Kim Yong-beom, presidential chief of staff for policy, speaks during an interview with financial YouTube channel 3PROTV, in this photo provided by the presidential office on Oct. 15, 2025. (Yonhap)
SEOUL, Oct. 15 (Korea Bizwire) — South Korea’s top policy aide to President Lee Jae Myung said Wednesday that the government is considering a comprehensive overhaul of real estate taxation — including possible hikes in property holding taxes — as it moves to rein in surging home prices in Seoul and surrounding regions.
Kim Yong-beom, the presidential chief of staff for policy, said the administration would “seriously review” the entire tax framework covering home acquisition, ownership, and transactions. His remarks came shortly after the government unveiled a broad set of measures to cool the housing market, including designating all districts of Seoul as speculative zones and tightening mortgage lending rules.
“It is true that our current property holding tax level is low,” Kim said in an interview with 3PROTV, a financial news channel on YouTube. He described the government’s approach as a “rationalization of real estate taxation,” suggesting a more balanced system that could raise holding taxes while encouraging property transactions.
“Policies for real estate stability and housing welfare must encompass both taxation and supply,” Kim said, noting that South Korea’s overall tax burden remains below the global average.
The comments signal a subtle but notable shift from President Lee’s campaign stance, in which he pledged not to rely on tax hikes as a central tool for housing stabilization. Rising apartment prices in Seoul and Gyeonggi Province have renewed public frustration over housing affordability, a politically sensitive issue that has tested successive administrations.
This photo taken June 27, 2025, shows an apartment complex in Seoul. (Image courtesy of Yonhap)
On trade policy, Kim said Seoul is aiming to achieve a breakthrough in ongoing negotiations with the United States before the Asia-Pacific Economic Cooperation (APEC) summit later this month in the southeastern city of Gyeongju. U.S. President Donald Trump is expected to attend the summit, potentially creating an opening for bilateral talks with President Lee.
“There isn’t a fixed deadline, but opportunities for the two leaders to meet don’t come often,” Kim said. “The APEC summit is effectively our main target for progress.”
Kim is set to travel to Washington on Thursday with Industry Minister Kim Jung-kwan for follow-up discussions with U.S. officials, including Commerce Secretary Howard Lutnick. Talks are expected to focus on the details of South Korea’s $350 billion investment package and Washington’s response to Seoul’s revised proposal.
According to Kim, the U.S. side has shown a “meaningful response” in recent weeks and presented “a constructive alternative,” raising hopes that the two countries may narrow their differences ahead of the high-profile summit.
M. H. Lee (mhlee@koreabizwire.com)
