Chip Boom Drives Up Property Prices, South Korea Tightens Real Estate Regulations Around Semiconductor Hub

BlockBeats News, June 30th. According to Bloomberg, the South Korean government has implemented stricter real estate restrictions in areas outside Seoul near the semiconductor hub. Previously, the booming semiconductor industry had significantly driven up local housing prices, raising concerns about speculative home purchases. The South Korean Ministry of Land, Infrastructure and Transport stated that the government has designated the Hwaseong City Dongtan District, the Yongin City Giheung District, and the Guri City as speculation zones, and will enforce tighter loan restrictions starting from July 1st. These three areas will also require land transaction permits starting from July 5th.

The South Korean Ministry of Land, Infrastructure and Transport mentioned that the measures are aimed at curbing speculative buying, protecting actual housing demand, enhancing housing market monitoring, and expediting housing supply plans. At the time of the latest measures, Seoul apartment prices have risen for 73 consecutive weeks, indicating limited impact from previous government cooling measures in the property market. After the new regulations take effect, 25 districts in Seoul and 15 regions in Gyeonggi Province will be designated as restricted areas.