The government will announce next week a set of supplementary measures to minimize market confusion and leasing instability stemming from the end of the temporary suspension of capital gains tax surcharges on owners of multiple homes.
Koo Yun-cheol, Deputy Prime Minister for Economy and Minister of the Ministry of Economy and Finance, said on Feb. 5 on social media X that "we will end the temporary suspension of the capital gains tax surcharge on owners of multiple homes, but will announce next week supplementary measures to minimize public inconvenience, such as for dwellings under lease."
He added, "We will firmly build a dwellings market centered on residence, not investment." He also noted that listings have recently increased mainly in Seoul, saying, "In the past few days, real estate listings in Seoul have been rising," and called it "welcome news."
The government plans to end on May 9 the temporary suspension of the capital gains tax surcharge on owners of multiple homes. However, for transactions of dwellings in designated regulation zones with contracts concluded by May 9, it is reviewing a plan to allow 3–6 months for the balance payment and registration.
Because confusion can arise during the sale of dwellings occupied by tenants, a plan is being discussed to guarantee the remaining lease term and delay the start of the buyer's owner-occupancy obligation. For example, if a tenant's jeonse term remains at the time of contract, it would be honored first, and then the buyer would move in as an owner-occupant afterward. However, it is unlikely to include the additional two-year guarantee under the right to request contract renewal.