SEOUL– President Moon Jae-in urged caution on Monday on easing regulations on the real estate sector, saying it could have a negative impact on efforts to curb home prices.
The government “must be very cautious about overall deregulation that could affect the real estate market,” which has shown signs of stabilization, Moon told a meeting with senior aides.
The remarks came as President-elect Yoon Suk-yeol has pledged to ease regulations on the property sector.
On Sunday, Yoon named Rep. Choo Kyung-ho of the conservative People Power Party to serve as deputy prime minister for economic affairs and finance minister.
After the nomination, Choo, a former vice finance minister, said he plans to respect market principles and seek to ease capital gains taxes and a tax on property ownership.
Moon’s administration took a set of measures to curb skyrocketing home prices, such as tax hikes and tighter lending rules. But it led to only a short-term letup in housing prices since demand for home buying has not been easily subdued in anticipation of further price gains.
Moon also expressed concerns about a sharp rise in prices of energy, raw materials and grains as the Ukraine war drags on and supply chain uncertainties persist.
Moon said he will continue to make efforts to stabilize people’s livelihoods until his term ends.
Source: Yonhap News Agency