APT · SIDE-BY-SIDE COMPARISON · NOTE 10

The September 2026 fixed-rate term trade-off

A ₩300M loan stress test using HF's published September 2026 endpoint rates: 4.90% for 10 years and 5.20% for 50 years.

ORIGINAL HOLDING-PERIOD ANALYSIS

If you sell in year 10, the remaining balance matters

Comparing 120 payments with 600 payments answers a lifetime-cost question. A household planning to move after ten years needs a common horizon. At that point the shorter loan is repaid, while the longer loan still carries ₩283,529,512 of debt. A smaller monthly payment has postponed principal repayment.

Hold HF's published rates fixed. Change only the loan amount; the slider does not test borrowing eligibility.

Loan balance over the same first ten yearsAt ten years the 4.90% ten-year loan is repaid. The 5.20% fifty-year loan still owes ₩283,529,512. Exact values follow in the table.0M150M300MYear 0Year 5Year 10Remaining principal · KRW millions
Solid green: 10 years at 4.90%. Dashed blue: 50 years at 5.20%. Both start with the same principal.
Compare the same ten-year holding period
Measure10-year loan50-year loan
Monthly payment₩3,167,322₩1,404,938
Cash paid in 120 months₩380,078,624₩168,592,504
Principal repaid₩300,000,000₩16,470,488
Interest paid₩80,078,624₩152,122,015
Balance still owed₩0₩283,529,512

The longer term frees ₩1,762,384 a month, but leaves ₩283,529,512 to repay after year 10.

Monthly rate = annual percent ÷ 1,200. Payment = P × r ÷ (1 − (1 + r)−n). Balance at month k is the present value of the remaining n − k payments. Values are calculated before rounding.

What the apparent saving leaves out

For the original ₩300M scenario, the fifty-year loan uses ₩211,486,120 less cash during the first decade, but incurs ₩72,043,392 more interest during that same decade. If the property is sold then, the outstanding balance must be settled from sale proceeds or other funds. A comparison based only on monthly outflow misses this obligation.

This is a nominal financing comparison. We do not assume that the monthly difference is invested, assign it a guaranteed return, or forecast a sale price. Discounting, fees and early repayment charges could change an individual's preference. The two official HF endpoint rates are used as published; neither term is promised to a particular borrower.

For a housing budget, combine the payment with separately evidenced management costs and taxes. The APT field replay shows why missing management data must remain visible.

INPUT AND EVIDENCE LEDGER

Put the two cases on the same footing.

FieldValueOrigin
Principal₩300,000,000Controlled comparison input
10-year endpoint4.90% fixed / 120 paymentsHF September 2026 published rate
50-year endpoint5.20% fixed / 600 paymentsHF September 2026 published rate
RepaymentEqual monthly principal and interestAPT calculation rule

DECISION READING

Read the gap, not just the winner.

The 50-year endpoint cuts the scheduled payment by about 56%, but the modeled lifetime interest is about ₩462.9M higher. The lower monthly figure cannot be presented without the term and total-payment layer.

REPRODUCIBLE WORK

The comparison ledger.

CheckFormula or ruleResult
10-year paymentP × r(1+r)^n ÷ ((1+r)^n−1)₩3,167,322 per month
50-year paymentSame formula; 600 periods at 5.20%₩1,404,938 per month
Monthly relief₩3,167,322 − ₩1,404,938₩1,762,384
Scheduled interestTotal scheduled payments − ₩300M₩80.1M over 10 years versus ₩543.0M over 50 years

SOURCE SNAPSHOT

Official context and the limited role it supports.

SENSITIVITY

Conditions that can reverse the gap.

  • Eligibility, age, property value, and product rules can make one term unavailable.
  • Early repayment would change the lifetime-interest comparison.
  • The two rates are official endpoint rates, not a quote for this borrower.

HUMAN ACCOUNTABILITY + AI USE RECORD

The owner is accountable; the technical checks were AI-assisted.

The TOOOLBOX site owner authorized the publication scope and remains the correction contact. AI assistance was used for drafting, implementation, arithmetic recomputation, and source-link checks. This record does not claim line-by-line human fact-checking or licensed professional review.

Record ID
TB-APT-10-20260907
Owner role
TOOOLBOX site owner and developer
Technical check date
2026-09-07
Human fact-check
No separate human fact-check recorded
AI use
Drafting, code, arithmetic, and link checks
Correction channel
Public contact page
  1. Opened the HF release and matched both endpoint rates and terms.
  2. Recomputed all 120- and 600-period payment totals independently.
  3. Added eligibility and early-repayment boundaries before publication.

BOUNDARIES

Claims this comparison cannot support.

  • This calculation excludes fees, insurance, prepayment charges, and underwriting.
  • It does not recommend a term or establish eligibility.
  • Rates can change after the cited September 2026 publication.

MORE APT DECISION NOTES

Test the result yourself.

This note preserves a dated calculation. Change the inputs in the live workspace, or compare another evidence pattern below. Live source availability and results can differ from the dated example.