South Korea to offer public housing with 25% upfront payment under supply plan

South Korea's Ministry of Land, Infrastructure and Transport is pairing new low-down-payment public housing models with a wider August 13 supply package for more than 230,000 homes in the Seoul metropolitan area. From as early as fourth-quarter public housing presales, some buyers will be able to move in after purchasing a 25% stake and buy the rest over 20 to 30 years, while a separate profit-sharing model backed by the national housing fund would allow loan-to-value ratios of up to 70%; the package also raises planned modular public housing orders for 2027-2030 to 20,000 units from 12,000 and seeks 130,000 general housing starts by 2030. The Citizens' Coalition for Economic Justice says the package, together with the August 3 tax overhaul, could intensify demand for Seoul homes with market values below about 2 billion won and does too little to curb speculation, while market specialists say non-apartment supply support could still ease short-term jeonse and monthly-rent pressure if financing conditions and market trust recover.

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