working class in the area of policy loans, considering that HF is offering Bogeumjari Loans temporarily only to first-time homebuyers and the working class from October 19 to the end of the year.

□ HF added that it would maintain the current interest rate through the end of the year but adjust it next year in comprehensive consideration of changes in market interest rates and policy mortgage products.

<Interest Rates on Bogeumjari Loans (As of December 1, 2016)>

(Unit: %)

Note1) HF's flagship product available through the HF's webpage

Note2) Product available at commercial banks and at the same rate as on the u-Bogeumjari Loan available only through the webpage. This product is available at KEB Hana Bank, KB Kookmin Bank, Standard Chartered Bank Korea, Industrial Bank of Korea, Daegu Bank, Jeju Bank, NH Bank, and Woori Bank.