Yoon: "Strict Punishment for Jeonse Fraud Hurting Common People... Need to Discuss Revision of Lease Protection Act"

Presiding over the 3rd Emergency Economic and Livelihood Meeting at Bundang Rental Housing Complex

[Image source=Yonhap News]

[Asia Economy Reporter Ki-min Lee] President Yoon Suk-yeol announced on the 20th that he will proactively manage areas where "empty-can jeonse" is a concern and will take strict action against jeonse fraud through strong investigations to set an example.

At the 3rd Emergency Economic and Livelihood Meeting held on the afternoon of the 20th at a permanent rental housing complex in Bundang, Seongnam, Gyeonggi Province, President Yoon said, "Recently, jeonse fraud targeting the precious deposits of ordinary people has been rampant, making life even harder for those struggling."

Following proactive management of empty-can jeonse areas and strict punishment for jeonse fraud, President Yoon emphasized, "We will further activate the jeonse deposit return guarantee and establish emergency loan programs to help victims secure funds for relocation to support housing stability."

He added, "Housing stability and welfare are the core of livelihood stability. The government will restore the broken housing opportunity ladder and build a dense and reliable housing safety net," and urged, "Relevant agencies should make their best efforts to ensure that livelihood stabilization measures in the housing sector are implemented smoothly on the ground."

President Yoon also stated, "It is time for social discussion on revising the Lease Protection Act to normalize the jeonse and monthly rent market," and emphasized, "I hope this will be publicized mainly through the National Assembly, and the government will actively participate in this discussion."

This comes amid concerns that despite the government's announcement of measures to stabilize the lease market in June, rising interest rates have increased the burden of repaying jeonse loans, leading to a rise in monthly rent conversions and increasing housing cost burdens for non-homeowning low-income citizens.

As countermeasures, President Yoon explained that the interest rates on the Buttress Jeonse Loan will be frozen until the end of the year, the loan limits for young newlyweds will be expanded, and the supply of public housing such as youth cost-price housing and first homes near subway stations will be increased. Regulations will also be eased to activate private rental housing supply.

Regarding aging permanent rental housing, he promised to improve the residential environment through prompt maintenance and to strengthen the identification of eligible tenants and relocation support.

He also emphasized freezing public rental housing rents for one year, expanding the housing benefit eligibility to 50% of median income, and reducing housing costs for vulnerable groups.

The meeting was attended by Deputy Prime Minister and Minister of Economy and Finance Choo Kyung-ho, Minister of Land, Infrastructure and Transport Won Hee-ryong, People Power Party Policy Committee Chairperson Sung Il-jong, Chief Secretary for Economic Affairs to the President Choi Sang-mok, officials from the Korea Research Institute for Human Settlements, Seoul City, Housing and Urban Guarantee Corporation (HUG), and residents of public rental housing.

President Yoon visited households of national merit recipients to listen to their difficulties and also visited a remodeling site of aging permanent rental housing to check the progress of the project.

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