[2025 Audit] One in Three Seoul Apartments Affected by 10·15 Measures

Kyeongho Chu: "Housing Ladder for Genuine Buyers Severed"

Kyeho Chu, member of the People Power Party. Office of Kyeho Chu

One out of every three apartments in Seoul has been included in the government's 10·15 loan regulation measures. While the government announced the 10·15 policy with the intention of curbing speculative demand focused on high-priced housing, the broad scope of the measures makes it difficult to avoid criticism that the policy has effectively cut off the housing ladder for genuine homebuyers.

According to data submitted by Kyeongho Chu, a member of the National Assembly's Political Affairs Committee from the People Power Party, based on information from the Financial Services Commission, 32.5% of apartments in Seoul are priced above 1.5 billion won, and 14.9% are priced above 2.5 billion won. These figures were calculated by the Financial Services Commission using KB Real Estate prices as of the end of September 2025. As a result, more than one out of every three apartments in Seoul is now directly subject to the new loan regulations.

Under the new measures, the government has lowered the mortgage loan limit for apartments priced above 1.5 billion won from 600 million won to 400 million won, and for those above 2.5 billion won, to 200 million won. Kyeongho Chu pointed out, "The Financial Services Commission explained that 'overheating continues to be centered on high-priced apartments, so it was necessary to block purchase demand through loans,' but failed to present specific grounds for these standards."

He further criticized, "When asked how the 1.5 billion won and 2.5 billion won thresholds were set, the Financial Services Commission only gave a general response, saying they 'considered housing prices and borrower income levels at the time of the 6·27 loan regulations.'"

The new policy is directly affecting not only owners of high-priced apartments but also genuine homebuyers. As the government designated all of Seoul and 12 regions in Gyeonggi Province as land transaction permit zones and regulated areas, the loan-to-value (LTV) ratio was reduced from 70% to 40%. Consequently, even those looking to purchase apartments priced under 1.5 billion won are finding it harder to secure funds due to reduced loan limits.

Kyeongho Chu stated, "The government has failed to distinguish between genuine homebuyers and speculative demand, instead categorizing the entire Seoul metropolitan area as a regulated zone," and added, "By restricting mortgage loans based on administratively convenient standards, the government has, in effect, severed the housing ladder for genuine buyers."