The finance ministry vowed to "rationalize" South Korea's real estate tax system to direct funds toward more productive sectors, saying it would take into account taxpayers' ability to pay and public sentiment.

Finance Minister Koo Yun-cheol made the statement during a news briefing on Wednesday at the government complex in Seoul.

Koo said the government will consider reforms, such as adjustments to property and transaction taxes, through research studies and discussions with related ministries, to stabilize the housing market and strike a balance between supply and demand.

The minister said his department plans to comprehensively review the direction and timing of such revisions, taking into account fairness and potential impacts on the real estate market.

He also vowed to accelerate the implementation of housing supply measures announced on September 7.