Construction Association of Korea welcomes new housing supply and financing measures

The Construction Association of Korea has expressed support for the government’s August 13 housing supply and financial measures, stating they will alleviate financing burdens for the construction industry and improve conditions for private housing supply.

Key components of the measures include the postponement of the implementation of higher equity ratios for Project Financing (PF) from 2027 to 2029, and the expansion of PF guarantee supplies. The association noted that these steps, along with eased regulations on relocation cost loans and expanded mortgage exceptions for housing developers, will assist normal business sites facing financial market liquidity issues.

Additionally, improvements to the collateral valuation method for relocation loans and the creation of new guarantee products by the Korea Housing Finance Corporation (HF) are expected to reduce the financial burden on union members and support smoother relocation and construction processes.