South Korea slaps tougher taxes on properties to curb price surge

The proposed 0.5 percent to 2 percent ownership tax that would kick in on properties valued over 600 million won ($534,506.87) will be raised to 0.5 percent to 3.2 percent, a government statement showed.

SEOUL, Sept 13 (Reuters) - South Korea on Thursday laid out plans to slap tougher taxes on property ownership to rein in owners of expensive homes blamed for stoking a speculative housing bubble in the main regions across the nation.

The proposed 0.5 percent to 2 percent ownership tax that would kick in on properties valued over 600 million won ($534,506.87) will be raised to 0.5 percent to 3.2 percent, a government statement showed.

Those renting out properties will face fresh mortgage restrictions, and the government will build 300,000 new homes in the metropolitan Seoul area to boost housing supplies.