South Korea's public rental housing supply falls far short of 2025 target

The South Korean government has pledged to provide 90,000 public rental (purchase‑lease) housing units in the capital region by next year to calm the rental market. However, data from the Ministry of Land, Infrastructure and Transport shows that only 3,200 units were secured through contracts with private developers between January and April, just 10.4% of the annual goal of 31,014 units.

At the current pace, analysts warn the 90,000‑unit target is unlikely to be met, estimating only around 20,000 units could be delivered by the end of next year. Critics point to low purchase prices set by the government and construction cost inflation, which reduce the profitability for developers and slow new agreements. The housing ministry stresses the programme aims to assist vulnerable groups such as low‑income households, young couples and newlyweds, but faces a dilemma between expanding supply quickly and avoiding wasteful public spending.