▲ Real estate agency, Jeonse apartments in Seoul
Although legal obligations have been imposed on real estate agents to explain information such as senior priority rights regarding brokerage properties to clients in order to prevent jeonse fraud and other damages, cases of violating this duty have surged more than fourfold over the past three years.
According to data submitted by the Korea Real Estate Board to Representative Yoo Sang-bum of the People Power Party, a member of the National Land Infrastructure and Transport Committee, the number of cases flagged for "faithless explanation of brokerage objects" totaled 724 from 2023 through the end of July this year.
By year, violations have sharply increased from 44 cases in 2023—when the scope of the Real Estate Transaction Order Disturbance Reporting Center was expanded—to 135 cases in 2024 and 298 cases in 2025.
As of the end of July this year, the number stood at 247 cases, which is 461% higher than the total number of cases for the entire year of 2023 when statistics for this category first began to be compiled, raising the strong likelihood that it will break the annual record.
The Certified Public Realtors Act stipulates that licensed real estate agents must faithfully and accurately explain the condition and location of a brokerage object, rights relationships such as ownership, jeonse (lump-sum housing deposit) rights, mortgages, superficies, and lease rights, and whether the lessor has any delinquent taxes to the lessee, while presenting supporting evidence such as a certified copy of the registry and trust registry.
However, critics point out that even with the refinement of laws and regulations—such as the subdivision of real estate agents' duties of explanation—tenants remain vulnerable to risks after signing contracts due to inadequate verification of senior deposits or rights relationships.
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