South Korea flags 210 suspicious foreign housing deals, plans crackdown

SEOUL, November 17 (AJP) - The South Korean government said on Monday it had uncovered more than 200 suspicious housing transactions involving foreign nationals over the past year.

According to the Real Estate Supervision Task Force, operating under the Prime Minister’s Office, a review of 438 housing transactions involving foreigners between June 2024 and May 2025 found that nearly half — 47.9 percent — showed signs of illegality or regulatory breaches. Officials plan to expand the probe to include non-residential properties and land transactions by the end of the year.

Of the 210 flagged cases, authorities said 162 involved false reporting of transaction amounts or dates. Investigators also identified 58 instances of illegal fund transfers and loan misuses.

The task force said it would refer the cases to the Ministry of Justice, the National Tax Service and other agencies for further action. Under South Korean law, unauthorized commercial activity by foreign buyers can draw penalties of up to three years in prison or fines of up to 30 million won. Tax authorities will also investigate the suspected cases and plan to impose back taxes if necessary.

"The violations by foreign nationals pose risks to the country’s housing market, which has experienced volatility in recent years," said Kim Kyu-chul, director general at the Ministry of Land, Infrastructure and Transport. “We will continue efforts to maintain market order by eradicating illegal practices in foreign real estate transactions."

* This article, published by Aju Business Daily, was translated by AI and edited by AJP.

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