Decline in South Korea's presidential approval ratings, worsening of real estate policy failures

South Korean President Lee Jae-myung is rushing to address the worsening housing price issues. Amid ongoing declines in approval ratings, the president is strongly urging multiple property owners to reconsider their real estate speculative transactions, and the government’s housing policies are facing a significant test. Housing prices, which have risen to levels unaffordable for young generations, have become a social issue directly linked to the country’s future.

Real Estate Speculation and the Struggles of Young People

President Lee announced that investors owning multiple properties will be given a “last opportunity to sell” before the government implements increases in real estate taxes. Due to concerns that real estate speculation is making it difficult for younger generations to plan for marriage and childbirth, the government has pledged to “use all means” to curb excessive overheating in the housing market. The rising housing costs threaten the very social fabric of the nation, prompting a policy shift.

Seoul Apartment Prices Continue Rising for 52 Weeks, Raising Questions About Policy Effectiveness

Meanwhile, the current market situation is deteriorating contrary to the president’s warnings. According to Jin10, apartment prices in Seoul have continued to rise for 52 consecutive weeks, revealing that the government’s measures, which introduced stricter lending regulations, have not yet been sufficiently effective. The inability to curb overheating in the housing market has increased doubts about the government’s policy implementation capabilities.

Public Evaluation of Housing Policies Is in a Serious State

A recent Gallup Korea survey shows that public opinion on President Lee’s housing policies is sharply divided. While 40% of respondents hold a negative view of the housing policies, only 26% support them, indicating a significant decline in approval ratings. Regarding future housing price forecasts, nearly half of the respondents expect prices to rise next year, while only 19% foresee a decline. The fact that the majority of the public does not expect improvements in the housing situation poses a major obstacle to the president’s policy efforts and suggests that stabilizing the real estate market is key to recovering approval ratings.