The South Korean government announced additional mortgage restrictions on Wednesday for first-time home buyers in Seoul and surrounding areas, responding to an upswing in apartment prices.

Effective immediately, first-time buyers can borrow only 40% of a property’s price, down from the previous 70% limit, significantly reducing borrowing capacity. In addition, the maximum mortgage amount is now capped at 600 million won ($420,639), even if a purchaser’s income would allow for a higher loan.

This latest measure marks the third set of curbs introduced since President Lee Jae Myung took office in June. The restrictions aim to address worsening housing affordability, as Seoul’s price-to-income ratio for apartments stands at 21.3, compared with 19.4 in London and 12.4 in Sydney.

Officials said the move is intended to cool the housing market and prevent further escalation in apartment prices, particularly in the capital region, where demand continues to outstrip supply.