<Anchor> The



era of zero interest rates in Korea has come to an end after 20 months. The Monetary Policy Committee of the Bank of Korea has raised the base rate to 1% per annum. As the possibility of raising interest rates further next year has been hinted at, the interest burden on investors who borrowed debt is growing.



By Jang Hoon-kyung.



<Reporter> As the



background of the end of the era of ultra-low interest rates in the 0% range, the Bank of Korea heard that the domestic economy is recovering well and steep inflation.



In addition to rising raw material prices such as international oil prices, consumption demand is increasing due to daily recovery, and global supply chain disruptions are prolonged.



He also hinted at the possibility of further rate hikes in the first half of next year.



[Lee Joo-yeol / Governor of the Bank of Korea: I can say that (base rate) is still at an accommodative level in light of inflation. We do not think it is necessary to exclude the first quarter increase.]



The Bank of Korea predicted that the two rate hikes would increase households' annual interest burden by 5.8 trillion won compared to the end of last year.



[Kim Sang-bong / Professor of Economics at Hansung University: I think it would be better to pay the minimum (loan), as much as you can afford. Existing borrowers are also repaying (part of the principal)... .]



Real estate purchase sentiment, which has been dampened by loan regulations, is expected to further weaken.



[Bakwongap / National Bank Real Estate Senior Professional Advisor: increasing the property tax burden on the lending regulations itgoyo is likely to be a demand for its rapidly slowing, making up the base rate -



the additional interest rate hikes in the US tapering exit and rate hikes, as long as after the ground next year The adjustment phase could be quicker, plus lending restrictions set to tighten next year, further tightening demand for real estate.



However, interest rates are still below the pre-COVID-19 level, and the outlook is more favorable to wait and wait until June, when the new government's real estate policy is announced after the next presidential election.