Property
South Korea — Property: Mortgage Availability
Mortgage limits in Korea's Seoul metropolitan and regulated areas as of late 2025, per the Financial Services Commission. The page applies rules by borrower status and location and does not mention foreign nationals, so ask a bank how a non-resident is treated.
VerifiedGovernment / official sourceFinancial Services Commission (Korea) - Key policy Q&A on the October 2025 housing-market stabilisation measuresLast reviewed: 2026-10-27
Key facts
- In regulated areas, first-time or homeless buyers (including those with a sale condition for one home) face a maximum loan-to-value of 40%, cut from 70%, from 7 September 2025.
- Purchase mortgages in the metropolitan and regulated areas are capped at KRW 600 million for homes up to KRW 1.5 billion, KRW 400 million for KRW 1.5 to 2.5 billion, and KRW 200 million above KRW 2.5 billion, effective 16 October 2025.
- The stress debt-service rate for mortgages in those areas rose from 1.5% to 3.0%.
- Non-housing mortgages on offices, land and shops in land-transaction-permit zones also face LTV cut from 70% to 40%.
- Regulated areas are designated by the Ministry of Land, Infrastructure and Transport, and the banks' mortgage risk-weight floor rises from 15% to 20%, brought forward to January 2026.
Steps
- Step 1: Determine Eligibility — Check with Korean banks and international banks with a presence in South Korea to see if they offer mortgage products to foreigners and what requirements must be met.
- Step 2: Gather Required Documents — Foreigners may need to provide additional documentation, such as proof of foreign income or a minimum amount of cash deposited into a Korean bank account.
- Step 3: Apply for a Mortgage — Submit an application to a lender, providing all necessary documentation and meeting any additional requirements as specified by the lender.