Youth Jeonse Deposit Loans in Korea: Types and Interest Rates
3 min read Β· Β· Korean original
Contents 4
Easing Young People's Housing Costs with a Range of Options π°
Thanks to government efforts, a variety of support programs are now in place to reduce the housing cost burden on young people. As a result, many youth jeonse (lump-sum lease deposit) loan products have been launched. In this post, we'll look at 5 types of jeonse loans for young people, along with their eligibility conditions and interest rates.
π Types of Youth Jeonse Loans
Here are the various jeonse loan products available to young people. Check each product's features and conditions to choose the one that suits you best.
1. SME Youth Jeonse Loan
- πΌ A loan product for young employees of small and medium-sized enterprises (SMEs) and young entrepreneurs
- π Applications accepted until December 2023
- π Covers 100% or 80% of the rental deposit, up to KRW 100 million
2. KakaoBank Jeonse Loan
- π Easy loan application through an online bank
- π― For ages 19 to 34
- π° For people with an annual income of KRW 70 million or less who don't own a home
- π‘ Covers up to 90% of the rental deposit, up to KRW 100 million
3. LH Jeonse Loan (Youth Jeonse Rental)
- π’ A public rental housing program run by the Korea Land and Housing Corporation (LH)
- π For ages 19 to 39
- πΌ For university students and job seekers
- ποΈ For people who don't own a home
4. Youth Beotimmok Jeonse Loan
- π± A version of the Beotimmok jeonse loan with relaxed conditions
- π For ages 19 to 34
- π΅ Annual income of KRW 50 million or less, net assets of KRW 292 million or less
- π For rental homes with an exclusive area of 85γ‘ or less
5. Youth Customized Jeonse Loan
- π¦ Available at KB Kookmin Bank, IBK Industrial Bank of Korea, NH NongHyup, and others
- π« For ages 19 to 34
- πΈ For people with an annual income of KRW 70 million or less who don't own a home
- π Covers up to 90% of the rental deposit, up to KRW 100 million
π Interest Rates and Reviews
Take a look at the interest rates and reviews for each jeonse loan product, and find the one that fits you best among the many options.
Conditions may change, so please double-check the details of each product on its official website or with the relevant institution.
SME Youth Jeonse Loan
- π Interest rate: 1.2%
- πΌ You need to visit a bank after confirming your loan eligibility
KakaoBank Jeonse Loan
- π Interest rate: from 1.852% per year
- π± Easy application on mobile
- π Application period: from 1 month to 15 days before the balance payment date stated in the lease contract
LH Jeonse Loan
- π Interest rate: 1β2% per year
- π» Apply and sign the contract online
- π After applying for the loan, you sign the jeonse contract with LH
Youth Beotimmok Jeonse Loan
- π Interest rate: 1.5β2.1%
- π‘ Unemployed people can also apply
- π₯ Preferential rates may apply depending on household conditions
Youth Customized Jeonse Loan
- π Interest rate: from around 2.8% per year
- π¦ Rates vary by bank
- πΌ The loan may be rejected if the property already carries a large mortgage
βοΈ How to Choose: Finding the Right Jeonse Loan for You
Compare the conditions and interest rates of each product and choose the jeonse loan that suits you. We hope this helps you ease your housing costs and create a comfortable living environment.
