Hong Jiseon: "Decision on Extending Land Transaction Permit Zones to Be Made After Market Review... Lifting Restrictions May Raise Home Prices"

Land Transaction Permit Zones in Seoul and Gyeonggi Nearing Year-End Expiry

Hong: "There Are Positive Effects; Will Consider Both Pros and Cons"

Hong Jiseon, nominee for Minister of Land, Infrastructure and Transport, stated that a decision on whether to extend the designation of land transaction permit zones, which is set to expire at the end of this year, will be made after reviewing market conditions.

Hong Jiseon, Minister of Land, Infrastructure and Transport, is attending the confirmation hearing held at the National Assembly on the 16th. Photo by Dongju Yoon

During her confirmation hearing at the National Assembly on the 16th, Hong was asked by Kim Jungjae, a lawmaker from the People Power Party, whether she plans to extend the land transaction permit zone designation that is scheduled to end this year. Hong responded, "We will closely monitor the market situation and coordinate the matter with relevant ministries."

The government designated all 25 districts in Seoul and 12 areas in Gyeonggi Province as land transaction permit zones under the real estate measures announced on October 15 last year. The current designation is valid until December 31.

When Assemblyman Kim pointed out that the system has led to side effects such as reduced transactions but rising home prices, Hong replied that the system has its positive aspects as well.

Hong said, "There have been relatively positive effects," adding, "In Seoul, when the regulations or permit restrictions were lifted, there were side effects such as an increase in housing prices." She continued, "All policies have both strengths and weaknesses, so I will examine the issue thoroughly."

This content was produced with the assistance of AI translation services.