"Friends Who Took Out Huge Loans Saw Their Home Prices Skyrocket... I Feel So Sorry for My Wife and Kids": Breadwinner Voices a Sense of Deprivation

[Financial News] A salaried worker who chose jeonse instead of buying a home more than 10 years ago said he has fallen into a deep sense of deprivation after recently facing surging home prices and a tight jeonse market.

On the 19th, a post titled "I really regret not buying a house when I could have" appeared on the salaried workers' online community Remember.
The writer, identified as A, began by saying, "More than 10 years ago, while friends around me were getting married and taking out huge loans to buy apartments, I chose the safer option of jeonse at the time because I was worried about interest rates."
He said, "My wife and I really did not spend money on anything frivolous. We cut back on eating out and saved diligently, but these days it feels so empty. The home prices of friends who took out huge loans have soared, and I used up all the money I had saved over the years to raise my jeonse deposit this time. Jeonse is now really drying up, so there is nowhere to go."

He continued, "At a gathering with old friends I met for the first time in a while, they kept saying how lucky they were to have bought homes in advance, and I just quietly grilled meat the whole time." He added, "I thought I had lived hard, but I feel like I have become a poor man overnight. I feel so sorry to my wife and children, and I feel useless myself."
A said, "I wonder if there are others my age who regret renting jeonse like I do. The atmosphere was that almost everyone bought a home by taking out huge loans once they got married, so I think there are not many people like me. It was fine when I pretended not to know, but after meeting my friends, depression and a sense of deprivation have been crushing me terribly."
He went on to say, "I want to turn back time, but that is impossible. I guess that is why I envy Doctor Strange."
His frustration is also supported by recent statistics. According to data released by the Seoul Metropolitan Government on the 21st, actual transaction prices for apartments in Seoul rose 2.50% in June from the previous month. That is higher than the 2.44% increase in June 2021, when home prices were surging, and marks the sharpest rise in five years. As lending restrictions pushed actual demand toward mid- and low-priced homes, the share of transactions for homes priced at 1.5 billion won or less jumped to 81.2% in July. Jeonse prices have also remained stubborn, rising more than 1% for four straight months.

After hearing the story, online users responded with comments such as, "There is always another chance. Rather than dwelling on what you missed, seize the opportunities ahead," "Many people who bought homes by taking on excessive loans are also struggling every month because of interest payments. It is just a different form of asset, but the jeonse deposit you saved diligently is also a very large asset. It may just depend on how you look at it," "Real estate is an asset, so it keeps appreciating over time. Whether you bought or rented jeonse, you worked hard and saved just the same. Study how to protect your assets as diligently as you earn your salary," "If you do not own a home and have children, you may want to aim for a subscription to a housing allocation program instead," and "Regret will not change anything. Do not compare yourself with others, and if you have even a slight intention of buying a home, buy now."
[email protected] Kim Su-yeon Reporter