{"id":13216,"date":"2025-05-20T09:40:35","date_gmt":"2025-05-20T00:40:35","guid":{"rendered":"https:\/\/remaxkorea.co.kr\/?p=13216"},"modified":"2025-05-30T11:40:33","modified_gmt":"2025-05-30T02:40:33","slug":"%eb%b6%80%eb%8f%99%ec%82%b0%ec%83%81%ec%8b%9d1-2506","status":"publish","type":"post","link":"https:\/\/remaxkorea.co.kr\/en\/%eb%b6%80%eb%8f%99%ec%82%b0%ec%83%81%ec%8b%9d1-2506\/","title":{"rendered":"Real Estate Knowledge: Land Transaction Permit System: Effectiveness and Structural Limitations in Numbers"},"content":{"rendered":"<div data-elementor-type=\"wp-post\" data-elementor-id=\"13216\" class=\"elementor elementor-13216\" data-elementor-post-type=\"post\">\n\t\t\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-639ff01 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"639ff01\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-c6002c5\" data-id=\"c6002c5\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-9d9d347 elementor-widget elementor-widget-text-editor\" data-id=\"9d9d347\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<style>\/*! elementor - v3.19.0 - 28-02-2024 *\/\n.elementor-widget-text-editor.elementor-drop-cap-view-stacked .elementor-drop-cap{background-color:#69727d;color:#fff}.elementor-widget-text-editor.elementor-drop-cap-view-framed .elementor-drop-cap{color:#69727d;border:3px solid;background-color:transparent}.elementor-widget-text-editor:not(.elementor-drop-cap-view-default) .elementor-drop-cap{margin-top:8px}.elementor-widget-text-editor:not(.elementor-drop-cap-view-default) .elementor-drop-cap-letter{width:1em;height:1em}.elementor-widget-text-editor .elementor-drop-cap{float:left;text-align:center;line-height:1;font-size:50px}.elementor-widget-text-editor .elementor-drop-cap-letter{display:inline-block}<\/style>\t\t\t\t<p><em>The Land Transaction Permit System was introduced to curb speculative demand in the real estate market and create a market centered on real demand. However, since its implementation, the market has been met with mixed reactions. This article will analyze the Land Transaction Permit System in greater detail, examining its numerical effects, loopholes in the system, structural limitations, and future policy directions.<\/em><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-89c23b8 elementor-widget elementor-widget-text-editor\" data-id=\"89c23b8\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p><strong>The decline in trading volume is clear\u2026 but the &quot;effect&quot; is limited.<\/strong><\/p><p>In March 2025, the land transaction permit system was fully implemented in the three Gangnam districts and Yongsan District. In the preceding month, Gangnam and Songpa Districts each recorded over 800 transactions, while Seocho District recorded over 400. However, in April, when the permit system was implemented, transactions in each district plummeted to below 100. Yongsan District also experienced a pronounced &quot;transaction cliff,&quot; with transactions dropping from 260 to less than 20.<br \/>In the short term, this clearly had the effect of curbing speculative demand. However, its effectiveness in protecting real demand and stabilizing prices was limited. In particular, prices continued to rise in high-priced complexes, while in mid- to low-priced complexes, transactions were blocked without price adjustments, resulting in inefficiencies.<\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-df8f48e elementor-widget elementor-widget-text-editor\" data-id=\"df8f48e\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p><strong>Attempts to circumvent loopholes in the system<\/strong><\/p><p>Since the implementation of the system, there has been a rise in ways to circumvent or evade its provisions. A prime example is false registration. Some people report their move-in to meet the residency requirement but do not actually reside in the property. Others rent out their homes and live in other areas to avoid the two-year residency requirement.