Jeonbuk Province Urges Residents to Report Housing Lease Contracts

Fines to Be Imposed Starting Next Month
False Reports Subject to 1 Million Won Penalty

Jeonbuk Special Self-Governing Province will impose fines starting June 1 for failing to report housing lease contracts that have been signed.

According to the province on May 22, the reporting requirement applies to housing lease contracts signed after June 1, 2021, in the cities of Jeonju, Gunsan, Iksan, Jeongeup, Namwon, and Gimje within Jeonbuk Province, where the deposit exceeds 60 million won or the monthly rent exceeds 300,000 won.

This measure is in accordance with the revised and enforced Ministry of Land, Infrastructure and Transport's "Enforcement Decree of the Act on Report of Real Estate Transactions, etc." as of April 29. The grace period, which has been in place since 2021, will end on May 31.

The "Housing Lease Contract Reporting System" was introduced on June 1, 2021. However, considering the initial burden on the public and administrative circumstances, a grace period was maintained during which reporting was mandatory but fines were not imposed.

Recently, the Ministry of Land, Infrastructure and Transport revised the enforcement decree to begin imposing fines from June 1. At the same time, to reduce the burden, the amount of fines has been significantly lowered from the previous range of 40,000 to 1 million won to a new range of 20,000 to 300,000 won.

For example, if the contract amount is less than 100 million won and the report is delayed by three months or less, a fine of 20,000 won will be imposed. If the contract amount is 500 million won or more and the report is delayed by more than two years, the maximum fine of 300,000 won will be imposed. In the case of false reporting, the fine remains at 1 million won as before.

Reporting can be done by visiting the administrative welfare center in the jurisdiction of the housing location, or via mobile or PC through the "Real Estate Transaction Management System." Joint reporting is the principle, but if a signed contract is submitted, a report by one party is considered a joint report.

To minimize confusion during the initial implementation of the system, the province is strengthening training for licensed real estate agents and is also operating a notification service that automatically informs parties about the reporting requirement when a fixed date is assigned.

Ra Hyungwoon, head of the Land Information Division, stated, "As fines will be fully enforced starting next month, we urge residents to report housing lease contracts within 30 days to avoid any disadvantages. We will continue to make every effort to protect tenants' rights and foster a sound real estate transaction culture."