"Crackdown on Illegal Real Estate Transactions"… Gyeonggi-do Introduces 'Planned Real Estate Warning System'

[Asia Economy (Suwon) = Reporter Lee Young-gyu] Gyeonggi Province is introducing the nation's first-ever 'Planned Real Estate Warning' system. This measure is a proactive response to speculative activities by planned real estate developers, including designating speculative concern areas as land transaction permission zones.

On the 4th, Gyeonggi Province announced that it will establish and implement from this month the 'Strengthened Measures to Eradicate Illegal Real Estate Transactions,' which includes introducing the Planned Real Estate Warning system that gradually notifies areas at risk of speculative damage when suspicious planned real estate transactions are detected by analyzing land transaction trends.

The newly prepared measures mainly consist of three parts: ▲Eradication of planned real estate's illegal subdivision sales ▲Strengthening crackdowns on false listings and price collusion on internet real estate platforms ▲Enhancement of real estate transaction reporting and investigation duties.

First, to eradicate illegal subdivision sales, the province plans to actively identify speculative concern areas and designate them as land transaction permission zones.

Earlier, in March, the province designated the area around Sangjeok-dong, Sujeong-gu, Seongnam City?which is close to Seocho-gu in Seoul and near ongoing development projects such as Pangyo Techno Valley Phase 2 and 3 and Seongnam Godeung District?as a land transaction permission zone.

The province explained that the designation was due to planned real estate developers continuously targeting speculative share transactions in this area.

Once designated as a land transaction permission zone, using land above a certain area without approval or using it for other purposes may result in imprisonment of up to two years or a fine amounting to 30% of the land price based on the individual publicly announced land price at the time of contract.

The 'Planned Real Estate Warning,' operated for the first time nationwide, is a system developed by Gyeonggi Province that detects suspicious land transactions using a planned real estate monitoring system. After verification by the responsible city or county officials, it determines whether speculation is involved.

When planned real estate land purchases are detected, a 'Caution' notice is issued; if illegal subdivision sales are detected, a 'Risk' notice is issued, publicly informing that the area is at risk of damage through platforms such as the province-operated 'Gyeonggi Real Estate Portal (https://gris.gg.go.kr)'.

Areas where suspicious transactions are detected will be investigated by the province's Special Judicial Police in cooperation with the Central Regional National Tax Service.

Additionally, a reporting center will be operated through the Gyeonggi Province Call Center (031-120), and amendments to related laws to block the harms of planned real estate will be pursued.

To strengthen crackdowns on false listings and price collusion on internet real estate platforms, the province will conduct year-round spot checks in cooperation with the Korea Appraisal Board's 'Real Estate Transaction Order Disruption Reporting Center.'

Also, to prevent disputes between sellers/lessors and real estate agents, a 'Brokerage Request Form Campaign' will be launched as early as this month, requiring real estate agents to prepare a request form when entrusted with brokerage, clarifying real estate prices.

The province plans to strengthen real estate transaction reporting investigations by conducting special investigations on suspected false reports in the first and second halves of the year to examine violations.

Kim Jun-tae, Director of the Urban Housing Office of the province, emphasized, "Since the 7th term of the elected government, Gyeonggi Province has regarded illegal real estate transactions as a representative social ill and is responding strictly. We will strive to establish a fair real estate transaction order."

This content was produced with the assistance of AI translation services.