April 27, 2026
SEOUL – Seoul’s rising apartment prices are making housing supply the defining issue of the June 3 mayoral election, setting up a contest between two candidates who both promise faster development but differ over how much control the city government should exert over the process.
Incumbent Mayor Oh Se-hoon of the main opposition People Power Party is seeking a fifth term on a platform centered on deregulation and private-sector redevelopment.
His main challenger, Chung Won-o of the ruling Democratic Party of Korea, is also calling for more housing supply, but says the city government should take a stronger role in supervising reconstruction and redevelopment projects.
The race comes as apartment prices in Seoul have risen for more than 60 consecutive weeks, keeping real estate at the center of voter concerns in Korea’s most expensive housing market.
Chung, who recently stepped down as head of Seongdong-gu, is leading Oh by a comfortable margin in major polls.
Housing could still become a vulnerability for the Democratic Party, despite the high approval ratings it has enjoyed since President Lee Jae Myung’s election.
A Gallup poll in February showed only 26 percent of respondents approved of the administration’s real estate policy, while 40 percent disapproved. Approval rose to 51 percent in March, crossing the 50 percent mark for the first time, but the issue remains politically sensitive as prices continue to climb.
Oh’s housing plan centers on building 310,000 homes by 2031 and 377,000 by 2035. The plan builds on an initiative launched in 2021, when he began his third term as Seoul mayor, and was expanded in 2025 with a pledge to accelerate large-scale housing complexes through redevelopment and reconstruction.
About 63.8 percent of the planned homes would be built along the Han River, one of the most sought-after residential areas in the country. Oh has also placed particular weight on expanding supply in northern Seoul.
The core of Oh’s approach is easing regulations. His plans include reducing the number of steps in the government approval and review process for redevelopment and reconstruction projects, while offering incentives to developers that provide greater compensation to tenants forced to move out.
Such incentives could include looser floor-area-ratio rules for new apartment complexes.
Oh has repeatedly argued that Seoul’s housing shortage cannot be solved without private-sector development. He says excessive government regulation has suppressed supply and slowed projects that could help stabilize prices.
He has also criticized the Lee administration’s tighter loan restrictions on multiple-home owners, which were introduced to curb real estate speculation. Oh has argued that Seoul’s development projects have been disrupted by what he called “indiscriminate loan regulations,” and urged Chung to ask the president to rescind the policy.
The People Power Party backed Oh’s position on Wednesday, saying it would pursue “innovative housing supply policies with Oh.”
Chung, too, supports faster development and a greater housing supply, including through private-sector participation. But his campaign argues that speed alone is not enough, and that City Hall must closely manage the process.
His proposal, provisionally named the “Chak Chak Plan,” roughly meaning a “step-by-step plan,” would introduce a development manager system. Under the system, professionals would oversee reconstruction and redevelopment projects from the planning stage to groundbreaking.
Chung has presented the idea as a way to strengthen the metropolitan government’s responsibility while reducing delays and confusion in the process.
He also plans to use real estate investment trusts to draw private capital into housing development. He says the model could help supply apartments at 70 to 80 percent of market value.
REITs allow investors to own shares in income-producing real estate that is owned, operated or financed through the trust.
Under Chung’s plan, such lower-priced apartment complexes would have fewer community facilities, while the public sector would share the financial burden for infrastructure.
He has also proposed giving district offices more authority over smaller development projects with fewer than 500 homes. Chung plans to gradually expand the size of projects that can be handled at the district level.
The contrast between the two candidates lies less in whether Seoul needs more homes than in who should steer the process. Oh is placing his bet on deregulation and private-sector momentum. Chung is arguing for faster development under closer public management.
That divide also has a political dimension. Chung is expected to have a smoother working relationship with the Lee administration, as he belongs to the president’s party and was publicly praised by Lee in December.
Oh has sought to frame that same relationship as a constraint, suggesting Chung would struggle to pursue housing policies that conflict with the president’s position.
Both candidates have also proposed housing support for financially vulnerable groups. Oh has promoted an ongoing subsidy program for newlyweds buying their first home, while Chung wants to expand a rent subsidy for students that he introduced while serving as Seongdong-gu chief.
With the race increasingly viewed as a two-way contest between Oh and Chung, the candidates have intensified their attacks over housing policy.
Chung’s camp on Monday accused Oh of misleading voters by suggesting the Lee administration would obstruct Seoul’s development plans.
On the same day, Oh wrote on Facebook asking whether Chung agreed with Lee’s consideration of abolishing the special deduction for long-term homeowners. The deduction refers to a tax benefit on capital gains from the sale of a home when the seller has owned the property for at least three years.
Supporters of the possible change say it could increase housing supply by encouraging multiple-home owners to sell properties they do not live in. Critics argue it could have the opposite effect, prompting homeowners to delay sales in hopes of a policy reversal under a future administration.
Pressed by Oh on the issue, Chung said Tuesday that the rights of people who own and live in a single home must be protected, because they did not buy the property for speculative purposes.
Oh responded by saying Chung had not directly opposed Lee’s position and had waited a full day before stating his view. He argued that the Democratic Party candidate would be unable to advance policies that diverge from the president.
With both candidates saying the city needs more homes, the fight is likely to come down to a practical question for Seoul voters: Is the solution clearing the way for private redevelopment or putting the city government more firmly in charge of how that development unfolds?