South Korea will ban non-resident foreigners from purchasing homes in most of the Seoul metropolitan area starting next week, the government said Thursday. 

The Ministry of Land, Infrastructure and Transport designated Seoul, most of Gyeonggi Province, and seven Incheon districts as foreign land transaction permit zones. 

The move, aimed at curbing real estate speculation, applies not only to apartments but also to detached houses, multiplex and row houses. 

Foreign buyers will need local government approval, move in within four months and reside for at least two years and violations may lead to fines or permit cancellation. 

Authorities will also expand requirements for funding-source disclosure, including checks on overseas capital inflows, to prevent money laundering and illicit rental schemes. 

Officials said the measures, effective August 26 for one year, are intended to block foreign speculative purchases that inflate housing prices and destabilize the market.