Almost 50% of all apartments in Seoul owned by foreign individuals belong to American citizens, who tend to favor the city’s premium neighborhoods.
In the previous year, U.S. citizens held 5,678 apartment properties within Seoul, representing 45% of the total 12,516 overseas-owned residences, as reported by the Korea Real Estate Board.
The Korea Herald.
Their shopping activities were mainly focused on high-end areas like Gangnam-gu, Seocho-gu, and Songpa-gu.
 |
|
An overview captures a primary street flanked by homes in Seoul’s Gangnam area on May 13, 2022. Image courtesy of AFP |
The second-largest group, Chinese citizens, held ownership of 2,536 apartment units.
Local specialists suggest that Chinese proprietors favor well-established Chinese neighborhoods in southwestern Seoul, where purchasers value being close to existing social connections.
Other significant owner categories include Canadians (1,831 units), Taiwanese individuals (790), and Australians (500).
Many of the most expensive apartment units in areas such as Gangnam-gu and Yongsan-gu are believed to be held by individuals from the Korean immigrant community.
In August, the National Tax Service stated that 40% of foreign nationals examined for illegal real estate purchases were of Korean heritage.
It intends to look into 49 people accused of tax fraud related to property, including more than 230 apartments. The projected tax avoidance is between KRW200 billion and KRW300 billion (US$145-217 million), as reported.
ChosunBiz
.
The organization mentioned that its investigation revealed indications of unlawful actions, such as money laundering. In certain instances, company loans were secured under the pretense of operational funds and then utilized to buy apartments for foreign individuals.
The head of the organization, Min Joo-won, stated: “We will rigorously examine how foreign individuals obtain properties in South Korea, similar to how we assess citizens.”
