In order to solve the housing issues of the vulnerable and foster social financial intermediaries specialized in the social housing sector, SVS launched the Social Housing Tenant Protection Fund, matching loan project with the Korea Social Housing Association.

This loan fund is established in Nov. 2021 to protects the security deposits of vulnerable residents living in social housing and to strengthen the stability of social economy enterprises in social housing sector as implementers.

Korea has a “Jeonsei” system, which means a big amount of deposits to be returned to the tenant when they request to end their contract. This system can threaten the sustainability of social housing enterprise when the demand for return is temporarily concentrated or the recruitment of new residents is delayed.

So this funding model of temporary loan to social housing enterprises can contribute to promote social hosing by adding stability of deposit return system and solve temporary liquidity issues of the enterprise.

As of the end of December 2023, the cumulative loan amount was KRW 753 million, and a total of 5 companies utilize this loan (total 10 cases).