First Meeting of Real Estate Brokerage Fee Reform TF... "Careful Review of Anti-Corruption and Civil Rights Commission Recommendations"

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[Asia Economy Reporter Moon Jiwon] The Ministry of Land, Infrastructure and Transport will hold the first meeting of the "Task Force (TF) for Improvement of Brokerage Fees and Brokerage Services," established to discuss the restructuring of the brokerage fee system, on the 25th.

The TF consists of 13 members, including relevant experts, local governments, consumer groups, and industry representatives. At this kickoff meeting, they will build consensus on the necessity of improving brokerage fees and services and discuss the future operation plans and discussion directions of the TF.

Going forward, the TF will focus its discussions on ▲ restructuring the brokerage fee system ▲ improving the quality of brokerage services ▲ strengthening the competitiveness of the brokerage service industry.

Regarding the highly anticipated improvement of the brokerage fee system, the Anti-Corruption and Civil Rights Commission recommended a proposal to the Ministry of Land, Infrastructure and Transport and 17 metropolitan local governments nationwide on the 9th, and the TF plans to carefully review this recommendation and prepare the final improvement plan by reflecting the results of field surveys and brokerage service satisfaction surveys.

Earlier, the Anti-Corruption and Civil Rights Commission presented four proposals related to improving the brokerage fee rate system. Proposal 1 subdivides the current five-tier transaction amount standard into seven tiers and applies a fixed progressive rate by tier. Proposal 2 also applies a fixed progressive rate by tier as in Proposal 1, but in high-priced housing transaction tiers, brokerage fees are determined through negotiation between the broker and the transaction parties.

Proposal 3 suggests applying a single rate or a single fixed amount regardless of the transaction amount, and Proposal 4 proposes that brokers negotiate brokerage fees with clients within a range of 0.3% to 0.9%, regardless of whether it is a sale or lease.

Kim Hyungseok, Director of Land Policy at the Ministry of Land, Infrastructure and Transport, said, "This TF is a discussion body to gather diverse opinions during the institutional improvement process, so we expect active participation and communication," adding, "We will proceed swiftly to narrow differences among industry parties and promptly prepare improvement measures."

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