Seoul: Financial authorities are considering measures to restrict loan extensions for owners of multiple homes in regulated areas within the greater Seoul region. This initiative aligns with the government's efforts to temper the overheated real estate market, as reported by sources on Sunday.

According to Yonhap News Agency, the Financial Services Commission is set to convene with the country's five major banks and financial cooperatives on Tuesday. The meeting aims to discuss potential changes to loan extension practices for individuals owning multiple homes. This move follows the government's announcement that the exemption of heavy capital gains tax for such owners will end in May.

Currently, while the government enforces strict mortgage lending limits for home purchases in the greater Seoul area, some multi-home owners have managed to extend their existing loans through refinancing. This has led to concerns regarding the fairness of the current system. A senior financial official indicated that unless there are pressing issues like tenant protection, the extension of loan maturities for these homeowners will generally be prohibited.