Democratic Party Proposes Considering an Extension of the Grace Period for the Land Transaction Permit System's Actual Residence Requirement

The Democratic Party of Korea has proposed to the government a plan to extend until next year the grace period for the obligation to actually reside in housing within land transaction permit zones. Kwon Chilseung, the party’s policy committee chair, said at a National Assembly meeting on the 15th that it is also necessary to consider allowing lease contract renewals in order to reduce housing instability for tenants and stabilize the jeonse and monthly rental markets. In land transaction permit zones, after purchasing a house, one must move in within a certain period and actually reside there for two years. After the government designated all of Seoul and parts of Gyeonggi Province as permit zones last year, housing transactions involving tenants slowed. In response, this past May it introduced a supplementary measure allowing people without homes to postpone actual residence until the existing lease contract expires. However, the current grace period only recognizes the remaining lease term and does not allow contract renewals, so Chair Kwon pointed out that if a sale is planned after next year, applications could be blocked and it could also affect tenants’ housing stability. At the meeting that day, there was also a rebuttal to the People Power Party’s criticism of consolidating and abolishing the three military academies.