As the mortgage loan rate climbed into the 6% range for the first time in about two years, the bar for borrowing has risen further.
According to the financial sector on the 16th, the mixed (fixed) rate for mortgage loans at the four major banks (KB Kookmin, Shinhan, Hana, Woori Bank) stood at 3.93–6.06% annually as of the 24th. Compared with the end of Aug. (3.46–5.546%), the upper end rose 0.514 percentage points and the lower end rose 0.47 percentage points. This is because the five-year bank bond yield, which is linked to the mixed rate over the same period, climbed from 2.836% to 3.399%. It is the first time since Dec. 2023 that the mixed rate at the four major banks has exceeded 6%.
As of the 14th, the variable rate for mortgage loans based on the new COFIX stood at 3.77–5.768%, with the upper end up 0.263 percentage points and the lower end up 0.11 percentage points compared with the end of Aug. (3.66–5.505%). Although the COFIX rate rose 0.01 percentage point over the same period, it is interpreted that banks managed the increase in line with real estate and household loans regulations.
The lending rate for top-tier, one-year maturity unsecured loans also rose over the same period from 3.52–4.99% to 3.79–5.25%. The upper end increased 0.26 percentage points and the lower end increased 0.27 percentage points. This is because the one-year bank bond yield, a benchmark rate over the same period, rose 0.338 percentage points.