In addition, the mortgage ban prohibits the purchase of high-priced homes worth more than 1.5 billion won in Suwon, Anyang, and Uiwang, Gyeonggi-do.

Borrower's Total Liabilities Repayment Ratio (DSR) regulations, which have a strong reduction in loan limits, also do not apply in these regions.

Compared to the speculative districts and overheating districts like Seoul, there is a relatively large number of people who live in the real estate, giving some breathing control to loan regulation.

According to government measures, Suwon Yeongtong, Kwonseon, Jangan-gu, Anyang Manan-gu, and Uiwang-si were newly added to the area under the February 20 measures.

The region to be adjusted means a real estate dumping regulated area, together with a dumping area or a dumping hot zone.

In all of these areas, the house price jumped due to the balloon effect of the 12/16 real estate measures.

The government will lower the mortgage loan ratio (LTV) from the adjusted region from 60% to 50% from the second day of next month, and reduce the excess of KRW 900 million to 30%.

The 12/16 measures last year resulted in a 'balloon effect', in which housing prices in major Gyeonggi provinces rose.

However, unlike the speculative and overheated districts, loans for homes with super-high-priced apartments worth more than 1.5 billion won are not prohibited.

In the 12/16 measure, these regulations were applied to all borrowers, including households, private businesses, and corporations in the dumping area and the overheating district.

Don't use bank loans when buying more than 1.5 billion apartments.

However, in areas subject to adjustment, housing loans for purchases exceeding KRW 1.5 billion are possible.

The region also does not manage DSR rates on a Borrower basis.

DSR is the value of all household loans repaid by annual income. The DSR by borrower is lower than the traditional limit by the financial institution.

For banknotes, up until now, the average of household loan DSR had to be managed by bank within 40%.

If you applied less than 40% DSR to one customer, you could manage the average by applying more than 40% to another customer.

In the 12/16 plan, the government required the DSR 40% (60% non-banking) regulation to be applied to mortgages for the purpose of buying a house with a city value of more than 900 million won in the dumping area and the overheating district.

Immediate Lending Limit Reductions, such as LTV and Total Debt Repayment Ratio (DTI).

However, these regulations have not been imposed in areas subject to adjustment, such as Suwon and Anyang.

In other words, you only need to manage the average value for each financial institution.

Individuals may exceed 40% of DSR.

The government has also decided to give LTV 10% more points to ordinary people and consumers in the region.

Common residents and consumers who need to be reconciled must meet all of the conditions, such as homeless household owners, housing price less than 500 million won, and combined income of less than 60 million won (less than 70 million won for first time home buyers).

(Photo = Yonhap News)