Gwonseon-gu Jeonse Deposit Support for Low-Income Households

Gwonseon-gu announced on the 2nd that it is operating the "Low-Income Household Jeonse Deposit Support Program," which recommends that low-income tenants without homes can obtain jeonse deposit loans from financial institutions at an annual rate of 2% to promote residential stability.

The support targets are unmarried heads of households aged 20 and over without homes whose monthly household income does not exceed twice the minimum living expenses under the National Basic Livelihood Security Act (1-person household: 1,144,336 won per month; 2-person household: 1,948,462 won per month; 3-person household: 2,520,630 won per month; 4-person household: 3,092,798 won per month; 5-person household: 3,664,964 won per month; 6-person household: 4,237,132 won per month).

The eligible rental property is one whose purpose is registered as residential or officetels (residential-use where household registration transfer is possible) according to the building registry or building management ledger, with a residential area of 85 square meters or less and a jeonse deposit of 100 million won or less (110 million won for households with three or more children), where the tenant concludes a jeonse contract.

However, those excluded from the program include cases where the head of household or household members own real estate or medium or larger vehicles, are already using jeonse deposit loans from financial institutions, or do not meet the loan requirements set by banks. Loan conditions include equal principal and interest installments over 15 years at an annual interest rate of 2%, with a maximum loan amount of 70% or less of the jeonse deposit, within 56 million won (63 million won for households with three or more children) in the case of Suwon.

The loan application procedure requires confirmation of loan eligibility and available loan amount at the handling banks (Kookmin Bank, Woori Bank, Hana Bank, Shinhan Bank, Industrial Bank of Korea, National Agricultural Cooperative Federation) before concluding the jeonse contract. If a loan is possible, after concluding the jeonse contract, applicants must prepare documents including the jeonse contract, household registry, building registry, and income verification documents, and submit them to the Gu Office Architecture Division.

A district official said, "We hope that the low-income household jeonse deposit loan support project will ease the burden on low-income households at least to some extent."