Ulju-gun “Beware of false and exaggerated advertisements for private rental housing projects”

Ulju-gun, Ulsan, announced on the 4th that it is urging caution against false and exaggerated advertisements related to the private rental housing project.

According to Ulju-gun, public relations centers have recently been operated in Cheongnyang-eup, Ungchon-myeon, and Sangbuk-myeon under the method of ‘recruiting residents and tenants for new private rental housing projects’, and inquiries are continuing.

Currently, the relevant project sites have no implemented administrative procedures, such as housing supply, reporting on recruiting residents or tenants, or business plan approval, in accordance with the ‘Housing Act’ or the ‘Special Act on Private Rental Housing’.

Such business promotions are false and exaggerated advertisements, and are not intended to recruit residents or tenants, but rather to recruit voluntary group members or union members for a new private rental housing project, so you must make a careful decision when signing up for membership.

In response to this, the Korea Consumer Agency cautioned, "There are no specific provisions in the 'Private Rental Housing Act' regarding the return of investment funds (contribution funds) during the membership registration and investor recruitment stages, so legal protection cannot be obtained through administrative agencies."

An Ulju-gun official said, "Damages may occur if the project entity changes or goes bankrupt and the project does not proceed due to problems securing land and financial difficulties due to increased project costs. Be careful not to be deceived by fraudulent publicity, and be sure to check whether return provisions are included in the contract to avoid damage."

Detailed information regarding the precautions for the private rental housing project can be found in the notices on the Ulju County Office website.