South Korea Unveils New Curbs to Rein in Red-Hot Housing Market

South Korea rolled out a new round of measures aimed at reining in a red-hot housing market, stepping up efforts to curb speculative buying as policymakers weigh interest-rate cuts to bolster a slowing economy.

The government’s latest steps include tighter loan limits in Greater Seoul, newly designated overheated districts, a faster roll-out of higher risk weights on banks’ home loans and cutting loan-to-value ratios on mortgage properties. The package comes as home prices continue to climb despite earlier interventions that included tighter mortgage caps in Seoul and restrictions on purchases by foreign buyers.