From today (5th), 21 districts in Seoul, excluding the three districts of Gangnam and Yongsan-gu, including Seocho, Gangnam, and Songpa, are released from regulated areas, such as areas subject to adjustment, and attention is focused on whether the last remaining land transaction permission zone will be lifted.
Land transaction permission zones are designated by the government or local governments in public project promotion areas such as new towns and housing districts, planned development areas, and speculation-concerned areas.
The areas where attention is focused on whether or not to lift the ban are the Gangnam area designated by the Seoul Metropolitan Government, Yeouido and Mok-dong, and other areas that are favorable for reconstruction and redevelopment maintenance projects.
Apgujeong, Gangnam-gu, Seoul, Yeouido apartment district, Yeongdeungpo-gu, Mok-dong housing site development district, Yangcheon-gu, and Seongsu strategic maintenance district, where large-scale maintenance projects are being promoted, were designated on an annual basis from April 27, 2021, and on April 26 this year, 2 The deadline for designating sessions has expired.
In addition, Cheongdam, Samsung, Daechi-dong, Gangnam-gu, and Jamsil-dong, Songpa-gu, which became permitted areas due to development projects, have been extended for one year each since the first designation on June 23, 2020, and the third designation period ends on June 22 this year.
In the land transaction permission zone, when trading houses, commercial buildings, and land of a certain size or larger, you must obtain permission from the head of the competent district office and cannot purchase them unless for direct residence or operation.
It is impossible to make a so-called 'gap investment', which involves letting go of a lease or buying a house with a jeonse.
In the real estate market, there are observations that the city of Seoul will also lift the land transaction permit zone, given the recent decline in house prices and the government's deregulation stance.
However, there is a strong atmosphere within the Ministry of Land, Infrastructure and Transport and the Seoul Metropolitan Government that it will not be easy to lift it.
The city of Seoul is in the position that "there is no fact that we have not reviewed whether to cancel the permit right away, and we will carefully consider whether to extend it by comprehensively judging the real estate market situation at the time of expiration of the designation of the permit zone."
The Seoul Metropolitan Government will hold an Urban Planning Committee meeting around the middle or end of the month in which the deadline expires to decide whether or not to cancel it.
The Ministry of Land, Infrastructure and Transport also has clear opposition, saying that while most regulations such as taxation, loans, and subscriptions have been lifted, there must be a land transaction permit zone to serve as a minimum 'safety valve'.
Experts predict that the trend of housing prices in Seoul over the next three months will be a variable in whether or not the permit zone is lifted.