[비즈한국] Although the Lee Jae-myung administration has introduced supply measures following the announcement of its tax reform plan, questions remain as to whether they will significantly help young people achieve homeownership. Barriers to entering the real estate market for the younger generation are rising as government regulations block loans in Seoul and the metropolitan area, while property prices continue to climb. Consequently, there has been a surge in young people turning to stocks, cryptocurrencies, and other virtual assets to save for a home.
However, the possibility of homeownership becoming even more difficult for young people is growing as stock prices plummet following the introduction of single-stock leveraged exchange-traded funds (ETFs) and virtual asset trading volumes plunge due to the stagnation of the Digital Asset Basic Act (the second phase of virtual asset legislation).
Presiding over a cabinet meeting on July 21, President Lee stated, “The real estate market is a major cause of asset inequality, household debt, and the suffering and alienation of our youth,” adding, “We will implement swift supply measures along with comprehensive support measures tailored to the reality of actual homebuyers.”
In response, the government announced the “Comprehensive Financial Measures for Real Estate Market Stabilization” on August 13, launching the “Youth Future Bogeumjari Loan” to help young people purchase non-apartment properties, such as officetels and villas, valued at 400 million won or less. The loan is available to first-time homebuyers aged 39 or younger with an annual income of 70 million won or less. For newlyweds, only one spouse needs to meet the criteria. It is intended to serve as a “stepping stone,” allowing young people to live in their own homes while saving capital to eventually move into an apartment.
This initiative for the younger generation was created because young people are struggling to buy homes due to recent surges in real estate prices and various lending regulations. According to KB Real Estate, the average sale price of an apartment in Seoul reached 1.59489 billion won in July. The average price first exceeded 1.4 billion won in July of last year (1.40572 billion won) and surpassed 1.5 billion won just five months later in December (1.508 billion won). Despite various government regulations, Seoul apartment prices continue to rise, now on the verge of breaking the 1.6 billion won mark.
Prospects that housing prices will climb even higher are also rising. According to the Bank of Korea, the Consumer Sentiment Index (CSI) for housing price forecasts in Seoul for July was 134, up 6 points from the previous month. This is the highest level in 7 years and 10 months since September 2018 (137). Given that the overall nationwide housing price forecast CSI is 127, it indicates that expectations for rising real estate prices in the Seoul area are particularly high. A housing price forecast CSI above the baseline of 100 means that more people expect housing prices to rise in six months than expect them to fall.
Notably, the expectation of rising real estate prices was even stronger among the younger generation. For those under 40—the 20s and 30s demographic—the housing price forecast CSI rose by 6 points from the previous month to 131. This is the highest level since September 2021 (132), when real estate prices skyrocketed. The CSI for those in their 40s was 123, 50s was 121, and 60s was 128. As property prices have soared to a point where it is difficult to buy a home just by saving a salary, the homeownership rate among the younger generation has hit an all-time low. According to the National Data Agency, the residential homeownership rate for those aged 39 and under was 27.7% last year, a 2.4 percentage point drop from the previous year. This is the lowest level since 2017, when current statistical standards were adopted.
With circumstances as they are, there has been a surge in young people turning to the stock and virtual asset markets to secure housing funds. According to the Korea Securities Depository, the number of individual stock owners in their 20s and 30s increased 2.7-fold over six years, from 1.454 million in 2019 to 3.873 million in 2025. The ratio of listed company stock owners relative to the population jumped 4-fold for those in their 20s—from 5.6% in 2019 to 22.3% in 2025—and 2.6-fold for those in their 30s, from 15.2% to 39.0% over the same period.
Young people's holdings of virtual assets have also increased. According to the Financial Services Commission, the number of virtual asset user accounts held by those in their 20s and 30s rose 1.7-fold from 3.08 million in the second half of 2021 to 5.09 million in the first half of 2025. While many young people have flocked to the stock and virtual asset markets, concerns are growing regarding potential losses from debt-financed investments (so-called "bit-tu") following recent sharp declines in stock and coin prices.