Issue Focus

● Since the inauguration of the Yoon Seok-yeol administration, supply measures (August 16, 2023, September 26, 2024, January 10, 2024) have been announced every year, but concerns about supply instability from 2025 to 2026 remain as it does not lead to a visible increase in supply. - The recent reduction in construction could lead to a decrease in completion in 2025. - By region, the Seoul metropolitan area is likely to affect the market from 2025 and the provinces from 2026. ● This study examines policies by major sectors such as ① public housing, ② maintenance projects, ③ non-apartments, and ④ regulation and demand growth. Through this, it is intended to reflect on the meaning of the housing supply policy and suggest the direction of future policies. ● It is intended to expand the volume of (public housing) and speed up the construction. It will be possible to convert unstable demand into standby demand only when rapid housing supply is made in the area where the green belt is released. - The proportion of supply in public housing sites during the completion of apartments is high at 33.6%, and the short-term mass supply effect is also large. If it is supplied quickly from a symbolic location, a market stabilization effect similar to that at the time of supply of nesting housing can be expected. ● It supports simplification of procedures and improvement of business feasibility, but it is difficult to feel the policy effect in a short period of time due to the specificity of a long-term project. While maintaining the direction of revitalizing the maintenance business, it is important to restore market trust through rapid legislation. - As the most important means of supplying housing in the city center, 65.4% of the completion of Seoul apartments accounted for maintenance projects. However, it is difficult to feel the effect of policy support as a long-term project with an average project period of 14 years. - Due to the effect of the expansion of integrated deliberation, the number of complexes that have moved to the construction deliberation stage has increased, but the increase in new entry complexes is insignificant. The direction of shortening the business period, such as fast track, is positive, but it will help increase the number of workplaces in the entry stage only when market trust is restored through rapid legislation. ● Public new construction purchase agreements, which are strong policy interventions (non-apartments), are attracting market attention. Strengthen monitoring of purchase performance in the short term. In the long term, it is necessary to find a balance with urban management. - BEPART is experiencing major housing supply channels or supply declines, accounting for 26.6% of all houses, so direct public purchases are sufficient. As if representing market difficulties, there is a lot of interest in public new purchase agreements, but the performance situation may be different, so monitoring of implementation is necessary. ● (Regulation and demand increase) It is necessary to find mid- to long-term countermeasures against the local market undergoing structural changes and to improve the sensitivity of supplier financial support. - Local markets, such as population decline, are facing structural demand changes, requiring long-term consideration, and supplier financial support requires efforts to increase the experience of policy support from the perspective of companies. ● (Comprehensive Evaluation) Regardless of fluctuations in housing prices, the supply of affordable housing is a direction that the government should continue to promote. However, it is more important to maintain a stable policy direction as it is effective over a long period of time compared to the demand policy.