The ruling Democratic Party of Korea apologized on the 22nd for the remarks by Deputy Minister of Land, Infrastructure and Transport Lee Sang-kyung that "you can buy a house when it is stable." The intention is to block the misrepresentation of high-ranking government officials involved in the composition of the October 15 real estate measures containing ultra-high-intensity regulations from serving as a trigger for opposition to the government and the ruling party. The Democratic Party said it will focus on preparing supply measures to stabilize housing prices, saying, "All land that can be built is subject to review."
Han Joon-ho, a member of the Democratic Party of Korea's supreme council, said at the Supreme Council held at the National Assembly, "I am truly sorry for causing concern for Vice Minister Lee's inappropriate remarks recently, and as a member of the National Assembly's Land, Infrastructure and Transport Committee, we should not forget that every single word of public officials, especially high-ranking officials such as the Vice Minister of Land, Infrastructure and Transport, is directly related to the trust of the people." Park Soo-hyun, a senior spokesman for the Democratic Party, confirmed that Han's remarks were the official position of the party's leadership.
Vice Minister Lee was previously criticized for his remarks in a video released by YouTube channel "Boo Read TV" on the 19th. "(Housing consumers) are stressed out because they want to buy it at this point," he said. "If housing prices are stabilized through government policies, you can buy it then."
The remarks were pointed out and strongly criticized for stimulating the emotions of consumers who were suddenly blocked from purchasing homes due to the October 15 measures. On top of that, the controversy escalated as Vice Minister Lee's spouse was embroiled in a "gap investment suspicion." In July last year, he purchased 117 square meters of "Pangyo Prugio Grandble" in Baekhyun-dong, Bundang-gu, Seongnam-si, Gyeonggi-do for 3.35 billion won. Three months later, in October, he signed a lease contract for 1.48 billion won. It is a typical gap investment type.
Vice Minister Lee has canceled all disclosure schedules and is minimizing media exposure. He abruptly canceled his visit to the site of the downtown public housing complex in Jangwi 12 district, Seongbuk-gu, Seoul, and the meeting the previous afternoon. The Ministry of Land, Infrastructure and Transport said, "We inevitably adjusted the schedule of related meetings ahead of the National Assembly's Land, Infrastructure and Transport Committee's comprehensive audit of the Ministry of Land, Infrastructure and Transport on the 29th."
"The vice minister in charge of real estate was unable to refrain from saying a word, putting pressure on the implementation and execution of government policies," a supreme council member said on his social network service (SNS), adding, "The vice minister Lee should apologize to the people immediately."
The Democratic Party's apology came three days after Vice Minister Lee's remarks and a week after the announcement of the October 15 real estate measures. Despite criticism that the measure is a "kicking ladder," the Democratic Party said there was no problem, saying, "It is a super-strong move to protect end-users and stabilize housing prices" (Moon Jin-seok, senior vice president of floor management on the 17th).
However, it is interpreted that he bowed his head because he was wary of the controversy over high-ranking government officials' "inner south" spreading to antipathy against the regime as a whole. A Democratic Party official said, "As there is an interpretation that the failure of the Moon Jae In government's real estate policy eventually led to a regime change, we will react sensitively to public opinion."
In fact, the head of the financial authorities, Lee Chan-jin, head of the Financial Supervisory Service, also owned two apartments in Gangnam (two Daelim apartments in Seocho-gu, 47 pyeong), an ultra-high-priced area, and was at the center of the internal controversy. He said he would transfer one house to his child within a month or two, and it is known that the decision will be made in consideration of tax issues and his child's financial situation. If the gift method is chosen, it is not expected to escape criticism. Moreover, when Lee was the executive chairman of the Participatory Solidarity, he insisted on restricting the appointment of high-ranking public officials for multi-homeowners. At the time of the Moon Jae In government, there was also a controversy over "trick donation" as high-ranking government officials gave gifts to their children amid controversy over multi-household ownership.
In addition, Director Lee owns two shopping centers, including an apartment shopping mall and an officetel shopping mall, in Seongdong-gu and Jung-gu, Seoul, respectively. Earlier, in the parliamentary audit, when asked by an opposition lawmaker, "I think it will be 30 billion won to 40 billion won," he said, "Since his inauguration, all stocks have been sold, and only a little overseas stocks remain."
The government and the ruling party are in a position to speed up the preparation of supply measures as a follow-up to the October 15 measures. "I understand that the government is preparing a bill (related to housing supply)," Moon Jin-seok, the deputy floor leader, told reporters at the National Assembly. "We are pushing for legislation because it takes time to do it with government legislation."
In this regard, Moon, the senior presidential secretary for floor operation, proposed a revision to the Special Act on Public Housing, which includes abolishing the sunset system for public housing complex projects in the city, designating special building areas when approving business plans, and easing restrictions on building height. It is a supplementary legislation to support the government's September 7 measures to supply 50,000 public housing units in the city by 2030.
In addition, the government and the ruling party plan to make all-out efforts to secure idle land in the city, such as restricted development zones (green belts) and closed school sites. "All land that can be built is subject to consideration," said Moon, senior presidential secretary for floor management. "The form of providing housing by creating a new city is at some limit. Finding and supplying idle land in the city center is one of the pillars of the Lee Jae-myung government's housing supply. In order to secure the site, the possibility of relocating public institutions in Gangnam, closing schools, and using the site of a driver's license test site was also left open.
The Democratic Party will discuss such supply measures with a focus on the Housing Market Stabilization Task Force led by Policy Committee Chairman Han Jeong-ae. TF is expected to be officially launched soon by recruiting external experts.
Meanwhile, the ruling party once again drew a line on the increase in housing ownership tax from some. Moon, the senior secretary for floor management, said, "The party leadership's position is that the tax issue is not the time to discuss it now."