Minister Kim Yun-duk of the Ministry of Land, Infrastructure and Transport on the 13th announced measures to supply 230,000+α dwellings in the greater Seoul area, saying, "We will do our best to supply the dwellings people want, in the places people want, sufficiently and in a timely manner."
The Minister said this at a briefing on the "swift supply plan for dwellings to stabilize the jeonse, wolse and sales markets" held at Government Complex Seoul in Jongno-gu, Seoul, saying, "We will achieve housing stability so that anyone can live with confidence," and stated accordingly.
The Minister cited a decline in move-in volume due to sluggish groundbreaking and an increase in demand for dwellings as recent causes of instability in the housing market. "Across dwelling types such as apartments and multi-household/row houses, the rate of increase in sales, jeonse and monthly rent prices is widening," the Minister said, adding the government would raise both the volume and the speed of dwelling supply.
The government will first develop new public dwelling districts for 27,000 households in Gangseo-gu, Seoul, and in Namyangju and Gwangju in Gyeonggi Province. Including these, it plans to designate new public dwelling districts for more than 100,000 households in areas with good locations such as near transit stations.
The Minister said, "We will push the three districts whose locations we disclosed this time—Gangseo in Seoul, downtown Namyangju, and Gwangju in Gyeonggi—as quickly as possible and break ground within three to four years," adding, "We will also promptly announce additional candidate sites for more than 73,000 households." The government said it would implement anti-speculation measures together in new housing sites, such as designating land transaction permission zones.
The Minister emphasized that the government would not stop at securing supply volume but would shorten the time to actual groundbreaking. "By not only expanding supply volume but also making a groundbreaking innovation in supply speed, we will minimize the time lag between policy announcements and supply," the Minister said, "and we aim to ease home price instability stemming from supply-demand mismatches."
The government will run in parallel housing site development procedures that had proceeded sequentially, such as permitting and compensation, and will improve factors that delay projects. Through this, it plans to cut the average period from announcing public housing site candidates to groundbreaking from 68 months to 37 months. In the third new towns and elsewhere, it will move up the groundbreaking schedule for 89,000 households by at least one to two years from the original plan.
For urban dwelling supply, the focus is on connecting already released plans to actual groundbreaking. The Minister said, "We will break ground on all sites announced in the Jan. 29 measures by 2030," adding, "We will increase benefits for business sites that push projects swiftly and will strengthen on-site, tailored regulatory improvements and management by establishment."
For private dwelling projects, the government presented an active support policy. The Minister said, "We will boldly back areas where the private sector excels." The government will support a 1-percentage-point cut in PF loan rates for business sites that break ground in Seoul and Gyeonggi by 2027, and 0.5 percentage point for those that break ground by 2028. It will also lower fees for public PF guarantees.
The government will establish a "pan-government inspection meeting for the swift supply of dwellings," chaired by the prime minister, to check whether the measures lead to actual groundbreaking. The Minister said, "To ensure our policy efforts do not end as a one-off, we will build a pan-government special governance for dwelling supply that can continuously monitor and supplement the supply situation."