Blue House economic chief says rent and lease measures to be announced soon, with supply and youth rent support in preparation

[Financial News] Joon-Kyung Ha, Senior Presidential Secretary for Economic Growth at the Blue House, said on the 27th that measures to stabilize the rent and lease market will be announced soon. He added that revisions to property taxes, including holding taxes, and steps to ease lending restrictions are also being prepared.
Appearing on SBS's "Kim Tae-hyun's Political Show" on Thursday morning, Ha responded to criticism that the rent and lease measures were insufficient by saying, "The rent and lease measures are being prepared on several levels."
Ha said, "In principle, to rein in rent and lease prices, supply has to increase significantly." He added, "We have also prepared measures for areas that can be supplied quickly in the short term." He also said, "We are preparing steps to address the higher costs caused by the loss of trust stemming from jeonse fraud."
On ways to ease the housing cost burden on young people, he said, "Young people are especially struggling on the monthly rent side," adding, "Preparations are under way on several fronts, and more will gradually be announced."
Regarding possible revisions to lending rules, he said the government would take an approach centered on boosting supply and protecting end users. Ha said, "If we let everyone borrow, home prices will rise again, and then even more borrowing will be needed." He added, "You cannot drink seawater just because you are thirsty."
He said, however, that any unreasonable or outdated lending rules should of course be fixed. "Rather than loans that increase demand, there is a policy direction to review loans that help activate supply," he explained. "If something was institutionally guaranteed but suddenly becomes unavailable, or if banks suddenly tighten lending conditions, we need to create an escape route."
On whether holding taxes will be raised, he said, "It is desirable to collect an appropriate level of holding tax socially, after considering all factors," but added, "We must not undermine housing welfare."
He said, "We plan to consider all values together, including housing welfare, social efficiency and tax fairness." He added, "After listening to public opinion, I think an announcement will be made soon." Asked about standards for high-priced single homes, he declined to elaborate, saying, "We are preparing several options, so it is difficult to confirm anything now."
On housing supply in Seoul, he said, "It is true that there is not much land, but there is not none." He added, "There are various types of housing, so we are looking for land that fits those needs, and we will know more about this soon."
Ha also said the San Francisco AI Declaration means that "we can become a key country in the AI supply chain." He noted, "San Francisco is the center of the AI technology revolution," and added, "It is meaningful that we formed an equal partnership with the companies leading that change."
Regarding the $95 billion semiconductor cooperation package, he said, "It has been agreed that cooperation in semiconductors will move forward, and AI data centers will also be developed on a scale of about 5 GW." He described it as "a project that requires state support, resources and institutional reforms all at once."
On recent stock market volatility and controversy over single-stock leveraged ETFs, he said, "We are checking whether there were any parts in the product launch terms or conditions that were a bit too loose." He added, "We recently raised deposit requirements, and the system must continue to be improved."
[email protected] Seong Seok-woo Reporter