Pledge to Introduce a "Customized Housing Tax Reduction System Based on Life Cycle"
Tax Benefits Tailored to Each Stage of Life, Including for Newlyweds and Young Adults
Lee Junseok, the presidential candidate of the Reform New Party, on May 1 pledged to introduce a "customized housing tax reduction system based on life cycle," which would reduce housing taxes according to different stages of life.
His campaign committee stated in a press release that "people tend to prefer a small house when living as a couple, a larger house when they have children, and a smaller house again after their children leave home," explaining the rationale behind the policy.
The campaign committee announced, "We will reduce the acquisition tax by half when a household starts with a 59-square-meter (㎡) unit, instead of the more burdensome 84㎡ unit for a two-person family. Furthermore, when moving to a larger home due to the birth of a child, we will provide tax exemptions to facilitate easier 'housing upgrades.'"
The plan also includes a 50% reduction in acquisition tax for young adults purchasing their first home, and for newlywed couples within seven years of marriage, both the acquisition tax and capital gains tax would be reduced when purchasing a home of 59㎡ or less.
For households with two children, the capital gains tax exemption threshold would be raised to 2 billion won, and for seniors aged 65 or older selling their homes, the special long-term ownership deduction for capital gains tax would be expanded.
Lee Junseok, the presidential candidate of the Reform New Party, is attending and speaking at the Kwanhun Debate held at the Korea Press Center in Jung-gu, Seoul on April 30, 2025. Photo by Jo Yongjun
The campaign committee emphasized the need to expand housing supply by significantly increasing the floor area ratio, and also proposed focusing supply on 59㎡ units through this increase.
They also suggested concentrating the supply of 59㎡ units and providing incentives during reconstruction and redevelopment projects.
The committee diagnosed that "due to the Eoljuksin ('even if I freeze to death, I want a new building') craze and the limitations on securing new land, high-density development within city centers is necessary," but also pointed out that "due to soaring construction costs, high reconstruction contributions required from cooperative members are delaying new housing supply."
They added, "If we focus on supplying 59㎡ units, which can be configured with three rooms and two bathrooms and are versatile for newlyweds and households with one or two children, we will offer exceptional incentives to reduce the financial burden on existing cooperative members and resolve supply bottlenecks."
Additionally, Lee pledged to activate the rental registration system to address the issue of unsold homes in regional areas, and to abolish the regional housing cooperative system, which has been plagued by allegations of false and exaggerated claims.
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