The median loan balance for newlywed couples married for less than five years has increased by over 130% in the past eight years. Notably, the proportion of high-value loans exceeding 300 million won has risen significantly, with couples who own homes taking on larger loans.
According to data from the National Statistical Portal (KOSIS) released on September 28, 2024, the median loan balance for newlywed couples was 179 million won, a 5.0% increase from the previous year. This figure represents a 130.1% increase compared to 77.78 million won in 2016, when the relevant statistics began to be collected.
The loan balance includes household loans from both primary and secondary financial institutions, as well as business loans for individual entrepreneurs. The median value is calculated by arranging the loan balances of couples with outstanding loans in order of size and identifying the middle value.
The median loan balance for newlywed couples has steadily increased, rising from 90 million won in 2017 to over 150 million won in 2021, and reaching 170.51 million won in 2023.
As loan amounts have increased, the proportion of newlywed couples with high-value loans has also surged. The percentage of newlywed couples with loans exceeding 300 million won has grown from 5.3% in 2016 to 24.0% in 2024, more than quadrupling.
Conversely, the proportion of couples with smaller loans has decreased. The percentage of couples with loans under 10 million won fell from 8.8% to 4.6%, while those with loans between 10 million and 30 million won dropped from 14.7% to 5.7%, and those with loans between 30 million and 50 million won decreased from 12.1% to 5.6%. This indicates a shift in newlywed couples' loan profiles from smaller to larger amounts.
There is also a notable difference based on homeownership. In 2024, the median loan balance for newlywed couples who own homes was 228.24 million won, significantly higher than the 141.6 million won for those without homes, a difference of 86.64 million won.
The proportion of couples with loans exceeding 300 million won was also higher among homeowners, at 33.2%, compared to 16.7% for those without homes. The median loan balance for newlywed couples who own homes has doubled from 112 million won in 2016 over the past eight years.
The increase in the value of homes owned by newlywed couples is also seen as a factor contributing to the expansion of loan amounts. Among newlywed couples living in Seoul, the percentage of those whose total publicly assessed home value exceeds 600 million won rose from 5.9% in 2015 to 31.4% in 2024.
Loan amounts also vary based on whether couples are dual-income. In 2024, the median loan balance for dual-income newlywed couples was 198 million won, 40.13 million won higher than the 157.87 million won for single-income couples. The proportion of loans exceeding 300 million won was also higher for dual-income couples at 28.0%, compared to 18.8% for single-income couples.
Newlywed couples with children had a median loan balance of 188.26 million won, which was higher than the 169.5 million won for couples without children. The proportion of loans exceeding 300 million won was also greater among couples with children, at 26.8%, compared to 21.1% for those without.
As the loan burden for newlywed couples increases, interest rates are also a factor. The Bank of Korea raised the base rate in July and August, bringing it to 3.0%. In August, the new handling rate based on the cost of funds index (COFIX) remained at 3.18%, the same as the previous month, but had risen for four consecutive months from April to July, reaching its highest level since December 2024.
Given that newlywed couples typically have a shorter period to accumulate income and assets, analysts suggest that as loan amounts increase, the burden of interest payments due to rate fluctuations may also grow.
* This article has been translated by AI.
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