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[Anchor]

The government has also overhauled the so-called "marriage penalty," where registering a marriage resulted in disadvantages across various policies. Instead of combining couple incomes, authorities will now check only one person's income or raise the eligibility threshold to twice that of single individuals. Additionally, low-interest loans will be provided to help young people purchase non-apartment housing priced at 400 million won or less.

Reporter Min Gyeongho has the details.

[Reporter]

Let us imagine an engaged couple, each earning an annual income of 50 million won.

Before marriage, they were naturally eligible to use the Bogeumjari Loan, which has an income requirement of 70 million won or less.

However, the moment they get married, that option disappears.

This is because newlyweds could only use the Bogeumjari Loan if their combined income was 85 million won or less.

Consequently, criticism arose asking whether marriage was actually a penalty, and questioning if the government was causing couples to hesitate on marriage while expressing concern over the declining birth rate.

Starting this coming October, the rule will change so that couples qualify as long as the income of just one spouse is 70 million won or less.

A new "Youth Future Bogeumjari Loan" will also be established.

Under this program, young people aged 39 or younger with an annual income of 70 million won or less who purchase non-apartment housing priced at 400 million won or less will receive preferential interest rates, allowing them to borrow up to 80 percent of the property's value.

Similarly, for newlyweds, only one person needs to meet the income requirement.

Financial authorities gave an example of borrowing 200 million won at an interest rate of around 3 percent.

In this case, borrowers would repay 850,000 won in principal and interest each month, meaning they would essentially be able to live in a home for the equivalent of monthly rent.

Some pointed out that apartments cannot be purchased with this loan, but the government explained that the product's very purpose is to act as a stepping stone for young people to buy their own homes, so it was designed with properties like officetels in mind.

It also added that purchasing a home through this product does not strip buyers of their "first-time homebuyer" benefits.

Furthermore, the government announced that starting in the second half of this year, income requirements for newlyweds regarding housing subscriptions, loans, and public rental housing occupancy will be raised to about twice the level for singles. Furthermore, even if income limits are exceeded due to marriage after moving in, tenants will not be forced to evacuate immediately and will be allowed to renew their contracts once.

Standardized public rental housing with premium interiors will also be built near subway station areas. While the standard lease period is six years, extensions will be granted with each child born, allowing residents to live there for up to 20 years.

(Video Editing: Kim Jong-mi, Design: Kim Ye-ji)