If You Bought Land Knowing It Was Illegally Resold... Buyer Also Faces Up to 3 Years Imprisonment

Gyo-san District area, Hanam-si, Gyeonggi-do Photo by Yonhap News

[Asia Economy Reporter Lee Chun-hee] The resale of relocation housing sites, commonly known as 'ttakji,' provided to original residents during public housing projects or land development projects will be prohibited. Both sellers and buyers who knowingly purchase illegally resold properties will face criminal penalties.

On the 9th, according to the Ministry of Land, Infrastructure and Transport and the National Assembly, amendments to the "Special Act on Public Housing" and the "Land Development Promotion Act" containing these provisions passed the plenary session of the National Assembly.

Currently, original residents who lose their homes due to public housing or land development projects are supplied with relocation housing sites as part of relocation measures. However, under current law, it was not clearly stated whether the resale of supply rights at the 'ttakji' stage before the land supply contract is prohibited, nor were there penalty provisions, allowing disruptive activities such as ttakji trading to run rampant in the market.

Accordingly, the amendment includes a complete ban on the resale of rights, qualifications, or status to receive land before the land supply contract. If a violation is detected, the qualification to receive the land will be nullified, and the ownership cannot be restored. Additionally, a basis for criminal penalties such as imprisonment for up to three years or fines up to 100 million won has been established.

If a buyer of the land or supply target status knowingly recognizes the act as illegal resale, they will also be subject to similar criminal penalties.

The newly amended Land Development Promotion Act and others will be enforced immediately upon promulgation to swiftly block disruptive activities in the supply order. After enforcement, the provisions will apply to those newly selected as land supply targets or those who resell land. However, considering the need to partially protect the rights of current landowners who have relied on previous judicial decisions, a special provision has been made to regard ownership as acquired at the time of registration of ownership transfer completed by the project implementer before the amendment's enforcement.

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