Seoul Mayoral Candidates Clash Over Property Policy Ahead of Election

Rival candidates for Seoul mayor in the June 3 local elections traded barbs over real estate policy. Jung Won-oh, the Democratic Party candidate, accused Seoul Mayor Oh Se-hoon of engaging in "reconstruction fear marketing," while Oh pressed Jung to clarify his stance on the long-term holding special deduction for capital gains tax on property.

On Tuesday, Rep. Lee Hae-sik of the Democratic Party, who heads Jung's campaign headquarters, referenced Oh's media interview on Facebook and said, "Mayor Oh is lying as if the Lee Jae-myung administration will obstruct reconstruction," calling it "groundless fear marketing."

Earlier, in an interview with a media outlet, Oh was asked about Jung's pledge to push redevelopment and reconstruction faster than the mayor. Oh responded, "That's a lie. The Lee Jae-myung administration helping with Gangnam reconstruction? We'd be lucky if they just don't interfere."

Rep. Lee pointed out that the "cover park project," a reconstruction-linked issue along the Han River in areas such as Apgujeong, Banpo, and Seongsu, has entered a resolution phase since the launch of the Lee Jae-myung administration. "How can he say such things when Jung Won-oh, then the Seongdong district chief, opened the way on an issue that even the combination of the Yoon Suk-yeol government and Mayor Oh Se-hoon couldn't resolve, and the Lee Jae-myung administration is actually resolving it?" he said. He further criticized, "A mayor who couldn't even resolve reconstruction-linked issues is now obstructing the government and only stirring public anxiety — a repetition of incompetent administration that consistently blames others and the past."

In contrast, Oh wrote on Facebook the same day, "President Lee Jae-myung has expressed his will to abolish the long-term holding special deduction. Abolishing this deduction is a clear infringement on citizens' property rights." He asked Jung, "Do you support abolishing the long-term holding special deduction?" Oh said, "They have rolled out indiscriminate regulations and illusory supply measures, including last year's Oct. 15 measures and this year's Jan. 29 measures, yet far from curbing housing prices, the metropolitan housing market is becoming even more dire." He added, "They no longer have confidence in containing housing prices, so now they are threatening with taxes to force sellers to release properties."

He continued, "The biggest victims of abolishing the long-term holding special deduction are Seoul citizens. At this point, when the average apartment price in Seoul exceeds 1.5 billion won, those who bought their homes long ago would have to bear enormous taxes to sell them." He pressed Jung, "As a Seoul mayoral candidate, will you turn a blind eye to the tremendous damage to citizens and stay silent on this oppressive regime?"

When asked by reporters for his position on the long-term holding special deduction, Jung avoided a direct answer, saying, "I'll speak about it next time."