#Buyer A, who purchased an apartment in Seoul for 1.8 billion KRW, prepared 900 million KRW of personal funds excluding a rental deposit of 900 million KRW. However, it was confirmed that 800 million KRW of this amount, except for 100 million KRW, was composed of borrowed funds. The Seoul Metropolitan Government identified this as an excessive borrowing compared to personal funds and is conducting a detailed investigation.
#Buyer B used a large amount of credit loan funds to cover the purchase price when buying an apartment in Seoul designated as a speculative overheating district. If a credit loan of over 100 million KRW is taken to purchase a house within the speculative overheating district, it becomes subject to recovery. The city suspects misuse beyond the intended purpose of the credit loan and is conducting a detailed investigation.
#In two apartment complexes in Seoul, false information was spread through community applications about transactions that set new record prices to induce price increases. It was confirmed that there were circumstances encouraging price collusion above certain price levels, and investigations are currently underway by investigative agencies.
The city announced on the 3rd that it discovered a total of 32 suspicious transactions after conducting on-site inspections in Gangnam 3 districts and Yongsan-gu, which were re-designated as land transaction permission zones last month, as well as in Mapo-gu and Seongdong-gu, where balloon effects are a concern.
The 32 suspicious transactions were identified as 8 cases of disguised gifting, 10 cases of excessive borrowing, 1 case of false reporting, and 13 other cases. The city plans to investigate whether the reported transaction details match the actual transaction records by collecting statements and financial transaction details from the parties involved and real estate agents.
Through the inspection, the city is focusing on investigating ▲price collusion in transactions ▲false transaction contract reports aimed at inflating prices ▲false listing and advertising. Once facts are confirmed, strong measures will be taken, including immediate notification to related agencies such as the Financial Services Commission, National Tax Service, and National Police Agency.
In addition to Mapo-gu and Seongdong-gu, the city will expand real estate on-site inspections to Gwangjin-gu and Gangdong-gu, where balloon effects are a concern following the re-designation of land transaction permission zones. Since the possibility of speculative demand flowing into nearby areas outside the permission zones has increased, proactive measures will be taken.
For brokerage offices that could not be inspected on-site due to reasons such as closed doors during the inspection, re-visits will be conducted later, and submission of explanatory materials will be requested to conduct a full investigation of suspicious transactions. Continuous monitoring of transaction trends will also be carried out in areas where speculative demand inflow is a concern.
Jo Nam-jun, Director of the Seoul Metropolitan Government’s Urban Space Headquarters, stated, "Concerns about market disruption are growing along with recent signs of overheating in the real estate market. We will do our best to protect genuine buyers as a top priority and establish a transparent market transaction order."
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