Over half of local governors still own Seoul homes

More than half of South Korea’s top local officials, including governors and deputy mayors from 17 provinces and major cities, own homes in the greater Seoul area. While they rent or reside in government-provided housing in their official regions, they still benefit from rising property values in the capital region.

Of 48 senior officials in metropolitan governments, 27 own apartments or studio units in Seoul, Gyeonggi or Incheon, despite working elsewhere. Nineteen hold properties in areas designated as regulated zones under the government’s Oct. 15 real estate measures aimed at curbing rising home prices. The regulated zones cover all 25 districts of Seoul and 12 adjacent areas in Gyeonggi Province. Only a few officials, including Daejeon Mayor Lee Jang-woo and North Chungcheong Governor Kim Young-hwan, have sold their capital-area homes and moved to their jurisdictions.

Most other officials have kept their Seoul-area homes and rent them out. Gyeonggi Governor Kim Dong-yeon, for example, leases a 59.98-square-meter apartment in Gangnam under his wife’s name while renting another in Yeongtong, Suwon, near the provincial government office. Sejong Mayor Choi Min-ho rents a 57.38-square-meter apartment he co-owns with his wife in Mapo District while living in a detached house in Sejong. North Jeolla Governor Kim Kwan-young owns a 117.52-square-meter apartment in Bundang, Seongnam, while renting another in Wansan, Jeonju.

Despite a three-year-old recommendation from the Ministry of the Interior and Safety to abolish official residences, many local government heads still live in government-funded housing. Gangwon Province Governor Kim Jin-tae lives in an official residence while owning a 128.32-square-meter apartment in Gangnam District. South Jeolla Province Governor Kim Yung-rok also resides in government housing despite owning a 100.29-square-meter apartment in Yongsan District. Seoul Mayor Oh Se-hoon rents a 194.24-square-meter multiplex in Gangnam and commutes from the official residence in Hannam-dong, Yongsan.

Many senior officials keep their Seoul-area homes, despite public criticism, expecting further price gains or a return to the capital after their terms. If local leaders tasked with regional development are betting on rising Seoul property values, how can South Korea narrow the growing housing gap between the capital and the provinces?