Real Estate Issues Emerge as Key Factor in Next Year’s Local Elections,
Legal Disputes Intensify
Criticism Mounts Over Exclusion of September Data
in Designating Regulated Areas Under the October 15 Policy
On December 26, the People Power Party initiated legal proceedings to cancel the administrative measures related to the October 15 real estate policy. With about five months remaining until the local elections on June 3 next year, this move is a political strategy to highlight real estate issues as a major vulnerability for the government and the ruling party.
Kim Eunhye, Senior Deputy Floor Leader for Policy of the People Power Party, held a press conference at the National Assembly’s communication center on the same day, announcing, "We are filing an administrative lawsuit demanding the cancellation of the October 15 real estate policy, which expanded the designation of speculative and regulated areas to cover the entire city of Seoul."
Kim Eunhye, a member of the People Power Party, is holding a press conference on October 15 real estate policy administrative litigation at the National Assembly on December 26, 2025. Photo by Kim Hyunmin
Kim argued procedural illegality, claiming that the government intentionally selected only favorable statistics in the process of designating all of Seoul and 12 areas in Gyeonggi Province as regulated zones. According to statistics from September, she asserted that these areas did not meet the required rate of housing price increase.
Under the current Enforcement Decree of the Housing Act, a region can only be designated as a regulated area if the housing price increase rate over the past three months exceeds 1.3 times the inflation rate. The government designated the regulated zones using statistics from June to August.
Targeting the Ministry of Land, Infrastructure and Transport, Kim criticized, "The agenda was submitted to the Housing Policy Review Committee without providing the latest statistics, reducing the review process to a mere formality. This is a direct violation of the principle of substantive review and undermines the fundamental principles of administrative procedures."
Kim further emphasized, "It is the homeless and low-income citizens who suffer the most from the unlawful October 15 regulations," adding, "Residents of these areas are experiencing severe restrictions on property rights and violations of their freedom to relocate."
On the same day, the People Power Party’s district committee chairs from the regulated areas in Seoul and Gyeonggi Province are scheduled to file an administrative lawsuit at the Seoul Administrative Court seeking the cancellation of the October 15 real estate policy.
Previously, the Reform Party also filed a lawsuit seeking confirmation of invalidity and cancellation of the October 15 policy, as well as an injunction to suspend its effect, citing the omission of September statistics.
Recently, housing prices in the Seoul metropolitan area have been on the rise. According to the Korea Real Estate Board’s announcement the previous day, apartment sale prices in Seoul have risen for 46 consecutive weeks. As a result, the annual growth rate of apartment prices in Seoul is expected to reach its highest level in 19 years since 2006. Despite various real estate policies, the continued rise in apartment prices is leading political circles to anticipate that real estate market issues will be a major topic in next year’s local elections.
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