Leading sustainable housing finance for housing welfare of the people
Established on 1 March, 2004, Korea Housing Finance Corporation(HF) is a Government-Sponsored-Enterprise(GSE) that facilitates a long-term, stable supply of housing finance to promote housing welfare of the people and develop the national economy.Committed to serving as a trusted partner for low-to-moderate income families HF has wide-ranging housing finance operations, including supply of Bogeumjari Loans and Conforming Loans, provision of guarantees for homebuilders and Korean Home Pension(Reverse Mortgage), and issuance of MBS and MBB (securitization of mortgage loans).
- Bogeumjari Loans and Conforming Loans
- HF provides policy mortgages such as Bogeumjari Loans and conforming Loans, which are long-term, fixed-rate, amortized mortgage loans with maturities 10 years or longer. With these policy mortgages, first-time homebuyers can make repayment on their loans over a long term period without a concern for the risk of interest fluctuations.
- Housing Finance Guarantees
- For housing stability, HF offers guarantees for Jeonse loans or apartment installment payment loans for eligible borrowers, as well as guarantees for homebuilders, which facilitates supply of apartment houses.
- Korean Home Pension (Reverse Mortgage)
- HF offers the Korean Home Pension, a reverse mortgage, to senior citizens to support their stable livelihood in the advanced years. Under the Korean Home Pension program, homeowners aged 55 or older can take out a reverse mortgage from financial institutions with their houses as collateral and receive monthly pensions for lifetime.
- MBS and MBB Issuance
- HF issues Mortgage-Backed Securities (MBS) and Mortgage-Backed Bonds(MBB) with mortgage loans transferred from financial institutions as underlying assets and sells them to investors. HF securitization business enables the raise of long-term, low-interest capital from the bond market, expanding fund availability for policy mortgages.