[2020 National Audit] Hong Nam-gi: "Finding Jeonse Houses Is Being Successfully Completed"

Comprehensive National Audit by the National Assembly's Planning and Finance Committee on the 22nd

[Image source=Yonhap News]

[Asia Economy Reporter Jang Sehee] Hong Nam-ki, Deputy Prime Minister and Minister of Economy and Finance, stated on the 22nd that "(the jeonse house issue) is being resolved well."

On the same day, during the comprehensive audit of the National Assembly's Planning and Finance Committee, Hong responded to the question from Kim Tae-heum, a member of the People Power Party, asking, "Has there been any progress in selling the jeonse house in Mapo and the house in Uiwang?"

To resolve the controversy surrounding multi-homeowners, the apartment located in Uiwang, Gyeonggi Province, which was put up for sale, faced a crisis of failed transaction due to the existing tenant exercising the right to renew the lease. Additionally, the apartment in Mapo-gu, Seoul, where he currently lives on a jeonse lease, must be vacated as the landlord has expressed an intention to move in upon the lease expiration.

When Rep. Kim said, "The world is abuzz saying that Deputy Prime Minister Hong is a victim model that blatantly exposed the blind spots of the Moon Jae-in administration's real estate policy," Hong replied, "Since this concerns my personal life, I will not answer further."

Regarding the three lease laws, Hong said, "I believe the majority of those living under jeonse benefited from the right to renew the lease." He added, "I understand that those newly searching for jeonse are facing difficulties due to disputes in certain areas."

Addressing criticism that the government's evaluation of the jeonse market is detached from reality, he explained, "Jeonse listings have decreased partly due to the impact of the three lease laws," and added, "According to the Ministry of Land, Infrastructure and Transport's jeonse actual transaction volume statistics, it shows an increase compared to the same period last year, so we reported that we are analyzing the factors behind this increase."

Hong further stated, "The government simply reported the statistics as they are," and added, "I spoke exactly as it is."