Lee Okwon: "Additional Real Estate Measures Will Be Implemented Immediately If Necessary"

Written Response to National Assembly Hearing
"June 27 Measures Deemed Effective in the Short Term"

Lee Okwon, nominee for Financial Services Commission chairman, is arriving at the confirmation hearing preparation office set up at the Korea Deposit Insurance Corporation in Jongno-gu, Seoul on August 14, 2025. Photo by Kang Jinhyung

Lee Okwon, the nominee for the Financial Services Commission chairman, stated on August 31 that additional real estate measures would be implemented immediately if necessary.

In a written response to the National Assembly submitted on this day, Lee was asked to evaluate the June 27 real estate policy. He replied, "Since April, household debt has been increasing, particularly in the Seoul metropolitan area through mortgage loans. Many assessments indicate that the June 27 measures have been effective in the short term."

While Lee noted that no specific additional lending regulations have been decided, he added, "We will closely monitor the housing market and household loan trends, and will immediately implement prepared measures if necessary."

He also mentioned, "There are considerable opinions that relying solely on lending regulations may limit policy effectiveness," and added, "If appointed, I will pay special attention and carry out my work accordingly." This can be interpreted as suggesting that real estate supply measures and other policy tools should accompany household debt management.

When asked about the need for further measures such as strengthening the loan-to-value (LTV) ratio, Lee answered, "Any tightening of LTV regulations must take into account the overall impact on household debt management and the housing market."

Regarding potential measures to tighten regulations on jeonse loans, he said, "There are concerns that jeonse loans may not only contribute to the expansion of household debt but also support higher jeonse prices, which could be used for gap investments." However, he added, "Since these loans also help stabilize housing for lower-income households who lack sufficient funds, both aspects must be considered comprehensively."