Claims spread online that government plans to ban home loans on properties worth over 1.5 billion won

Financial Services Commission Chairman Lee Eok-won answers questions from lawmakers during a national audit of the FSC at the National Assembly's Political Affairs Committee on Oct. 8. [Yonhap]
Financial Services Commission Chairman Lee Eok-won answers questions from lawmakers during a national audit of the FSC at the National Assembly's Political Affairs Committee on Oct. 8. [Yonhap]

Financial Services Commission Chairman Lee Eok-won on Wednesday announced a firm response to online posts claiming the government plans to further tighten mortgage lending limits.

Lee posted on X, formerly Twitter, saying claims that the government intends to further restrict mortgage loan limits based on home prices are "completely false."

The posts circulating online Wednesday alleged that the government was preparing regulations to impose additional mortgage restrictions tied to property values. They claimed loans would be banned entirely on homes worth 1.5 billion won ($1.13 million) or more, capped at 200 million won for properties above 1 billion won, and limited to 400 million won for homes valued at 1 billion won or below.

Under current regulations, mortgage loans on homes priced at 1.5 billion won or less in the Greater Seoul area and other regulated zones are capped at 600 million won.

Lee said the FSC plans to "proceed with necessary measures, including a referral for criminal investigation." He added that the commission "has responded strictly to the spread of false information that undermines sound market order" and intends to "continue doing so in similar cases going forward."


eyre@heraldcorp.com