<br \/>In fact, in 2022, a case was discovered in Gangnam-gu where a rental property was operated without meeting the residency requirement, resulting in a fine of 30.08 million won. According to the law, violations of the residency requirement can result in an annual fine of 5 to 101,000 tpa (300,000 yen) of the purchase price. However, crackdowns on system evasion remain limited.<\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-6b1a9c6 elementor-widget elementor-widget-image\" data-id=\"6b1a9c6\" data-element_type=\"widget\" data-widget_type=\"image.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<style>\/*! elementor - v3.19.0 - 28-02-2024 *\/\n.elementor-widget-image{text-align:center}.elementor-widget-image a{display:inline-block}.elementor-widget-image a img[src$=\".svg\"]{width:48px}.elementor-widget-image img{vertical-align:middle;display:inline-block}<\/style>\t\t\t\t\t\t\t\t\t\t<img fetchpriority=\"high\" decoding=\"async\" width=\"700\" height=\"185\" src=\"https:\/\/remaxkorea.co.kr\/wp-content\/uploads\/2025\/05\/screencapture-yna-co-kr-view-AKR20250422103300003-2025-05-14-11_39_39.png\" class=\"attachment-large size-large wp-image-13218\" alt=\"\" srcset=\"https:\/\/remaxkorea.co.kr\/wp-content\/uploads\/2025\/05\/screencapture-yna-co-kr-view-AKR20250422103300003-2025-05-14-11_39_39.png 700w, https:\/\/remaxkorea.co.kr\/wp-content\/uploads\/2025\/05\/screencapture-yna-co-kr-view-AKR20250422103300003-2025-05-14-11_39_39-300x79.png 300w, https:\/\/remaxkorea.co.kr\/wp-content\/uploads\/2025\/05\/screencapture-yna-co-kr-view-AKR20250422103300003-2025-05-14-11_39_39-18x5.png 18w\" sizes=\"(max-width: 700px) 100vw, 700px\" \/>\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-245501a elementor-widget elementor-widget-text-editor\" data-id=\"245501a\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p>Source: Yonhap News<\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-09b04ab elementor-widget elementor-widget-text-editor\" data-id=\"09b04ab\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p><strong>Complex licensing procedures and trade restrictions<\/strong><\/p><p>The response on the ground is largely negative. In Seoul, it takes an average of more than 15 days from application to approval for a land transaction permit, and the process is complex. This creates a significant burden for both sellers and buyers. Failure to obtain the permit also renders the contract invalid, increasing transaction risk.<br \/>Especially in urgent cases where a sale is necessary, the licensing system can be a significant obstacle to transactions. For this reason, in areas where the land transaction licensing system is in effect, there&#039;s a growing number of sellers who say they&#039;ll sell after the licensing system is lifted, further limiting the options available to real buyers.<\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-6df9477 elementor-widget elementor-widget-text-editor\" data-id=\"6df9477\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p><strong>Permitted areas are expected to be readjusted rather than expanded.<\/strong><\/p><p>The current government appears to be considering selective rezoning rather than a full expansion of the permit zone. While some areas in Gangdong-gu and Seongdong-gu have been proposed for new designation in 2025, calls for lifting the permit are growing for some complexes in Yongsan-gu and Songpa-gu, where transaction cliffs persist.<br \/>This movement shows that the land transaction permit system may lose its effectiveness if implemented without precise market analysis.