Park Han-sol reports on Korea's financial regulators, along with fintech and insurance. She previously wrote about the art world, from biennales and exhibitions to fairs and auctions, with a focus on Seoul and the figures shaping the scene. Before joining The Korea Times, she spent a year at ABC News' Seoul bureau, contributing to coverage of major Asia-Pacific events.
Hana Financial's private reverse mortgage draws $220 mil. in 1st year
Hana Financial Group Chairman Ham Young-joo, second from right, and Hana Bank CEO Lee Ho-sung, right, pose with a customer at an appreciation event marking the first anniversary of the group's private reverse mortage product at the group's headquarters in Seoul, Wednesday. Courtesy of Hana Financial Group
By Park Han-sol
Hana Financial Group’s private reverse mortgage has attracted more than 330 billion won ($220 million) in subscriptions from over 260 customers since its launch a year ago, the group said Thursday.
Introduced in May 2025, the product was designed to fill a gap in Korea’s reverse mortgage market, where government-backed programs dominate. A reverse mortgage allows older homeowners to convert part of the value of their home into a steady stream of income while continuing to live in the property.
Because public reverse mortgages are unavailable for homes valued above 1.2 billion won, many seniors with high-value properties have had few options for unlocking housing wealth in retirement.
Hana’s offering combines Hana Bank’s real estate trust service with a lifetime annuity from Hana Life. It also adopts a nonrecourse structure, ensuring customers receive pension payments for life even if the total amount ultimately exceeds the value of the property.
To mark the product’s first anniversary, the group hosted an appreciation event for more than 50 customers at its Seoul headquarters on Wednesday.
In April, Hana Financial broadened the product’s eligibility to include homes undergoing redevelopment or reconstruction. Payout options have also been expanded; customers can now choose lifetime pension limits of 500 million won, 700 million won, 1 billion won, 1.3 billion won or 1.5 billion won, providing greater flexibility to match individual retirement needs.