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The new tenancy law increased by 42% in litigation advice over three months
798 filing cases increased fivefold over the previous year
The 71st week of the total price in Seoul ↑ … The jeonse crisis has spread across the country
Supply of charters after purchase and lease of multi-family and multi-family houses
The target quantity is small and it takes two to three months to resolve
The housing market is still in turmoil after 100 days (7 days) of the new Housing Lease Protection Act. The government plans to announce measures soon to stabilize the jeonse market to avoid a rise in jeonse prices, but conflict between landlords and tenants it is on the verge of exploding and the prices of jeonse are still rising. Government measures based on providing rental housing are being discussed by the “loophole” even before the announcement.
According to the “ Housing Lease Dispute Consultation ” received by the Seoul Newspaper on the 8th from Korea Legal Aid Corporation, the total number of consultations on lease-related disputes such as contract terms, repairs, deposits, etc. From July 31 to October 31 after the application of the new leasing law it was 2 Era 5251, an increase of 42.2% compared to the same period last year (17,752). In particular, the “deposit dispute advice” is fivefold from 161 to 798. With the implementation of the new tenancy law, the deposit can only be increased up to 5% when the contract is renewed, and the conflict between the owner and the tenant has risen as the owners raised the deposit early, looking forward four years.
For this, a tenant resident in Seoul knocked on the door of the industrial complex. Mr. A, who produced a drug for two years worldwide for 235 million won in October 2018, renewed the contract on July 27, collecting 40% of the existing jeonse deposit, or 95 million won. After the application of the new tenancy law, Mr. A asked the owner to readjust the deposit within 5% as the existing contract period is subject to the new law. The landlord sent a proof of the contents saying, “I prefer to leave my room because I prefer to live”. After several months of conflict, Ms. A and B managed to reduce the amount of their deposit increase to 60 million won, instead of using the right to live for another two years through the Corporation’s mediation in the next contract.
Total price statistics amid rising controversies are also breaking records. According to the Korea Appraisal Board, Seoul apartment rents have been increasing for 71 weeks and the jeonse crisis that started here is spreading across the country. The rental price of apartments in the metropolitan area increased by 0.23%, showing the highest weekly exchange rate in five years, and the provinces also increased by 0.23%, recording the highest weekly exchange rate. high since May 2012, when the statistics were made.
In a situation where there is no “peak number” to stabilize the jeonse market, the government is considering a plan to provide thousands of rental units in a short period of time in the metropolitan area. This is a plan for public institutions such as Korea Land and Housing Corporation (LH) to buy or rent multi-family and multi-family homes in the currently vacant metropolitan area and put them back on a charter basis. A plan to provide rental housing by converting a shopping center into a residential area is also discussed.
However, it is pointed out that there are only 3,300 vacant homes in Seoul and only 2,400 single-family homes excluding vacant homes due to maintenance projects such as redevelopment and reconstruction, so there isn’t much in quantity.
Seo Jin-hyung (Kyungin Women’s University professor), president of the Korea Real Estate Association, stressed: “It takes 2-3 months for the government to buy a vacant house and recruit tenants, but it is difficult to resolve the fundamental crisis of the jeonse. because owners should only sell villas in unpopular suburbs “. done.
Reporter Baek Min-kyung, Seoul [email protected]
Reporters Sejong and Ha Jong-hoon [email protected]
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