<\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-d774484 elementor-widget elementor-widget-text-editor\" data-id=\"d774484\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p><strong>Formalization of structural limitations and residency requirements<\/strong><\/p><p>The land transaction permit system has three structural limitations.<br \/><strong>First, prices may rise sharply when the land permit system is lifted because only demand is suppressed while supply remains the same.<\/strong> In February 2025, when the land permit system was lifted in the Jamsil, Samsung, Daechi, and Cheongdam areas, there was an instance where an apartment in Daechi-dong, which was being traded for around 3 billion won, exceeded 4 billion won in just one month.<br \/><strong>Second, there is a lack of consistency in the system.<\/strong> The fact that designation and deregistration are swayed by political schedules and approval ratings creates significant uncertainty not only for investors but also for actual buyers. One investor, anticipating deregistration, sold his existing home and was considering a new listing when the area was suddenly designated as a new permit zone, leaving him unable to purchase and forced to consider jeonse (a deposit or monthly rent).<br \/><strong>Third, the residency requirement only functions formally.<\/strong> There are ways to circumvent the system, such as through fake registration or formal lease contracts, and honest actual users are relatively disadvantaged.\u00a0<\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-485f0f2 elementor-widget elementor-widget-text-editor\" data-id=\"485f0f2\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p><strong>Policy directions to watch in the future<\/strong><\/p><p>The Ministry of Land, Infrastructure and Transport announced that in 2025, it will conduct a quantitative evaluation based on five indicators, including transaction volume, actual transaction price, and unsold units, when designating permit zones. This signals a shift from indiscriminate designation to a more &quot;precise adjustment&quot; approach.<br \/>Furthermore, it is highly likely that policies to expand supply will be pursued in parallel. Easing redevelopment projects in downtown Seoul, high-density development around subway stations, and discovering new housing sites are key policy directions, and expanding supply is expected to be a key keyword in future presidential election pledges.<\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-6100560 elementor-widget elementor-widget-text-editor\" data-id=\"6100560\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p><em>While the land transaction permit system curbed speculative demand in the short term, it suffers from structural limitations and side effects in the long term. Accurately interpreting market trends requires a comprehensive consideration of supply and demand, policy consistency, and enforcement, beyond simple regulations.<\/em><br \/><em>In times of such uncertainty, it&#039;s crucial to accurately understand and respond to the market. If you&#039;re considering real estate transactions or investments, it&#039;s wise to seek the advice of a professional with the expertise and global network of REMAX.<\/em><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<\/div>","protected":false},"excerpt":{"rendered":"<p>\ud1a0\uc9c0\uac70\ub798\ud5c8\uac00\uc81c\ub294 \ubd80\ub3d9\uc0b0 \uc2dc\uc7a5\uc758 \ud22c\uae30 \uc218\uc694\ub97c \uc5b5\uc81c\ud558\uace0 \uc2e4\uc218\uc694\uc790 \uc911\uc2ec\uc758 \uc2dc\uc7a5\uc744 \ub9cc\ub4e4\uae30 \uc704\ud574 \ub3c4\uc785\ub41c \uc81c\ub3c4\ub2e4. \uadf8\ub7ec\ub098 \uc2dc\ud589 \uc774\ud6c4 \uc2dc\uc7a5\uc5d0\uc11c\ub294 \ub2e4\uc591\ud55c \ubc18\uc751\uc774 \ub098\uc624\uace0 \uc788\ub2e4. \uc22b\uc790\ub85c \ub4dc\ub7ec\ub09c \ud6a8\uacfc, \uc81c\ub3c4\uc758 \ud5c8\uc810, \uad6c\uc870\uc801 \ud55c\uacc4, \uadf8\ub9ac\uace0 \ud5a5\ud6c4 \uc815\ucc45 \ubc29\ud5a5\uae4c\uc9c0, \uc774\ubc88 \uae00\uc5d0\uc11c\ub294 \ubcf4\ub2e4 \uc815\ubc00\ud558\uac8c \ud1a0\uc9c0\uac70\ub798\ud5c8\uac00\uc81c\ub97c \ubd84\uc11d\ud574\ubcf4\uace0\uc790 \ud55c\ub2e4. \uac70\ub798\ub7c9 \uac10\uc18c\ub294 \uba85\ud655\u2026 \uadf8\ub7ec\ub098 \u2018\ud6a8\uacfc\u2019\ub294 \uc81c\ud55c\uc801 2025\ub144 3\uc6d4, \uac15\ub0a8 3\uad6c \ubc0f \uc6a9\uc0b0\uad6c\uc5d0 \ud1a0\uc9c0\uac70\ub798\ud5c8\uac00\uc81c\uac00 \uc804\uba74 \uc2dc\ud589\ub418\uc5c8\ub2e4. \uadf8 [&hellip;]<\/p>","protected":false},"author":3,"featured_media":12594,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_eb_attr":"","ocean_post_layout":"","ocean_both_sidebars_style":"","ocean_both_sidebars_content_width":0,"ocean_both_sidebars_sidebars_width":0,"ocean_sidebar":"","ocean_second_sidebar":"","ocean_disable_margins":"enable","ocean_add_body_class":"","ocean_shortcode_before_top_bar":"","ocean_shortcode_after_top_bar":"","ocean_shortcode_before_header":"","ocean_shortcode_after_header":"","ocean_has_shortcode":"","ocean_shortcode_after_title":"","ocean_shortcode_before_footer_widgets":"","ocean_shortcode_after_footer_widgets":"","ocean_shortcode_before_footer_bottom":"","ocean_shortcode_after_footer_bottom":"","ocean_display_top_bar":"default","ocean_display_header":"default","ocean_header_style":"","ocean_center_header_left_menu":"","ocean_custom_header_template":"","ocean_custom_logo":0,"ocean_custom_retina_logo":0,"ocean_custom_logo_max_width":0,"ocean_custom_logo_tablet_max_width":0,"ocean_custom_logo_mobile_max_width":0,"ocean_custom_logo_max_height":0,"ocean_custom_logo_tablet_max_height":0,"ocean_custom_logo_mobile_max_height":0,"ocean_header_custom_menu":"","ocean_menu_typo_font_family":"","ocean_menu_typo_font_subset":"","ocean_menu_typo_font_size":0,"ocean_menu_typo_font_size_tablet":0,"ocean_menu_typo_font_size_mobile":0,"ocean_menu_typo_font_size_unit":"px","ocean_menu_typo_font_weight":"","ocean_menu_typo_font_weight_tablet":"","ocean_menu_typo_font_weight_mobile":"","ocean_menu_typo_transform":"","ocean_menu_typo_transform_tablet":"","ocean_menu_typo_transform_mobile":"","ocean_menu_typo_line_height":0,"ocean_menu_typo_line_height_tablet":0,"ocean_menu_typo_line_height_mobile":0,"ocean_menu_typo_line_height_unit":"","ocean_menu_typo_spacing":0,"ocean_menu_typo_spacing_tablet":0,"ocean_menu_typo_spacing_mobile":0,"ocean_menu_typo_spacing_unit":"","ocean_menu_link_color":"","ocean_menu_link_color_hover":"","ocean_menu_link_color_active":"","ocean_menu_link_background":"","ocean_menu_link_hover_background":"","ocean_menu_link_active_background":"","ocean_menu_social_links_bg":"","ocean_menu_social_hover_links_bg":"","ocean_menu_social_links_color":"","ocean_menu_social_hover_links_color":"","ocean_disable_title":"default","ocean_disable_heading":"default","ocean_post_title":"","ocean_post_subheading":"","ocean_post_title_style":"","ocean_post_title_background_color":"","ocean_post_title_background":0,"ocean_post_title_bg_image_position":"","ocean_post_title_bg_image_attachment":"","ocean_post_title_bg_image_repeat":"","ocean_post_title_bg_image_size":"","ocean_post_title_height":0,"ocean_post_title_bg_overlay":0.5,"ocean_post_title_bg_overlay_color":"","ocean_disable_breadcrumbs":"default","ocean_breadcrumbs_color":"","ocean_breadcrumbs_separator_color":"","ocean_breadcrumbs_links_color":"","ocean_breadcrumbs_links_hover_color":"","ocean_display_footer_widgets":"default","ocean_display_footer_bottom":"default","ocean_custom_footer_template":"","footnotes":"","ocean_post_oembed":"","ocean_post_self_hosted_media":"","ocean_post_video_embed":"","ocean_link_format":"","ocean_link_format_target":"self","ocean_quote_format":"","ocean_quote_format_link":"post","ocean_gallery_link_images":"on","ocean_gallery_id":[]},"categories":[80,12],"tags":[70],"yoast_head":"<!-- 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