Lee Eog-weon, Chairperson of the Financial Services Commission, said on the 15th that "there is a view concerned about the stability of household liability and the dwellings market, and there is also concern that the housing ladder for young people and those without homes has narrowed."
The Chairperson said this in opening remarks at the "real estate finance policy listening forum" held Monday afternoon at the Bankers' Association building in Jung-gu, Seoul, noting that "real estate and finance are issues closest to people's lives."
The Chairperson said that because dwellings are both the foundation of life and the largest asset for the public, and an aspired future for young people and those without homes, positions on real estate lending policy are bound to differ.
"Today's session is not to confirm that one side's claim is right or to prove another claim wrong," the Chairperson said, adding, "It is a session to candidly check and listen to why different views arise, what the reasons are, and whether there were aspects we had not considered."
The Chairperson said, "We have worked to ensure household loans are managed stably within a range the economy can bear, and have responded strictly to speculative loan demand such as mortgage loan borrowing by multiple-home owners and off-purpose use of business loans," adding, "We have also pursued complementary efforts in parallel to protect housing opportunities for end users, including first-time dwellings buyers and policy mortgage users."
However, it was assessed that Korea's household liability ratio remains higher than in major countries and the absolute size is significant, requiring continued management. It was also said that instability in the dwellings market is continuing due to concerns about abundant market liquidity and insufficient housing supply.
The Financial Services Commission plans to use this forum to gather opinions on the overall realm of real estate finance, including measures to protect end users and manage household liability, as well as jeonse loans and financing for dwellings supply. The Chairperson said, "For those who make policy, there are times when each individual citizen's specific experiences and realities provide better answers than detailed statistics and systems," adding, "At least today, the government will listen rather than explain, and empathize rather than assert."
Seventy people, including academic experts, related industry officials, and members of the general public, attended the forum. The government plans to hold a comprehensive forum on the 23rd with President Lee Jae-myung attending in person.