"Monitoring Non-Resident Single Homes and Jeonse-Wolse"... Reviewing Supply of Non-Apartment Housing

[Anchor]

While the Democratic Party has officially evaluated the government's real estate tax reform proposal as "tax normalization," cautious views also exist internally. Amid a growing consensus that jeonse and wolse (lump-sum and monthly rent) countermeasures are necessary, plans to expand the supply of non-apartment housing, such as villas and officetels, are also being reviewed within the party.

Reporter Park Jae-yeon has the details.

[Reporter]

Democratic Party lawmakers representing Seoul constituencies and Seoul Metropolitan Council members held a closed-door meeting yesterday (Aug. 6).

It is reported that they examined how the real estate tax reform proposal announced on the 3rd would affect public sentiment in Seoul and discussed various aspects, including the "tax burden issue for non-resident single-home owners."

[Oh Gi-hyung / Democratic Party Lawmaker: There seem to be opinions that we should approach the parts considered actual residence [even if non-resident] a bit more flexibly, and so on...]

A Seoul Metropolitan Council member stated, "There are cases of non-residence due to various reasons other than employment and education, so everyone agreed on the need for sophisticated policies."

A Seoul constituency lawmaker also emphasized, "Preparations are necessary for the possibility that the increased tax burden may be passed on to tenants, as well as the issue of jeonse and wolse shortages."

Discussions on jeonse and wolse countermeasures were reportedly frequent, driven by concerns that reducing tax benefits for non-resident single-home owners and multiple-home owners could lead to heavier burdens on tenants.

Plans to expand housing supply also drew attention.

[Kim Nam-guk / Democratic Party Lawmaker: There is a consensus that we must focus on solving the supply cliff problem...]

The Democratic Party is looking into ways to increase the supply of not only apartments but also non-apartment housing such as villas and officetels, which take relatively less time to actually supply.

A key lawmaker from the Democratic Party leadership stated, "Reflecting budgets related to modular housing—which has high construction costs but can be built the fastest—in next year's budget proposal is also under review."

Meanwhile, the People Power Party continued to criticize the government's tax reform proposal, warning that "policies that refuse to listen to the other side will pay a price."

[Yoon Sang-hyun / People Power Party Lawmaker (at a debate evaluating the tax reform proposal): Throwing a tax bomb even at single-home owners, and dropping another bomb on ordinary citizens and young people struggling with jeonse and wolse hardships...]

Amid these developments, the presidential office will hold the "Second Real Estate Policy Inspection Meeting" this afternoon, presided over by President Lee Jae-myung, to discuss ways to expand housing supply and other measures.

(Video reporting: Oh Young-chun, Kim Yong-woo | Video editing: Won Hyung-hee | Design: Jang Sung-beom)
※ Please note: This article was translated by AI and may contain errors.