Mortgage Loan Limit (DSR·LTV)
Enter your income, home price, and rate to see your 2026 mortgage limit computed from both DSR and LTV under the stress-DSR rules. All calculations run only in your browser.
※ A 2026 estimate reflecting stage-3 stress DSR, LTV and amount caps — not financial or legal advice. The DSR limit adds a stress add-on (1.5% non-regulated, 3.0% metro/regulated) to your rate. Actual limits depend on bank policy, credit score, deposit deductions, appraisal and policy loans, and rules change often. Confirm with a lender pre-screening.
🔒 Inputs are calculated in your browser and never sent to a server.
Your limit is the LOWER of the DSR-based and LTV-based amounts
A Korean mortgage must clear two rules <strong>at the same time</strong>. One is <strong>DSR</strong> (Debt Service Ratio), which caps how much of your income can go to annual loan repayments; the other is <strong>LTV</strong> (Loan-to-Value), which caps how much you can borrow against the home's price. The bank computes a maximum under each rule and lends you the <strong>smaller</strong> of the two. If DSR allows 300 million won but LTV allows only 240 million, your real limit is 240 million. High income can't beat a low LTV ceiling, and an expensive home can't beat a low DSR ceiling. The older DTI metric has largely been replaced by DSR and now survives only as a secondary check for some policy products. This tool runs both rules and shows which one is binding for you.
Stress DSR: your limit is sized at a higher-than-actual rate
Stress DSR sizes your limit for a world where <strong>rates rise later</strong>, not today's rate. So the bank computes DSR using your actual rate <strong>plus a stress add-on</strong>. Under <strong>Stage 3</strong> (in force in 2026) the full add-on applies: <strong>1.5%</strong> for non-regulated/provincial mortgages and <strong>3.0%</strong> for mortgages in the Seoul metropolitan area and regulated zones. A 4% loan in a regulated area is sized as if it were 7%, sharply cutting the limit. Crucially, this add-on is a <strong>hypothetical rate used only to compute the limit</strong> — your monthly interest is charged at the actual contract rate. The 'estimated monthly payment' shown here uses the real rate, not the stress rate.
LTV and the 600-million-won cap
The LTV limit is simply <strong>home price × a regional ratio</strong>. In 2026, non-regulated areas allow <strong>70%</strong> for first/one-home buyers and <strong>80%</strong> for first-time buyers, but the October 15 measures cut <strong>Seoul-metro/regulated zones to 40%</strong>. Those zones also carry a flat won-amount ceiling regardless of ratio: <strong>up to 600 million won</strong> for homes priced at or under 1.5 billion, 400 million for 1.5–2.5 billion, and 200 million above 2.5 billion. A 2-billion-won home at 40% maths out to 800 million, but the 400-million cap wins. Non-regulated areas have no such cap. A small-lease-deposit deduction may further reduce the approved amount below this estimate.
Practical ways to raise your limit
First find out which rule is binding. If <strong>DSR</strong> binds, the biggest lever is <strong>cutting existing annual repayments</strong> — credit loans, car installments, card loans — and closing unused overdraft lines, which still count toward DSR. A longer term lowers the annual payment and raises the DSR limit but adds total interest and hits maturity caps (30 years in regulated zones). Choosing a <strong>periodic-reset rate</strong> applies only 40% of the stress add-on. If <strong>LTV or the won cap</strong> binds, add more equity or check whether a less-regulated area or first-time-buyer status applies. Combining spousal income and documenting income properly raises the DSR limit. Always confirm the exact figure with pre-screening at several banks.
Frequently asked questions
DSR is 40%, so why is my limit smaller than expected?
A 40% DSR means only 40% of your income may go to <strong>all loans' annual principal + interest</strong>. Your existing repayments are subtracted first, and the new loan is sized using a rate that <strong>includes the stress add-on (1.5–3.0%)</strong>, so the real limit is smaller than a naive 'income × 40% ÷ rate'. Heavy existing debt or a regulated-zone property shrinks it further.
Is the stress rate the interest I actually pay?
No. The stress rate is a <strong>hypothetical add-on used only to size the limit</strong>, meant to keep lending conservative against future rate rises. Your monthly interest is charged at the <strong>actual contract rate</strong>. This tool's 'estimated monthly payment' also uses the real rate.
Do first-time buyers get 80% LTV?
It depends on the region. <strong>First-time buyers in non-regulated areas</strong> can reach <strong>80%</strong>, but in <strong>Seoul-metro/regulated zones</strong> even first-time buyers are capped at 70%, plus the <strong>600-million-won ceiling</strong>, a 30-year maximum term, and a 6-month move-in requirement. Income/price conditions and policy loans (e.g., Didimdol) follow separate rules — confirm with your bank.
Will I actually get exactly this amount?
Treat it as an <strong>estimate only</strong>. The approved amount depends on each bank's policy, your credit score, the <strong>small-lease-deposit deduction</strong>, whether policy loans apply, and the appraised value. Rules and rates are 2026-basis and change often with government policy. Confirm your real limit through pre-screening at several banks.