"People Who Bought Homes Are Suddenly Poor"... Doctor's Mockery Sparks Uproar

"Real Estate Is a Tied-Up Asset, Stocks Are the Answer"

Debate Intensifies Over Doctor's '9.1 Billion Won Asset Certification' Statement

With the recent boom in the domestic stock market, a series of posts certifying investment profits have emerged, and a doctor's statement certifying assets worth several billion won has ignited heated discussion online. By labeling real estate as an "inefficient asset" and advocating for increased investment in stocks, he has sparked a debate among investors.

On May 13, a post by a doctor identified as Mr. A, who certified assets worth approximately 9.1 billion won while mocking real estate investors, quickly spread across social media. Titled "I heard all the 'sudden poor' are gathered here, so I came," the post recorded tens of thousands of views within a single day of being uploaded.

Mr. A argued that when the stock market saw a temporary correction due to recent geopolitical risks, real estate investors criticized the stock market, but the mood reversed sharply when the index rebounded rapidly.

Regarding some responses such as "Do you think homeowners don't invest in stocks?" he wrote, "When more than 80% of your assets are tied up in your home and you only invest the funds left after repaying principal and interest each month, can you really be satisfied with those returns?" Mr. A added that if one had bought SK hynix shares a week ago, the return would have reached 50%, and noted that the recent daily gain of the KOSPI was about 5%.

He also disclosed changes in his assets. He stated that his assets increased from about 7 billion won in May last year to 9.1 billion won now, earning 2.1 billion won over the past year and 1.4 billion won just this year. He added that this was after paying capital gains tax on overseas stocks.

In contrast, he claimed that prices of reconstruction apartments in the Gangnam area have been falling. For example, a 35-pyeong apartment in Apgujeong that traded for 7.2 billion won ten months ago cannot even be sold for 5.8 billion won now. He criticized real estate as a "backward asset" loaded with a 3.3% transaction tax, brokerage fees, capital gains tax, holding tax, and without the ability to use leverage. "You can't buy or sell whenever you want, and you can't make split purchases or sales," he argued.

By contrast, he emphasized that in the stock market, the transaction tax is only 0.2%, and with just a click, you can make split trades and use leverage, even securing cash flow through dividends. Mr. A stressed, "There are no tenants, no brokers, and no site visits. All you need is your finger." He concluded by saying, "Based on the forward price-earnings ratio (fPER), the domestic stock market remains undervalued," claiming it is still not too late to invest.

Reactions to these statements have been sharply divided. Some pointed out the opportunity cost of having assets tied up in real estate and agreed with a financial asset-centered investment strategy. There were even users who claimed to be maximizing investment returns by continuing to rent rather than own property.

On the other hand, there were opinions highlighting the high volatility of the stock market and the limitations faced by individual investors. Many also emphasized the role of real estate in providing a stable residence and long-term asset accumulation.

Experts note that since stocks and real estate are fundamentally different types of assets, simple comparisons are inappropriate. They stress that factors such as profitability, stability, and liquidity must all be considered, and that asset allocation should reflect an individual's financial situation and risk tolerance. In addition, they warn that during periods of heightened volatility such as now, excessive concentration or leverage in any one asset class can be a risk factor.