Reverse Mortgage Cancellations Hit Four-Year High as Home Price Hopes Rise

Early cancellations of housing pension contracts rose to 245 in March, reaching the highest level in about four years as expectations for rising home prices increased. Those who terminated their contracts reportedly repaid more than 150 million won per person on average. The housing pension is a system that provides pension payments using an owned home as collateral, so stronger expectations of price gains can lead some subscribers to end existing contracts. The March figure is being viewed as an indicator of how homeowners are reading future housing price trends. Source: mk.co.kr