Prior opinions & explanations
Administrative Fines for Real Estate Transaction Reports: Written Opinion and Reduction — Responding at the Prior Notice Stage
A real estate transaction must be reported within 30 days from the contract date, and an administrative fine is imposed if the report is late or differs from the facts. A rental business operator who transfers a house during the mandatory rental period without a justifiable reason is subject to an administrative fine of up to 30,000,000 won per rental house. Because the administrative agency sets the amount of an administrative fine at its discretion, what you submit at the written opinion stage before imposition greatly affects the result.
Procedure
1. Respond starting with the request for explanatory materials
If there is doubt about the reported details, a detailed investigation is conducted and a request to submit explanatory materials follows. The materials submitted at this stage become the basis for the later decision on the administrative fine. Submitting false or inaccurate explanatory materials can itself be subject to a separate administrative fine, so submit them truthfully and with supporting evidence.
2. Check the written opinion deadline in the prior notice
Before imposing an administrative fine, the administrative agency gives prior notice and an opportunity to submit a written opinion. In practice it is a single opportunity, so set out the grounds for reduction in complete form from the start, such as how the violation occurred, the absence of intent or negligence, the fact of immediate correction, and financial hardship.
3. Attach evidence for the grounds for reduction
Assertions alone rarely lead to a reduction. Attach documents that give the administrative agency a basis for exercising its discretion, such as materials showing voluntary correction, contract and remittance records, and proof of family circumstances or receipt of welfare benefits. If you reported the violation first, also consider the reduction or exemption system for voluntary reporting.
4. Choose between voluntary payment and an objection
If you pay voluntarily within the written opinion deadline, the administrative fine is reduced in accordance with the statutes. If you file a written objection with the administrative agency that imposed the fine within 60 days from the date you receive notice of imposition, the agency's imposition loses its effect and the case moves to an administrative fine trial in court. In that case the voluntary payment reduction does not apply. First weigh whether contesting the fine is worthwhile.
Required documents
- Administrative fine opinion submission form (the form attached to the advance notice; written submission under Article 3(2) of the Enforcement Decree of the Act on the Regulation of Violations of Public Order)
- Prior notice of administrative fine, or request to submit explanatory materials
- Sale contract, transaction report details, and payment remittance records
- For a rental business operator: rental business operator registration certificate, lease contract, and materials on the circumstances of the transfer
- Evidence showing grounds for reduction, such as voluntary correction, absence of intent, or financial hardship
Fees
There is no government fee for submitting a written opinion. Preparation of a written opinion or statement of reasons starts from 150,000 won and varies with the size of the expected administrative fine and the volume of materials to review. We will tell you the exact amount after a consultation, based on the notice.
Legal basis and review date
- Act on Report on Real Estate Transactions, Etc., Article 3
- Act on Report on Real Estate Transactions, Etc., Article 28
- Special Act on Private Rental Housing, Article 67
- Act on the Regulation of Violations of Public Order, Article 16
- Act on the Regulation of Violations of Public Order, Article 18
- Act on the Regulation of Violations of Public Order, Article 20
Check these first
- Check the written opinion deadline in the prior notice first. Once it passes, the window for seeking a reduction narrows.
- False or inaccurate explanatory materials can lead to an additional administrative fine.
Frequently asked questions
By when must a real estate transaction be reported?
How many times can I submit a written opinion on an administrative fine?
How much is the fine reduced if I pay voluntarily during the written opinion period?
How much is the administrative fine for selling a rental house during the mandatory rental period?
Can I entrust the written opinion on an administrative fine to an administrative agent?
Contact us
Hwang Yunsang Administrative Office in Songdo, Incheon prepares and submits administrative documents and explains the procedure. If your situation is similar, send us a message.
📍 2697, 26F POSCO Tower-Songdo, 165 Convensia-daero, Yeonsu-gu, Incheon, Republic of Korea · 📞 010-3374-2687 · 🌐 hwangadmin.com
This guide is general information based on public sources. Requirements, documents and deadlines differ by case and by the competent agency, so please confirm them before you proceed.
