The Seoul Housing and Urban Innovation Corporation (SH Corporation) announced on March 4, 2025, its intention to purchase 2,917 new rental houses this year. This initiative is part of the city’s strategy to bolster public housing and combat declining birth rates.
The planned housing purchase will include five distinct categories: Newlywed I, Newlywed II (which are connected to houses in advance), General, Youth, and Rental categories. Among these, the Newlywed Type II category stands out, accounting for 1,707 households, or approximately 60% of the total target volume.
While the overall purchase target for 2025 aims for 5,350 households, the current project excludes 1,206 households from 2024 and another 1,000 households pre-announced for previous purchase plans. The Newlywed Type II units will be provided to eligible newlywed couples as “pre-home” options, which is part of Seoul's housing policy to expand public housing aimed at newlyweds and address the urgent issues posed by low birth rates.
To encourage participation and ease the process for sellers, SH Corporation is introducing several incentives with this year’s purchase initiative. Notably, the time frame from the announcement of the purchase to the conclusion of the agreement will be significantly shortened from eight months to just five. This expedited process is expected to facilitate quicker housing availability and improve the project’s operational efficiency.
Financial support will also be enhanced, allowing up to 90% of the total project cost to be financed at low interest rates from the primary financial sector. This support will leverage the Housing and Urban Guarantee Corporation’s (HUG) “City Housing Special Agreement Guarantee” product, which aims to relieve fiscal strain on operators involved.
For those involved with the Newlywed II category—a newly introduced purchase type—SH Corporation plans to advance the project by promoting pre-consultations for business operators (sellers). This initiative is aimed at providing guidance and ensuring smoother transactions both for sellers and prospective buyers.
Interested parties can apply to sell homes as of February 28, 2025. Detailed criteria and procedures are available through the purchase announcement posted on SH Corporation’s official website. To clarify the purchase process and expectations, SH Corporation is also scheduling a “Purchase Housing Business Briefing” for March 11, 2025, which will be open to those seeking more information.
This proactive approach by SH Corporation reflects the broader efforts by the city government to create sustainable housing solutions for its residents, particularly targeting newlyweds and young families, to promote both stability and demographic growth.
Overall, the move by SH Corporation, highlighted by the large number of planned purchases, is seen as pivotal to increasing accessible housing options and encouraging residential growth among younger populations, as well as addressing the pressing issue of low birth rates within the capital.