Lee vows to secure housing land 'even if laws must be changed' as supply cliff looms

President Lee Jae Myung on Thursday signaled strong resolve to push ahead with housing supply expansion, saying he would change laws and regulations if necessary to secure residential land.

Speaking at a senior secretaries meeting he chaired that afternoon, Lee said "a bold and swift supply push, a fair and rational tax system, and a detailed and robust financial policy working in concert are above all essential" to normalizing the real estate market, and added that "supply policy is particularly the problem right now."

"As the public knows, there has been a supply cliff from 2022 to the present," Lee said. "Permits and approvals have been sharply curtailed, and ground-breakings have fallen dramatically, inevitably creating a kind of supply cliff — so extraordinary efforts are needed to fill that gap."

He said supply policy faces many practical constraints and long lead times, making it all the more necessary to mount "an all-out, all-fronts supply effort with special determination." Lee called for streamlining permit and approval procedures to the greatest extent possible and securing residential land "boldly, without being bound by existing regulations — changing laws and the system if needed — and moving forward with supply."

Earlier Thursday, the government announced a plan for the rapid supply of housing to stabilize the jeonse and monthly rent market as well as the sales market. The package centers on pushing more than 230,000 additional units in the Greater Seoul area, including 100,000 units on new residential sites — among them land in development-restricted zones, or greenbelt areas.

Lee also reaffirmed his commitment to normalizing the real estate market.

"Real estate is a core national issue that has an enormous impact on nearly every aspect of our society," he said, adding that prolonged and excessive concentration of social resources in real estate had deepened polarization and inequality.

"The real estate bubble has also reached a level that can no longer be left unaddressed," Lee said. "As everyone knows, South Korea's real estate prices are among the highest in the world, and if this situation continues, we could face what some countries have experienced — a so-called 'lost 20 years' or 'lost 30 years.'"

Lee went on to say that "all available means and capabilities must be concentrated on resolving the real estate problem, which is a ticking time bomb threatening the lives of the people and the future of the nation." He said that because virtually all citizens have a direct or indirect stake in real estate, "efforts to precisely reflect market conditions and the public's perspective are essential."

He added that supply, tax and financial policies must be "meticulously refined across the board to normalize the market, and the systematic construction of residential stability and a housing ladder must be pursued with unwavering commitment."