“Will I have to move out next year?”... Tenants at Olympic Park Foreon on edge as owners prepare to move in

[Financial News] #. A, a jeonse tenant in a unit sold through the general sale at Olympic Park Foreon in Gangdong-gu, Seoul, recently received a message from the landlord saying, “I plan to move in myself around the middle of next year.” A said, “Jeonse prices have risen so much that it seems it will be hard to find a new place,” adding, “I’m trying to find a new jeonse home before the landlord moves in.”
As owners of units sold through the general sale at Olympic Park Foreon in Gangdong-gu, Seoul, begin making plans to live in them, existing jeonse tenants are growing increasingly concerned. The first two-year jeonse contracts signed when residents moved in at the end of 2024 are set to expire starting at the end of this year, and the time is also approaching for owners of general-sale units who had put off moving in. With jeonse listings in Seoul scarce and prices continuing to rise, there are also concerns that the jeonse crunch in the Gangdong area could worsen if owners move in and the supply of rental units shrinks further.
According to the real estate industry on the 8th, the first two-year jeonse contracts for general-sale units at Olympic Park Foreon that were rented out when residents moved in at the end of 2024 will begin expiring in sequence this November.
A two-year owner-occupancy requirement applies to 4,786 of Olympic Park Foreon’s 12,032 units, those sold through the general sale. An amendment to the Housing Act in 2024 allowed owners to defer moving in until within three years of the date they were first eligible to take possession. As a result, owners who rented out their units when residents moved in must move in themselves by November 2027 at the latest.
The same situation is reflected in rental listings. Jeonse listings at Olympic Park Foreon often specify the available occupancy period, with descriptions such as “short-term jeonse,” “occupancy until November 2027” and “long-term stay possible.” This is because the rental period varies depending on when the landlord plans to move in.
Some tenants are already looking for alternative jeonse homes rather than waiting for their contracts to expire. A nearby licensed real estate agent said, “Some tenants are weighing whether to wait until next year and manage a higher deposit, or end their contracts now and look for a home where they can stay long-term.”
The sharp rise in jeonse prices recently has added to the burden on existing tenants. According to the Ministry of Land, Infrastructure and Transport’s actual transaction price disclosure system, a renewed jeonse contract for an 84-square-meter unit at Olympic Park Foreon was signed for 860 million won on the 16th of last month. The following day, the 17th, a new jeonse contract for a unit of the same size was reported at 1.65 billion won, setting a record high.
Current asking prices for jeonse units measuring 84 square meters range from 1.5 billion to 1.65 billion won. Tenants who find it difficult to renew because the landlord plans to move in could face a much higher deposit if they look for a new jeonse home in the same complex.
Market observers also expect that if landlords begin moving into their units at Olympic Park Foreon in earnest, the effects could extend beyond the complex to the surrounding jeonse market. Existing jeonse units will be withdrawn from a complex of more than 10,000 households, and if tenants move to nearby Songpa or Gangdong, or to Hanam, they could stimulate rental demand in those areas.
In particular, a shortage of listings and upward pressure on prices continue in Seoul’s jeonse market amid a decline in new housing supply. Observers say the jeonse crunch could worsen if homes that had been rented out while owners deferred their occupancy requirement are converted to owner-occupied homes.
However, some say it remains to be seen whether jeonse supply at Olympic Park Foreon will only decline. Some owners among the general-sale buyers who have lived in their units since the complex first opened are beginning to complete their two-year owner-occupancy requirement from the end of this year.
A licensed real estate agent identified as B said, “Quite a few general-sale buyers thought from the time they moved in, ‘If we have to live there anyway, let’s complete the first two years upfront.’” The agent added, “Some jeonse and monthly rental listings that allow long-term stays could instead come onto the market between late November this year and January next year, when these owners complete their occupancy requirement.”

[email protected] Choi A-young Reporter