It is likely to only reflect changes in real estate prices and market prices next year...Realization Rate Frozen Weight for 2 consecutive years

The government is expected to freeze the realization rate of the declared value of real estate next year, or the ratio of the declared value to the market price, for the second consecutive year.

In this regard, the Ministry of Land, Infrastructure and Transport held a "public hearing on the plan to realize the declared value of real estate" at the Gangnam branch of the Korea Real Estate Agency this morning (15th).

At the meeting, Park Cheon-gyu, head of the Housing Real Estate Research Division at the Korea Research Institute of Land, Infrastructure and Transport, said it is appropriate to set the target market price reflection rate for 2025 to be the same as the current level.

Accordingly, the declared price realization rate will be applied to 69% of apartment houses, 53.6% of detached houses, and 65.5% of land, which are at the level of 2020.

If this happens, next year's holding tax will only reflect changes in the market price, and for apartments in some areas, including Gangnam-gu, Seoul, where housing prices have risen this year, there is a possibility that the burden of public prices and holding taxes will increase next year.

Earlier, the government tried to scrap the roadmap for realizing the official price established by the Moon Jae In government, but it is expected to freeze the realization rate as a temporary measure as it is expected to be difficult to pass the revised bill within this year.

The published price is a standard used for imposing taxes such as comprehensive real estate tax and property tax, and the realization rate shows how much the published price reflects the market price.

Based on the results of the public hearing discussions, the Ministry of Land, Infrastructure and Transport will soon announce measures to apply to next year's official price.