Minister Kim Hyun-mi Warns of Speculation in Non-Regulated Areas: "Closely Monitoring"

"Speculative Concentration Occurs in Regulated Areas"
"Closely Monitoring Regions with Excessive Housing Price Increases"

Minister of Land, Infrastructure and Transport Kim Hyun-mi is responding at the plenary session of the Special Committee on Budget and Accounts held at the National Assembly on the 10th. (Photo by Yonhap News)

[Asia Economy Reporter Moon Jiwon] Kim Hyun-mi, Minister of Land, Infrastructure and Transport, recently pointed out the speculative concentration occurring in areas without regulations, stating that she is "monitoring the situation closely." Accordingly, there are prospects that regions where housing prices are rapidly rising, such as Gimpo in Gyeonggi Province, may soon be designated as regulated areas.

On the 10th, during the plenary session of the National Assembly Budget and Accounts Special Committee, in response to People Power Party lawmaker Choi Hyung-do's remark that the local housing market has stagnated since the July 10 real estate measures, Minister Kim said, "There is a speculative concentration phenomenon avoiding regulated areas, causing excessive housing price increases in certain regions, which we are monitoring closely."

Minister Kim added, "With the expansion of regulated areas following the announcement of the July 10 measures, speculative capital is moving to urban areas centered on local metropolitan cities to avoid those regions, as confirmed by statistical data, and we are monitoring this situation carefully."

In fact, as most areas in the Seoul metropolitan area and major local cities have been designated as regulated areas through government measures, housing prices in non-regulated areas, which are free from loan restrictions and various tax burdens, are soaring. Busan, Gimpo, and Cheonan are representative examples.

Minister Kim emphasized, "The fundamental principle of real estate policy is to suppress speculative demand and implement policies centered on actual demand. If speculative demand concentrates and overheats even in local areas, it ultimately harms the residents of those regions, so we will manage this thoroughly."

She continued, "I believe it is necessary to maintain consistent policies that do not cause misunderstandings for the time being. It has been just over three months since the announcement of the July 10 measures. I think the priority is to manage the market stably."

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