2023-04-26 08:55:54
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Actual transaction price disclosure system fuels confusion
Only interested in operational forces… Let go of error exposureReporter Lee Yoo-jeong, Ministry of Construction and Real Estate
As a result, the transaction was not a false report. It was confirmed that the buyer paid the balance on the 24th. An official from Seocho-gu said, “We understand that the first contract was reported and a change was made, so it was canceled and then re-reported.” If a housing transaction contract is concluded or the contract is canceled, each must be reported within one month. This happened because the timing of the initial report, cancellation, and re-report was different.
As in this case, it is difficult to dismiss the confusion that arises when actual transaction information is disclosed as a ‘simple happening’. This is because the error reports are too frequent and the impact on the market is large. The market initially accepted the transaction as a false transaction to ‘inflate house prices in the Gangnam area’. In January, the market atmosphere was subdued, with real estate prices falling in the aftermath of rising interest rates. In the midst of this, a high-priced transaction of 10 billion won appeared, leaving plenty of room for interpretation as a market rebound trend.
It is analyzed that there are tens of thousands of error reports per year. In September 2021, the market was infested with a report that’the rental price of an apartment in Seoul exceeded 130 million won per 3.3 square meters’. In July of that year, Godeok Gracium (97㎡) in Gangdong-gu was reported for a transaction of 4 billion won, twice the previous transaction. All were input errors. Since it is a structure that is exposed as input by individuals, the same problem is repeated.
The Ministry of Land, Infrastructure and Transport has improved the actual transaction disclosure system several times. However, there are criticisms that it increases market confusion rather than increasing transparency. It is not unrelated to the fact that the direction of improvement is aligned with the purpose of defeating false reports and operational forces such as ‘disclosure of direct transaction’ and ‘disclosure of cancellation transaction’. There is no concern about problems that may arise in the process of reporting normal transactions. If it is a cancellation transaction for re-reporting, the part must be clearly marked, and if the price is at an unreasonable level, the local government can take measures not to disclose it once.
Minister of Land, Infrastructure and Transport Won Hee-ryong recently attended a ‘meeting to eradicate house price manipulation forces’ and said, “Market disruption is a serious crime that distorts the real estate market.” Unfiltered exposure of trading errors is also a significant problem that can distort the market.
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