The findings show a clear trend: the proportion of monthly rental tenants in the 31–35 age group has steadily increased over the decades. (Image courtesy of Yonhap)
SEOUL, March 28 (Korea Bizwire) — A new government report has revealed a growing polarization in housing among young South Koreans in their early 30s, with more individuals shifting either into monthly rentals or homeownership—while the once-dominant jeonse (lump-sum deposit lease) model continues to decline.
Published Wednesday by Statistics Korea’s National Statistical Research Institute, the report compares housing patterns across four birth cohorts—those born between 1970 and 1989—using population and housing census data collected every five years.
The findings show a clear trend: the proportion of monthly rental tenants in the 31–35 age group has steadily increased over the decades. Only 17.3% of people born between 1970 and 1974 lived in monthly rentals in their early 30s.
That share rose to 19.0% for those born in 1975–1979, 20.8% for the 1980–1984 cohort, and 21.3% for those born between 1985 and 1989.
While the rise in monthly rent living reflects growing financial strain for some, the report also notes an uptick in homeownership.
Among those in their early 30s, homeownership rates hovered around 48.1% for the 1970–1974 group and dipped slightly to 46.6% for the 1975–1979 cohort. But the trend reversed for younger groups: 51.1% for those born in 1980–1984 and 49.0% for 1985–1989.
In contrast, the rate of jeonse tenancy—long a hallmark of Korea’s housing landscape—has shown a consistent decline over time.
Housing Divide Widens Among Young Koreans (Image created by AI)
“The data points to a growing housing polarization among young adults at the key stage of forming families,” the report stated. “Those with financial means are transitioning from jeonse to homeownership, while others are being pushed into more precarious monthly rentals.”
Still, the researchers cautioned against overgeneralization, noting that shifts in homeownership reflect a complex mix of real estate policy and economic conditions, particularly during the housing price surge in the early 2020s.
The findings come amid intensifying public concern about housing affordability and wealth disparity among Korea’s younger generations—a challenge policymakers are expected to grapple with heading into 2026.
Ashley Song (ashley@koreabizwire.com)
