The Korean government announced new measures to counter the rapid rise in residential property values. These measures need to be approved by the national assembly. The measures include a raising the property tax to 3% for those with residential properties worth over about one million dollars (and taxed only on the amount over one million dollars), stopping mortgage loans to those with multiple residential properties, raising the value at which properties are taxed to 100% of the actual market value. Most Korean media have "experts" on their news shows criticizing these measures and stating that they will not work. These "experts" do not have any opinions on how to counter the rapid rise in property values, but they definitely are against anything the Moon administration proposes.
The wealthy have few other places to park their money, so they buy up real estate, using loans and mortgages, if possible. This makes owning an apartment, or house nearly impossible for ordinary people. An average small apartment in Seoul costs about $500,000.
Yonhap News: Seoul unveils tougher measures to cool down property prices
