Gov't plans 1.19 mil. public sale, rental homes amid housing price pressures

The South Korean government announced on Monday its ambitious plan to construct and provide 1.19 million public sale and rental homes by 2030, primarily in the bustling Seoul metropolitan area. This initiative is part of the government's broader strategy to bolster housing support, particularly for low-income households, young individuals and newlywed couples grappling with the escalating housing prices in the Greater Seoul region.

The Ministry of Land, Infrastructure and Transport unveiled the Housing Stabilization Plan, which is tailored to meet the unique needs of these vulnerable groups. To achieve this goal, the government aims to supply an average of approximately 240,000 homes annually, culminating in a total of 1.19 million units by 2030. The majority, around 77%, of these homes will be concentrated in the Seoul metropolitan area, where demand for housing is consistently high.

This projected supply equates to about 13.6% of the country's total rental housing units, which stood at 8.71 million as of 2024. The homes will be made available through a variety of programs, such as new construction on public land, the conversion of privately built homes into public rentals, and leveraging existing private-sector housing.

The ministry emphasized that these measures are intended to expand the availability of affordable housing across the nation, providing much-needed relief to those struggling to secure suitable residences amidst the mounting housing price pressures in the Seoul metropolitan area.