Seongnam City Designated as Land Transaction Permit Zone for Foreigners... Blocking Real Estate Speculation

Measures to Strengthen Protection for Genuine Homebuyers
Foreigners Now Require Permits to Purchase Residential Properties in Seongnam
Mandatory Residency and Stricter Documentation to Curb Speculation

Seongnam City in Gyeonggi Province (Mayor: Shin Sangjin) announced that the Ministry of Land, Infrastructure and Transport has designated the entire area of Seongnam City (covering 141.63 square kilometers) as a land transaction permit zone for foreigners, effective from August 26.

Seongnam City Hall exterior. Provided by Seongnam City

This designation will be in effect for one year, from this day until August 25 of the following year. The city plans to consider extending the period if necessary, taking into account future market conditions.

The permit requirement applies to residential properties (including single-family homes, multi-family homes, apartments, row houses, and multiplex housing) purchased by foreigners, including corporations. In residential areas, a permit is mandatory if the land area exceeds 6 square meters.

Additionally, foreigners who obtain a housing transaction permit must move into the property within four months from the permit date and are required to reside there for two years after acquisition. Failure to comply will result in repeated imposition of enforcement fines until the obligation is fulfilled, and the permit may be revoked if necessary.

Furthermore, the government plans to expand the obligation to submit funding plans and supporting documents through an amendment to the Enforcement Decree of the Act on Report of Real Estate Transactions, etc.

A Seongnam City official explained, "This measure is intended to block indiscriminate foreign speculation and promote a healthy real estate market by encouraging housing supply focused on genuine demand."

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