The government has designated Gyeonggi Province, Incheon, Daejeon and Cheongju as areas subject to close monitoring in its latest measures to stem rising housing prices in the greater Seoul and some unregulated areas.
The land ministry announced the measures on Wednesday as a series of steps, including tax hikes and loan regulations, failed to put a brake on soaring home prices.
Areas including Gyeonggi's Suwon and Gunpo, Incheon's Yeonsu and Seogu, and parts of Daejeon have been designated as "overheated speculative" zones that are subject to tighter regulations.
Meanwhile, in order to discourage so-called gap investments, people who take out mortgage loans to buy houses in regulated areas are now required to move into homes within six months of receiving the loans.
In gap investments, investors purchase a property while inheriting the jeonse contract of the tenant living in the apartment, allowing buyers to own the property with little capital.
Land Minister Kim Hyun-mee said the government will take additional stronger steps to curb speculative demand if needed.
<Photo: Yonhap News>
