- Mayor Yoo Jeong-bok announces “I + House Dream” housing policy,  following up on the “₩100M + I Dream” parenting policy -

- Unprecedented “₩1,000 rent” subsidized housing policy and  1% subsidized mortgage loan interest -

The Incheon Metropolitan Government announced its new “₩1,000 Rent” (daily rate) policy to provide subsidized housing for newlyweds and engaged couples, and “I + House Dream” policy, which offers additional 1% subsidy for mortgage loan interest.

Subsidizing ₩1,000 daily rent and 1% mortgage loan interest to take action against the low fertility rate

Incheon’s “I + House Dream” policy provides subsidized housing to newly married couples to reduce the burden of high housing prices by offering additional interest support on existing bank loan benefits, such as special loans for newborns, for couples with children who receive mortgage loans in hopes of having their own homes.

First, Incheon is supplying subsidized housing with a daily rent rate of ₩1,000, in which

renters can apply for city-owned public “purchased lease” houses or private “jeonse lease” houses at a daily rate of ₩1,000 (monthly rate of ₩30,000). As for the latter, the city has to enter into a “jeonse” agreement with the landlord to provide applicants with the private house of their choice (e.g., apartment with an area of exclusive use no larger than 85 square meters). Eligible are newlyweds who have been married for no longer than seven years and engaged couples, who can receive support for two to six years. Meanwhile, the city government expects to supply 1,000 houses per year with this policy.

Overview of Incheon’s subsidized housing support for newlyweds (₩1,000 daily rent)

* (Eligible) Newlyweds (including engaged couples)

* (Scale) 1,000 units per year (500 purchased lease units, 500 jeonse lease units)

* (Period) Two years for the initial period (can be extended two times to receive support for six years in total)

* (Criteria) Up to 65 m2 for no child, up to 75 m2 for one child, up to 85 m2 for two children

※ Jeonse lease: Up to ₩240 million deposit (exceeded amount not supported)

₩1,000 rent houses can significantly reduce housing burdens by allowing families to live in houses at only 4% of the average monthly rent of ₩760,000 for private houses, leading to an immense aid on families’ childbirth and childrearing plans.

The city government is also subsidizing mortgage loan interest for families with newborns to support families with children looking to prepare their own homes. The city government is providing extra support on top of the national government’s mortgage loan assistance program, which offers special interest rate plans for families with newborns (1.6% min, 3.3% max). Incheon’s policy is expected to support families with newborns to make their dreams of acquiring their homes come true and secure a stable housing environment to improve childbirth and childrearing conditions.

Those eligible are families with children born since 2005; families with a single child can receive 0.8%, and those with two or more children can get 1% of their loans as support, with the maximum set to ₩300 million. Families can receive up to ₩3 million annually for up to five years. The income criteria are the same as the national government’s loan assistance program, and the income limit is scheduled to be alleviated to ₩250 million for an individual couple’s total annual income.

Overview of Incheon’s mortgage loan interest support for families with newborns

* (Eligible) Families with children born since 2005

* (Scale) 15,000 units (3,000 units per year for five years)

* (Support) Max. ₩300 million (exceeding amount not supported) / 0.8% for families with one child, 1.0% for families with 2 or more children

* (Period) Up to five years

Mayor Yoo Jeong-bok stated, “Before the great conversion in the national government’s policy, Incheon will lead the way in overcoming the low fertility rate to prepare various plans to improve birth numbers in areas, such as childrearing and housing. I will make firm proposals to the national government so that Incheon’s housing policy will carry over to the country’s childbirth encouragement plans and lead to nationwide low fertility response measures.”

Incheon had announced the “₩100M + I Dream” parenting policy back in December, which offers ₩100 million to all families whose children were born in Incheon.

<Incheon Mayor Yoo Jeong-bok announced the city’s subsidized housing policy to overcome the low fertility rate at Incheon City Hall on July 9.>

<Incheon Mayor Yoo Jeong-bok announced the city’s subsidized housing policy to overcome the low fertility rate at Incheon City Hall on July 9.>