Moon vows full measures against housing price hikes, calls for parliament's support

President Moon Jae-in gives a speech during the opening ceremony of Korea's 21st National Assembly at National Assembly in Seoul, Thursday. Yonhap

President Moon Jae-in said Thursday his government will use all available measures in the fight against property speculation and soaring housing prices, especially around the capital area.

He vowed to "listen to the voice of opposition parties" demanding the expansion of the housing supply and to push actively for necessary steps.

He was speaking at the opening ceremony of South Korea's 21st National Assembly.

Moon's liberal administration has already signaled the reversal of its longstanding view that the housing supply is not insufficient in Seoul and nearby cities. Until recently, it placed a focus on pressing families owning two or more houses to sell properties. It unleashed several packages of tough measures, such as mortgage loan restrictions and plans to jack up property ownership and capital gains taxes.

But the prices of real estate, in particular apartments, have continued to soar amid ultra-low interest rates and excess liquidity.

Moon's approval rating has been on the decline apparently affected by soaring housing prices among other factors. It fell to a nine-month low of 44.1 percent, according to Realmeter's latest survey.

Moon called for the National Assembly's support for the government's efforts to stabilize the housing market.

"Now, the foremost legislation-related task for the people is real estate measures," the president said. He was referring to related bills pending at the parliament.

In addition to the search for ways to increase the housing supply, he said, the government will continue efforts to "make it clear that (people) can't make money any more through real estate speculation by elevating burdens on multiple house owners over house ownership and sharply raising capital gains taxes." (Yonhap)