the Korean Government Has Fallen Into Policy Lethargy
Why do I rely on apartments so much? Houses in Japan and apartments in Korea, of course, have different structures. It is called a floor plan in Japanese and a floor plan in Korean. Another difference is that apartments in Korea are built as complexes. Houses in Japan are not usually built as a complex, but consists of a single building. The reason why apartment complexes in Korea are a problem is that the city’s land is segmented by apartment complexes. The apartment complex is not connected to the city and forms an island universe. It is often said that the reason why there are many apartments in Korea is that the land is narrow. It makes sense to a certain degree, but that alone does not justify the means.
Since the reason for purchasing an apartment is small, it becomes a strange logic that others are considerate of purchasing detached houses. The reason for purchasing an apartment is because it is convenient. Then why is it an apartment, not a detached house? After all, the problem of apartments is also the problem of detached houses. This is because there are no detached houses like houses in Korea. (or it’s because it’s a very small number.) From that point of view, Korea is a country without homes. Detached houses are also a problem for detached houses. The problem with single-family housing in Korea is that automobiles occupy alleys. The alleyway, called the back road, is occupied by cars without distinction between sidewalks and roads, obstructing pedestrian traffic and threatening safety. Even on a narrow road in Europe, sidewalks and roads are separated.
In Japan, there are no cars in alleys, but they are distinguished by drawing lines at the edges of alleys. Another problem with Korean detached houses is garbage. In Europe, there is a trash can. Japan has separate places to put garbage. But in Korea, garbage bags are placed randomly. Problematic residential areas and shops in Korean detached houses are lined up together. The signs are dizzy. There is a shaman house (jeomjip) in each alley. Miscellaneous merchants drag trucks make noise with loud speakers. There are no houses like houses in Korea, so only apartments are built. Can’t Koreans build a house? If so, let’s ask Japan to build a house. Companies that build houses in Japan include Misawa Home, Daiwa House, and Sekishaus. In Japan, detached houses are called Kodate or Itkenya by shortening itkodate. It is a chart that is too different from what we feel and encounter in the media. I thought Korea would naturally be at the top of the surge in housing prices in the world and its prices would be high, but I wondered, “Why is it such a low indicator?” Is the standard different?” is enough to raise the question. Is it the result of a special Jeonse system (official land price) that only Korea has? Or does OECD data reflect reality well?
Only Korea would have applied different standards. In Korea, there is a special lease system, and there is a system that does not reflect the actual price of the official land price, right? And there is also a ceiling on the sales price. It will be only Korea that has a different specificity from other standards, and 48 countries around the world will have consistent statistical data that are perfect for fully generalized price policy and indicator calculation. Perhaps the person who thinks this way will act according to the idea and may pass by the opportunity to form assets. Koreans have one house per 2.86 people. Avoid the magic of complex statistics and simply calculate, you should have one house per 2.39 households on average, but in reality, you have one house per 2,86 people. Only when the housing population index falls below 2.5 will the rise in housing prices decrease, and if it falls below 2.3, housing prices will stabilize for a long time. The ratio of the total number of houses to the total number of people is appropriate at 2.5, but in Korea, it is high at 2,86. There is still a large population and housing shortage.
The meaning of the housing population index below 2.5 means if stability in terms of supply is secured, and it cannot be said that it is an absolute aspect because housing prices are affected by various factors. This is because the U.S. and Japan are still on a steady rise even though the housing population index is below 2.5. This is the result of factors such as the continuous supply of the U.S. dollar and the recovery of the Japanese economy. By interpreting the above basic figures in various ways – calculating the denominator value for households based on ordinary households (blood-related households) – Korea’s housing supply rate exceeded 100% for the first time with 105.9% in 2005. The current housing supply rate is 104.8%. Since it is over 100%, have enough houses been supplied to the people? Korea has exceeded 100% of the housing supply rate since 2005. Has enough housing been supplied?
There are two different aspects here. First of all, housing in areas with a large population will always be insufficient because the regional gap is wide due to the centralization of the metropolitan area and the population cliff of local cities. Next, it is necessary to take into account the aging of houses and friction vacancies. The proper housing supply rate is not 100%, but 110%. At this level, it is difficult to expect a sharp rise in housing prices. Didn’t the difficulty of housing policy start with setting the target price of housing too low? As the world’s housing prices are rising, can only Korea stabilize? Perhaps the difficulty in Korea’s housing policy is not because it failed to “stabilize housing prices,” but because it has set an excessively low goal for “rise in housing prices.” The goal of stabilizing the lives of homeless ordinary people by stabilizing housing prices is also important, but isn’t it necessary to suppress housing prices? This is because housing policies can be approached in various ways, and the government has the means and power. Housing prices in major countries around the world have continued to rise since history, and housing prices in Korea alone will not be able to stabilize at the desired level.
Sam Kim
Asia Journal
