In November 2025, the outstanding balance of household loans across all financial sectors increased KRW4.1 trillion (preliminary), rising at a slower pace compared with the previous month (up KRW4.9 trillion).

(By Type)  Home-backed mortgage loans rose KRW2.6 trillion, growing at a slower pace compared with the previous month (up KRW3.2 trillion). Banks (up KRW2.0 trillion → up KRW0.7 trillion) saw the pace of growth decelerating, while nonbanks (up KRW1.2 trillion → up KRW1.9 trillion) saw the pace of growth accelerating. Other types of loans rose KRW1.6 trillion, growing at a slower pace compared with the previous month (up KRW1.7 trillion), while credit loans showed a similar level of growth from a month ago (up KRW0.9 trillion → up KRW0.9 trillion).

(By Sector)  In November 2025, household loans in the banking sector rose KRW1.9 trillion, growing at a significantly slower pace compared with the previous month (up KRW3.5 trillion). Banks’ own mortgage loan products (up KRW1.1 trillion → up KRW0.1 trillion), policy-based loans (up KRW0.9 trillion → up KRW0.6 trillion), and other types of loans (up KRW1.4 trillion → up KRW1.2 trillion) all showed the pace of growth decelerating from the previous month.

In the nonbanking sector, household loans increased KRW2.3 trillion, expanding at a faster pace compared with a month ago (up KRW1.4 trillion). Mutual finance businesses (up KRW1.2 trillion → up KRW1.4 trillion), insurance companies (up KRW0.1 trillion → up KRW0.5 trillion), and specialized credit finance businesses (up KRW0.2 trillion → up KRW0.4 trillion) saw the pace of growth accelerating, while savings banks (down KRW0.2 trillion → down KRW0.04 trillion) saw the pace of decline slowing down.

(Assessment)  In November 2025 (up KRW4.1 trillion), the pace of household loan growth decelerated from the previous month (up KRW4.9 trillion) and the same month a year ago (up KRW5.0 trillion), with mortgage loans growing at a slower pace (up KRW3.2 trillion in October → up KRW2.6 trillion in November) due to the effects of the strengthened household debt management measures.

With regard to the method for calculating the value of houses for jeonse loans, the FSC and Korea Housing Finance Corporation (HF) plan to make an improvement to how home prices are determined for the properties that are not listed on a publicly available real estate price database. Currently, a flat rate of 140 percent of the government-declared value is applied across the board on these properties. However, if it is desired by the renter, a recently appraised value (within six months) of the home will also be recognized as the home price for the purpose of issuing jeonse loans.

With the presence of uncertainties at home and abroad, it is necessary to continue to closely manage the pace of household debt growth. In this regard, financial companies are highly encouraged to take this into account when preparing their monthly and quarterly targets for household loans in 2026.

With regard to the operation of the stressed debt service ratio (DSR) rules for the first half of 2026, the FSC plans to continue to apply the second-stage debt service ratio (DSR) level on mortgage loans that are backed by residential properties located outside the Seoul metropolitan and/or speculation regulated areas. As such, until June 30, 2026, mortgage loans for non-Seoul areas will be subject to an additional stress rate of 0.75 percent, which is at a 50 percent level of the base stress rate (1.5 percent). How an additional stress rate is determined for individual borrowers will also vary depending on the type of mortgage interest structures (variable, mixed, or periodically changing). In this regard, financial companies are urged to make continuous efforts to ensure a seamless implementation of the stressed DSR system.

* Please refer to the attached PDF for details.