The findings show that while homeownership generally increases with age within each cohort, younger generations are entering adulthood with significantly higher rates of monthly rental housing, including “key money” leases. (Image courtesy of Yonhap)
SEJONG, June 27 (Korea Bizwire) — A widening housing disparity is emerging among South Korea’s younger generations, driven in part by soaring real estate prices in the Seoul metropolitan area, according to a new government study.
In its summer issue of Statistics Plus, the National Statistical Office’s research institute published a report analyzing generational shifts in life milestones such as marriage, childbirth, and housing. The study divided individuals born between 1970 and 1994 into five-year cohorts to examine trends in homeownership and rental status.
The findings show that while homeownership generally increases with age within each cohort, younger generations are entering adulthood with significantly higher rates of monthly rental housing, including “key money” leases.
For example, only about 20% of those born between 1975 and 1979 lived in monthly rentals in their early 20s. In contrast, the figure climbed to over 25% for those born between 1990 and 1994. Meanwhile, individuals born in the early 1970s saw homeownership rates rise from 43.2% in their late 20s to 64.4% by their late 40s.
The report attributes this trend to intensified housing market pressure, particularly in the Seoul region, suggesting that economic disparities are increasingly determining whether young people own homes or remain renters.
“Financially stable youth are more likely to start families as homeowners, while others are pushed into rental arrangements,” the study noted.
In addition to housing concerns, the report highlights the impact of sustained low birthrates. The proportion of women without children by age 40 rose sharply from 2.73% for those born in 1970 to 9.64% for the 1980 cohort.
The data underscores the socioeconomic hurdles facing younger South Koreans and reflects broader concerns about generational inequality and demographic decline.
M. H. Lee (mhlee@koreabizwire.com)
