Calls Grow for Deposit and Proof of Bank Balance
Concerns Rise Over Increased Burden on Genuine Buyers and Potential Trade Restrictions
The "Imjang Crew" activity, where groups of people, mainly in their 20s and 30s, go out in person to check real estate properties and surrounding information, is gaining popularity. This trend is driven by two factors: rental fraud targeting young professionals and newlyweds is rampant, increasing anxiety about real estate, and at the same time, expectations for rising housing prices are also mixed. However, some Imjang Crews enter actual properties simply to look around or study, without any intention to purchase, which is causing growing dissatisfaction among real estate agents. In addition, some homeowners, landlords, and tenants are also experiencing unexpected inconveniences due to the activities of these Imjang Crews.
The "Imjang Crew" activity, where groups of people, mainly in their 20s and 30s, go out in person to check real estate properties and surrounding information, is gaining popularity. This trend comes as rental fraud targeting young professionals and newlyweds is rampant, increasing anxiety about real estate, while expectations for rising housing prices are also mixed. Asia Economy
In response, on April 23, the Korea Association of Certified Realtors announced at a press briefing that introducing a "Basic Imjang Fee System" would be a key initiative for this year. The association intends to implement a system where consumers pay a fee even for "Imjang" (site visits) when viewing properties with a certified realtor. The association is considering a method where, if a consumer views a property through a real estate office, they pay a certain amount as an Imjang fee in advance, and if an actual contract is later signed, this fee is deducted from the brokerage commission. On this day, Jongho Kim, president of the Korea Association of Certified Realtors, emphasized, "Certified realtors are not mere guides but professionals handling the nation's assets," adding, "A system is needed that provides fair compensation for the efforts and services during the site visit process."
Furthermore, the association stated, "Since actual labor such as consulting and guidance is involved, at least minimal and fair compensation is necessary." The association also mentioned the U.S. system, where a letter of intent to purchase must be submitted in advance before a site visit is allowed, to highlight the justification for institutionalization. To this end, the association plans to pursue amendments to the Certified Realtors Act in parallel.
However, concerns are also being raised about the increased burden on consumers. In particular, this system could become a new financial burden for consumers, which is a point of significant controversy. Currently, if a contract is not concluded, no brokerage fee is charged, but in the future, consumers may have to pay just to view a property. There are worries that, if house hunters need to view properties in multiple areas during their search, the cumulative Imjang fees could become a substantial burden.
Jongho Kim, president of the Korea Association of Certified Realtors, emphasized, "Certified realtors are not mere guides but professionals handling the nation's assets," adding, "A system is needed that provides fair compensation for the efforts and services during the site visit process." Korea Association of Certified Realtors
In fact, on real estate community forums, some have commented, "If I have to pay every time without even signing a contract, finding a house will become even harder," and "Agents could use the Imjang fee as an excuse to shift the burden onto consumers." Additionally, one user predicted that if the basic Imjang fee system is implemented, direct real estate transactions between individuals will become more common. On the other hand, some users said, "When someone comes to see the house, I have to clean and prepare for visitors, but it was annoying when people who clearly weren't going to buy came by," adding, "If there is an Imjang fee, only serious buyers will come, so it will definitely reduce inconvenience."
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