Mandatory Submission of 'Funding Plan' for Housing Transactions Throughout Daejeon

[Asia Economy (Daejeon) Reporter Jeong Il-woong] It will be mandatory to submit a ‘funding plan’ when trading houses throughout Daejeon.

Daejeon City announced on the 22nd that, following the enforcement of the partial amendment to the ‘Act on Reporting Real Estate Transactions, etc.’ (effective October 27), submission of a funding plan must be mandatory when reporting house transactions in all areas within the city.

The partial amendment was made as a follow-up measure to the ‘Management Plan for Stabilizing the Housing Market’ jointly announced by related ministries on June 17.

The core points of the amendment include expanding the scope of submission for funding plans, expanding the scope of submission for supporting documents, expanding reporting items such as whether there is a special relationship in corporate housing transactions, and mandating the submission of funding plans when corporations purchase houses.

Accordingly, from transactions contracted on or after the 27th of this month, when trading (contracting) houses throughout Daejeon, a funding plan and supporting documents (in speculative overheated districts such as Seo-gu, Yuseong-gu, Daedeok-gu, Dong-gu) must be submitted to the relevant district office when reporting actual transactions.

Also, when corporations trade houses and report, in addition to existing reporting items, they must additionally report corporate registration status, whether there is a special relationship between transaction parties, and the purpose of acquiring the house.

In particular, the city plans to identify whether there is a special relationship (such as kinship) between parties in corporate housing transactions to eradicate speculation through illegal or illicit acts.

Kim Jun-yeol, head of the Urban Regeneration Housing Headquarters of the city, said, “We will strictly respond to various illegal activities occurring during local housing transactions to establish a transparent real estate transaction order.”