Seoul Mayor Oh Se-hoon urged fixes to the government's real estate tax overhaul, saying, "There are concerns that it will fail to rein in home prices and only drive up monthly and jeonse rents."
On the morning of the 6th, in his opening remarks at the "citizens' forum for normalizing the real estate market" hosted by the Seoul Metropolitan Government, Mayor Oh said, "Watching the government's measures, many worry the real estate market could become more unsettled rather than stabilize going forward."
He said, "We must identify and fix the problems in this tax overhaul even now to reduce market confusion," adding, "There are also concerns that seniors with insufficient cash flow due to tax burdens could be pushed into unwanted sales."
He added, "Today's event is to hear, without filter, the frustration and concerns that Seoul residents feel as they look at the government's overhaul plan," and said, "Seoul City will hold back its own commentary and ensure the voices of residents and experts are conveyed as much as possible."
The forum was organized to discuss the impact that the real estate tax overhaul, released on the 3rd, will have on the housing of Seoul residents and the real estate market. Kim Byung-min, Chairperson of the planning committee for normalizing the real estate market in the Seoul Metropolitan Government, said, "As the tax system shifts from a holding-focused framework to a residency-focused one, a significant ripple effect is expected," adding, "Right after the release, residents' concerns and inquiries have continued and are being relayed to the city of Seoul."
At the forum, concerns were raised that strengthening the tax burden on owners of one non-residence home and multiple-home owners could lead to fewer listings and instability in the rental market. There were also points that landlords' tax burdens could be passed on to tenants, driving up monthly and jeonse rents, and that if the capital gains tax surcharge is reimposed, listings could dry up.
Seoul City structured the forum so residents and experts could share views on four topics: tax overhaul, real estate transaction, the monthly and jeonse rental market, and dwellings supply. The forum was broadcast live on the Seoul Metropolitan Government's official YouTube channel, and comments from online viewers were also collected.