'Jeonwolse 신고법' Passes National Assembly Judiciary Committee... Likely to Pass Plenary Session Tomorrow

[Asia Economy Reporter Choi Saeng-hye] The amendment to the "Real Estate Transaction Reporting Act," which includes the introduction of the Jeonwolse 신고제 (Jeonwolse Reporting System), one of the three key rental laws, passed the National Assembly's Legislation and Judiciary Committee on the 3rd.

If this bill passes the plenary session of the National Assembly on the 4th, it is scheduled to be implemented on June 1st next year after a preparation period.

From June next year, when a Jeonwolse transaction occurs, the parties to the lease contract, along with details such as the deposit, rent, and lease period, must report the contract to the relevant local government within 30 days.

When submitting the Jeonwolse report along with the lease contract, a confirmed date will be automatically assigned, and if the tenant files a move-in report, it will be automatically processed as a Jeonwolse report.

The Ministry of the Interior and Safety and local governments such as Seoul City plan to revise the move-in report form to include specific details of the Jeonwolse contract.

Some parts of the bill were slightly modified. Regarding the provision that a confirmed date is automatically assigned when the lease contract is reported to the Court Administration Office, the original amendment stated "when the reporting procedure is completed," which raised concerns about the accuracy of rights relations. Accordingly, the Legislation and Judiciary Committee decided to clarify the timing by changing "when the reporting procedure is completed" to "when the report reception is completed." The Ministry of Land, Infrastructure and Transport is building a system for managing lease reports and verifying the database.

If this bill passes the plenary session of the National Assembly on the 4th, all three rental laws will have passed the National Assembly. The other laws, including the right to request contract renewal and the Jeonwolse rent ceiling system, were already implemented on the 31st of last month.