Tax Policy Shift Targets Multiple‑Home Owners President Lee Jae Myung announced the end of the exemption from heavy capital‑gains tax for owners of more than one residence, aiming to curb speculation and stabilize home prices, a move he framed as essential to prevent capital from being locked in unproductive assets [1]. He argued that soaring housing costs harm non‑owners and distort economic fairness, contrasting this with rising stock prices that benefit corporations without public harm [1]. The policy reversal follows criticism that the government is simultaneously boosting the stock market while tightening housing controls [1].

Housing Supply Expansion Aims at Young Families Lee unveiled a plan to add 60,000 new housing units in the Seoul metropolitan area, specifically targeting young people and newly married couples to ease affordability pressures [1]. The expansion is intended to broaden regional support for his administration and address the overheating housing market [2]. By increasing supply, the government hopes to reduce speculative demand and lower price growth [1].

Approval Rating Surges Following Housing Measures Realmeter poll of 2,516 adults showed Lee’s approval rise to 54.5%, up 1.4 points, while his negative rating fell to 40.7% [2]. Support grew sharply among self‑employed workers and homemakers, a trend linked to record highs in the Korea Composite Stock Price Index and the secondary KOSDAQ index [2]. The capital‑gains tax hike for multiple‑home owners was identified as a key factor boosting his popularity [2].

Stock Market Reacts to Policy Debate The Korea Composite Stock Index dropped more than 5 % to 4,949.67 on Monday, then rebounded over 5 % on Tuesday, crossing the 5,000‑point threshold amid the housing policy discussion [1]. Lee emphasized that stock‑price gains aid corporations without harming the public, distinguishing them from the adverse effects of rising home prices [1]. Market volatility highlighted the divergent impacts of fiscal and regulatory measures on different sectors [1].

Government Promotes AI‑Driven Entrepreneurship Lee pledged to ease regulations and increase financial aid for AI‑focused startups, arguing that societies embracing challenge and failure can thrive in the AI era [1]. The initiative seeks to diversify economic growth beyond real estate and traditional industries [1]. Expanded support for AI entrepreneurship is presented as part of a broader strategy to modernize the economy [1].