System to Be Revised in the First Half of the Year: Only Non-Homeowners Eligible for Subscription
False Residency Registrations to Increase Points Will Be Checked Through Hospital and Pharmacy Records
The government has decided to revise the non-designated subscription system, often called 'Lotto subscription' or 'Jumjum' due to the significant price gains after winning, within the first half of this year.
On the 11th, the Ministry of Land, Infrastructure and Transport announced that it will improve the non-designated subscription system to focus on actual demanders in line with the purpose of the subscription system. The eligibility for subscription applications will be limited to those without home ownership, and local governments will be allowed to flexibly impose residency requirements based on regional conditions and sales situations.
Currently, anyone residing in Korea who is an adult can participate in the non-designated subscription regardless of home ownership or residence. Since the supply is delayed from canceled or terminated contracts, and it is known that the properties can be acquired at prices lower than the surrounding market prices, the system often experiences overheating. For example, a few households are offered, but tens or hundreds of thousands of people apply.
With the system change, mayors or district heads can add metropolitan area residency requirements, such as allowing subscription applications only from residents of the Seoul metropolitan area or the Chungnam region. Depending on the situation, residency requirements may not be imposed, allowing nationwide applications.
To prevent false residency registrations aimed at increasing points for dependent family members, additional documents proving actual residence will be required. Previously, only family relation certificates and resident registration documents were checked.
Going forward, health insurance medical benefit records will also be verified. These can be identified through hospital or pharmacy usage records. The government will check the benefit records of direct ascendants for the past three years and direct descendants aged 30 or older for the past year before the announcement date of the resident recruitment. The government expects this to effectively verify actual residence.
Kim Heon-jeong, Director of Housing Policy at the Ministry of Land, Infrastructure and Transport, said, "Allowing local governments to flexibly impose residency requirements considering regional conditions will prevent frequent changes to the subscription system according to market situations. We plan to implement the system within the first half of this year by requiring the submission of health insurance documents and revising the housing supply regulations."
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