Rising Property Costs in South Korea

Currently, South Korea has encountered the exponential rising costs of the house. According to Korean Sentiment Board, since August 27th in Seoul, the price of the apartment has increased 0.45% compared to other areas. A 59㎡ apartment in Seoul now costs $25 billion which approximately cost 1㎡ per $100 million. Then why is this happening? It is because of the Seoul Major, Park Won-soon, is planning to integrated Development Plan on the northern part of capital plus in Yongsan and Yeouido.

“We are planning to build shopping centers and parks by covering the railroad between Seoul and Yongsan stations,” Park said in Singapore on July 10 when he visited the prime minister for the World City of Lee Kwan-yu. The impact of the controversial statement was huge. The price of every houses and apartment that are located near the Yongsan and Seoul stations has exponentially increased. In a month, the cost of going up to hundreds of million dollars.

The government is trying their best to stop the rising cost of the house, but they haven’t yet suggested the best solution to it. Kim Hyun-ah of the Liberty Korea Party criticized the government’s policy about real estate policy and said, “It is sure that rising cost of the house in Seoul will stop, but it is doubtful whether the housing prices will decrease.” The citizens of Seoul also seem to very complain about this. According to CBN News, they had surveyed one- thousands of adults who are living in Seoul about the policy of real estate policy. Nearly 50% of the people said the housing prices would increase, 19% said it would decrease, and 17% said stay the same.

Due to the real estate policy, Seoul citizens’ criticism toward the government is becoming more prominent. According to Kyeongin, they surveyed whether the incumbent administration is doing well in real estate policies, and only 16 percent answered “yes,” while 61 percent answered “no.” The government is still working on the solution whether it may create sacrifices or beneficial to everyone. Many expertise has predicted that if the government can’t solve the problem rapidly, the complaint of Seoul citizens will increase.

For more information, please visit (here)