[Press Conference] "Pre-Lunar New Year Lease Measures Will Also Be Released... Supply Cannot Be Achieved Overnight"

[Image source=Yonhap News]

[Asia Economy reporters Lee Ji-eun and Jeon Jin-young] President Moon Jae-in emphasized that the housing supply measures to be announced before the Lunar New Year include plans to rapidly increase the volume of jeonse (long-term lease) units. However, he added that supply cannot be achieved overnight and that an analysis is needed regarding the increase in the number of households amid low birth rates.

At a New Year's press conference on the morning of the 18th, President Moon said, "Although we already announced jeonse measures last year, there may still be a shortage of jeonse listings. Therefore, the housing supply measures to be announced this time include plans to quickly increase the volume of jeonse units."

He explained, "Many people hope to own their own homes, but since the housing supply volume is insufficient, we will swiftly prepare measures to increase the insufficient housing supply volume as soon as possible and announce them before the Lunar New Year." He added, "With the spring moving season approaching, there may be concerns that finding jeonse will become difficult again." This means that policies to expand supply, including jeonse, will be announced soon ahead of the moving season.

In response to a reporter's question about whether the supply volume should have been increased from the early days of the administration, he rebutted, "Real estate supply is not something that can be achieved overnight."

President Moon stated, "Our country has had a low birth rate for a long time, and the population of young people is decreasing. Nevertheless, as young people grow up, they tend to establish separate households, so the number of households is increasing." He emphasized, "Housing supply plans are established according to this trend, and although these plans were made before our government, the volume of housing supply during our administration is designed to be much greater than during previous governments."

President Moon said, "Regarding the additional volume required, our government has prepared measures to supply an additional 1.27 million housing units in the metropolitan area, including the 3rd phase new towns, so we judged that supply would be sufficient to some extent." He added, "Although the population decreased in 2020, the number of households increased by 610,000 last year, and continuous analysis is needed to understand the reasons behind this."

President Moon emphasized, "As the number of households increases, housing demand also increases accordingly. Therefore, the government sees the need for urgent supply measures to respond to this demand." He continued, "For urgent measures, we believe that more innovative and bold policies that go beyond existing procedures are necessary, as well as long-term plans."