By Jane Han
Staff Reporter
Kim Dong-joo, a 46-year-old home seller in Dongbu Ichon-dong, recently listed his three-bedroom unit on an Internet real estate portal through one of his neighborhood realtors. But when he logged online to review the posting, he realized that his dull home had suddenly got an upgrade.
The listing said that the apartment unit was fully renovated with expanded balconies and new wallpaper, all of which weren't completely true, said Kim. Only one of the bedroom balconies had been expanded and the wallpaper was already nearly two years old.
``I checked with the realtor because I wasn't sure if the unit was mine, but she said it was,'' he explained. ``She said the description was supposed to be eye-catching and that all sellers add a little fluff to get people looking.''
The agent is right. A majority of apartment listings on Internet property portals include impressive conditions and accommodations, so it is tough to stand out in a competitive batch without something captivating.
But the country's financial watchdog made it official Sunday: If what you read is too good to be true, it probably is.
The Fair Trade Commission (FTC) cracked down on some of the leading property search sites for fooling prospective buyers with exaggerated listings. They include 18 independent real estate brokerages and eight Web portals including Speed Bank, NHN, Yahoo Korea, Joins Land and Property 114.
As realtors' competition to court homebuyers online intensifies amid the market slump, many brokers have been spotted telling ``more'' than the truth.
``The inaccurate postings are misleading to consumers who have no reason not to believe what the description includes,'' said Kim Kwan-joo, an FTC official.
He said the false information was meant to serve as a bait for buyers, who may end up buying another property even after finding that the unit they saw was disappointing.
``The practice is a waste of time for serious buyers who may end up visiting one house after another only to find out that they've been tricked,'' Kim said.
In the mix of fancy description and photos, be particularly wary of words such as ``fully renovated'' and ``just listed,'' the regulator warned.
Businesses caught for false promotion have been ordered to correct the information, but the FTC said that it will take more serious measures if similar instances recur in the future.