"Moon Administration Promised to Control Housing Prices..." Opposition and Gyeongsilryeon Criticize Soaring Jeonse Prices

Kim Ki-hyun: "'They said they would control house prices, but this regime is hurting the people'"
Kyungsilryeon: "Gangnam apartments increased the most during 3 years of Moon administration"

People are lined up in a long queue to view a rental apartment in an apartment complex in Gayang-dong, Gangseo-gu, Seoul. Photo by Online Community Capture.

[Asia Economy Reporter Heo Midam] As the jeonse (long-term lease) crisis in Seoul worsens, a remarkable scene has emerged where about 10 people line up in apartment hallways to view jeonse listings. On the 14th, the opposition party harshly criticized the Moon Jae-in administration, calling it a "regime that promised to 'control housing prices' but is instead squeezing the people." The Citizens' Coalition for Economic Justice (CCEJ) also pointed out that apartment prices in the Gangnam area of Seoul have risen the most sharply under the Moon administration.

On the same day, Kim Ki-hyun, a member of the People Power Party, wrote on his Facebook, "There was an incident where about 10 people lined up in an apartment hallway to see a jeonse house in Seoul," adding, "Due to the jeonse shortage, prices are being called out as if 'whatever is asked is the price,' and in large apartment complexes in the metropolitan area with high jeonse demand, jeonse prices have jumped by hundreds of millions of won in a short period, which is simply outrageous."

Earlier, on the 13th, a photo showing nine groups waiting in an apartment hallway to view a jeonse listing in Gayang-dong, Gangseo-gu, Seoul, was posted on an online community, drawing attention. The poster of the photo said, "Even though it was said that jeonse is scarce these days, I didn't expect it to be this bad. People preparing to move now must be really struggling," adding, "It's truly terrifying."

Regarding this, Representative Kim criticized, "President Moon promised the public, 'We will definitely control real estate during this administration.' Minister of Land, Infrastructure and Transport Kim Hyun-mi boldly claimed, 'The real estate price surge has stopped,' and 'Although the jeonse market is unstable now, it will stabilize in a few months.' Deputy Prime Minister for Economy Hong Nam-ki also made the false claim that 'some results are appearing,' but he himself is at risk of becoming a jeonse refugee after being forced out of his jeonse home," he pointed out.

He continued, "This jeonse crisis is a clear policy failure and tyranny caused by an incompetent and ignorant amateur regime that habitually dismisses the opinions of the opposition and experts, only worsening the suffering of vulnerable housing groups," adding, "Housing sale prices have skyrocketed to the point where even 'Yeongkkeul' (funds gathered by mortgaging everything) cannot buy a house anymore. Along with the jeonse price surge, the disappearance of jeonse homes has made the majority of the people 'slaves to their homes.'"

He then raised his voice, saying, "The responsibility for this policy failure lies squarely with President Moon, Deputy Prime Minister Hong, and Minister Kim. President Moon should come forward and apologize to the people, Deputy Prime Minister Hong should be immediately dismissed, and Minister Kim should repent before the public and resign."

On the 14th, at the auditorium of the Citizens' Coalition for Economic Justice in Jongno-gu, Seoul, Yoon Eun-ju, secretary of the Real Estate Construction Reform Headquarters of the coalition, and others are presenting the 'Analysis of Changes in Apartment Jeonse Prices in Seoul Over the Past 30 Years.'
[Image source=Yonhap News]

CCEJ also pointed out that apartment prices in major areas of Seoul rose the most sharply during the Roh Moo-hyun and Moon Jae-in administrations.

At a press conference held at the CCEJ auditorium in Jongno-gu, Seoul, the organization stated, "An analysis of the prices of 30-pyeong (approximately 99 square meters) apartments in major Seoul complexes since 1993 shows that the prices increased the most during the Roh and Moon administrations."

According to CCEJ, the jeonse price per pyeong in Gangnam apartments was 20.96 million won in 2017, early in the Moon administration, and rose to 24.36 million won in 2020, an increase of 3.4 million won (about 100 million won for a 30-pyeong unit). Gangnam apartment prices rose from 1.34 billion won to 2.1 billion won, an increase of 760 million won, the largest rise among all administrations.

CCEJ emphasized, "To protect tenants without homes, housing price bubbles must be removed to the levels before President Moon's inauguration, and a mandatory jeonse deposit guarantee system and a price ceiling system for pre-sale apartments should be introduced."

This content was produced with the assistance of AI translation services.