SEOUL, May 4 (Yonhap) — The local housing market may see slower price growth starting in May, when the government is set to end tax benefits to owners of multiple homes, the presidential chief of staff for policy forecast Monday.
Kim Yong-beom made the forecast at a press conference ahead of the government’s withdrawal of exemptions from aggravated real estate transfer taxes for owners of multiple homes, set to take effect Saturday.
The measure has led owners of multiple homes to sell their properties, partially curbing runaway price hikes, but fears have also grown that the housing market may revert to sharp price increases.
“I expect (price increases) may be slower,” Kim said, adding that the market is registering the government’s policy stance on real estate-related taxes.
Following the announcement of the tax benefit withdrawal, the most affluent districts in Seoul, including Gangnam and neighboring areas, have seen a sharp increase in homes listed for sale, while prices have trended downward there, Kim noted.
Over the past several months, home sales in Seoul have more than doubled compared with the average over the past five years, he said, forecasting that Gangnam and neighboring areas, as well as Yongsan district, may see slower price growth.
“President Lee (Jae Myung) is committed to not tolerating (those) expecting speculative gains,” the presidential official said, adding that housing is on a path to normalization.
He also highlighted the government’s large-scale housing supply plan, saying that it will be carried out on schedule to prevent panic buying in the housing market.
Kim Yong-beom, presidential chief of staff for policy, speaks at a press briefing at Cheong Wa Dae in Seoul on April 27, 2026. (Yonhap)
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