Starting from the 17th, variable rates for housing mortgage loans in South Korea are set to increase due to rising funding costs as indicated by the COFIX index.
Starting on the 17th, variable interest rates for home mortgage loans in South Korea are set to increase by approximately 0.05%, reflecting the latest data from the COFIX (Cost of Funds Index). The Bank Association reported that the COFIX rate increased from 2.77% in January to 2.82% in February, marking a rise after a decrease seen in the previous month. Despite this fluctuation, the balance-based COFIX remained unchanged at 2.85%. This index is crucial as it reflects the average funding costs of eight domestic banks in South Korea, indicating how they adjust their interest rates on loans based on the cost of savings products and bonds.
