📐 LTV Calculator (Loan-to-Value, Korea)
Check the loan-to-value ratio of a mortgage and the most you can borrow on a Korean home under your conditions.
How to use
Enter the home price and the loan you want, then choose the region and how many homes your household owns. The LTV limit and amount cap as of October 2026 fill in automatically. If the rules have changed or your bank quotes something different, edit the LTV limit and amount cap boxes. If the property already has a mortgage registered or a sitting tenant, include the prior liens and tenant deposits too.
What is LTV?
LTV (loan-to-value, called jutaek dambo injeong biyul in Korea) is the loan as a share of the value of the home securing it. A 40% LTV means a ₩1 billion home can secure at most ₩400 million. Korean banks usually value apartments at the KB Kookmin Bank market price or an appraisal, so the same home may be valued slightly differently by different banks. Unlike in the US, where LTV mainly drives mortgage insurance and pricing, Korean LTV limits are hard regulatory caps set by the government.
How it is calculated
LTV (%) = (loan + prior liens + tenant deposits) ÷ home price × 100
Maximum loan = min(home price × LTV limit − prior liens − tenant deposits, amount cap)
Even for an apartment with no tenant, banks often deduct a small-tenant deposit amount (bang-gongje, “room deduction”) — tens of millions of won in Seoul — because small tenants are paid before the bank in a foreclosure. Buying MCI/MCG mortgage credit insurance usually removes this deduction.
LTV limits by region and home count (October 2026)
| Homes owned | Regulated area | Capital region, non-regulated | Outside capital region |
|---|---|---|---|
| No home | 40% | 70% | 70% |
| First-time buyer | 70% | 70% | 80% |
| 1 home (selling it) | 40% | 70% | 70% |
| 1 home buying another · 2+ homes | 0% (not allowed) | 0% (not allowed) | 60% |
On top of that, the 27 June and 15 October 2025 measures cap mortgages in the capital region and regulated areas at ₩600M for homes up to ₩1.5B, ₩400M for ₩1.5B–₩2.5B and ₩200M above ₩2.5B. As of October 2025 the regulated areas are all of Seoul plus parts of Gyeonggi; designations change.
Foreign buyers and LTV
Foreign residents who qualify for a Korean mortgage get the same LTV rules, but banks count homes at the household level and may ask about property you own abroad. Some lenders apply a lower LTV or shorter term to foreigners, tied to the length of your visa.
Look at LTV and DSR together
LTV caps the loan by the home’s value; DSR caps it by your income. Even if LTV allows ₩600M, a modest income can hold you lower through the 40% DSR rule. Check your income-based limit with the DSR calculator as well.
Korean lending rules change often with government housing measures. Figures are examples as of October 2026; your real limit depends on the bank’s review (how your income is recognized, credit score, property type, policy loan eligibility and, for foreign nationals, your visa and residence status). Always confirm with the Financial Services Commission announcements and the bank you plan to use.