SEOUL, August 13 (AJP) - More than 230,000 additional homes will be supplied in the Seoul metropolitan area in the coming years to curb housing prices amid a shortage of housing, the Ministry of Land, Infrastructure and Transport said on Thursday.
According to a set of plans announced by the ministry, about 120,000 of the 230,000 new homes will be built by as early as 2030. This includes 21,700 homes in newly designated sites in Namyangju, Gyeonggi Province, and 4,500 homes in Gwangju, Gyeonggi Province, while plans for the remaining 73,000 homes will be announced later after consultations with relevant agencies.
The ministry also vowed to speed up public housing projects by designating more new housing sites and providing incentives for private-sector developers to stabilize housing prices and rental markets, while accelerating construction in Seoul and surrounding areas where housing supply has struggled to keep pace with demand.
One of the key measures is to cut the time required from the selection of a housing site to the start of construction to 37 months from the current 68 months by streamlining procedures involving permits, land compensation, relocation and other stages of development.
The latest plans also include speeding up construction at previously designated sites for about 60,000 homes, including those in northern Seoul and Gwacheon, Gyeonggi Province, announced in January this year.
Tax and other financial incentives will also be available for housing projects that begin construction in 2027 and 2028, along with eased regulations for private developers to encourage faster housing supply.
While welcoming some of the measures, Seoul Mayor Oh Se-hoon criticized the government for failing to fully adopt the city's proposals to ease real estate-related regulations for redevelopment. He also opposed using greenbelt land for housing development. Oh added he was deeply disappointed that the city government was not sufficiently consulted before the measures were announced, leaving the city merely to be informed of them.
Thursday's housing supply plans appear intended to appease those affected, amid growing criticism of the government's housing and tax policies, with President Lee Jae Myung's approval rating in the doldrums in recent weeks.
Critics say Lee benefited from several tax breaks when he sold his home, just a few months before new tax regulations were announced earlier this month.
Under the amended rules, which are expected to take effect gradually, married couples who jointly own a home may be treated as multiple-home owners and face higher taxes. Long-term homeowners could also lose some tax benefits.
The government has also tightened lending rules to curb speculation, making it harder for many people to secure loans.
AJP Takeaways:
- The Ministry of Land, Infrastructure and Transport announced on Aug. 13, 2026, plans to supply more than 230,000 additional homes in the Seoul metropolitan area to ease housing shortages and curb housing prices.
- About 120,000 of the new homes are expected to be built by as early as 2030, including 21,700 homes in newly designated sites in Namyangju, Gyeonggi Province, and 4,500 homes in Gwangju, Gyeonggi Province.
- The government aims to reduce the time from housing site selection to the start of construction from 68 months to 37 months by streamlining permits, land compensation, relocation and other development procedures. Construction will also be accelerated at previously designated sites for about 60,000 homes.
- Tax and financial incentives will be offered for housing projects that begin construction in 2027 and 2028, while regulations on private developers will be eased to encourage faster housing supply.
- Seoul Mayor Oh Se-hoon welcomed some measures but criticized the government for not fully adopting Seoul’s redevelopment proposals and for failing to sufficiently consult the Seoul Metropolitan Government before announcing the housing plans.
According to a set of plans announced by the ministry, about 120,000 of the 230,000 new homes will be built by as early as 2030. This includes 21,700 homes in newly designated sites in Namyangju, Gyeonggi Province, and 4,500 homes in Gwangju, Gyeonggi Province, while plans for the remaining 73,000 homes will be announced later after consultations with relevant agencies.
The ministry also vowed to speed up public housing projects by designating more new housing sites and providing incentives for private-sector developers to stabilize housing prices and rental markets, while accelerating construction in Seoul and surrounding areas where housing supply has struggled to keep pace with demand.
One of the key measures is to cut the time required from the selection of a housing site to the start of construction to 37 months from the current 68 months by streamlining procedures involving permits, land compensation, relocation and other stages of development.
The latest plans also include speeding up construction at previously designated sites for about 60,000 homes, including those in northern Seoul and Gwacheon, Gyeonggi Province, announced in January this year.
Tax and other financial incentives will also be available for housing projects that begin construction in 2027 and 2028, along with eased regulations for private developers to encourage faster housing supply.
While welcoming some of the measures, Seoul Mayor Oh Se-hoon criticized the government for failing to fully adopt the city's proposals to ease real estate-related regulations for redevelopment. He also opposed using greenbelt land for housing development. Oh added he was deeply disappointed that the city government was not sufficiently consulted before the measures were announced, leaving the city merely to be informed of them.
Thursday's housing supply plans appear intended to appease those affected, amid growing criticism of the government's housing and tax policies, with President Lee Jae Myung's approval rating in the doldrums in recent weeks.
Critics say Lee benefited from several tax breaks when he sold his home, just a few months before new tax regulations were announced earlier this month.
Under the amended rules, which are expected to take effect gradually, married couples who jointly own a home may be treated as multiple-home owners and face higher taxes. Long-term homeowners could also lose some tax benefits.
The government has also tightened lending rules to curb speculation, making it harder for many people to secure loans.
AJP Takeaways:
- The Ministry of Land, Infrastructure and Transport announced on Aug. 13, 2026, plans to supply more than 230,000 additional homes in the Seoul metropolitan area to ease housing shortages and curb housing prices.
- About 120,000 of the new homes are expected to be built by as early as 2030, including 21,700 homes in newly designated sites in Namyangju, Gyeonggi Province, and 4,500 homes in Gwangju, Gyeonggi Province.
- The government aims to reduce the time from housing site selection to the start of construction from 68 months to 37 months by streamlining permits, land compensation, relocation and other development procedures. Construction will also be accelerated at previously designated sites for about 60,000 homes.
- Tax and financial incentives will be offered for housing projects that begin construction in 2027 and 2028, while regulations on private developers will be eased to encourage faster housing supply.
- Seoul Mayor Oh Se-hoon welcomed some measures but criticized the government for not fully adopting Seoul’s redevelopment proposals and for failing to sufficiently consult the Seoul Metropolitan Government before announcing the housing plans.
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