2-4 policy at the level of’supply shock’… Controversy over volume effectiveness and speculative warning

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[미디어SR 박세아 기자] As the current government’s 25th real estate policy came out on the 4th, experts believe that the supply figure far exceeds the previous supply measures. However, there are voices of concern that it is the quantity that can only be achieved if the maintenance project is carried out as predicted by the government, and that speculation may be prevalent.

On the 4th, Deputy Prime Minister Hong Nam-ki and Minister of Strategy and Finance announced plans to expand housing supply, emphasizing that it is at the level of’supply shock’. Experts also consider the plan to supply 320,000 units to Seoul and 830,000 units across the country as exceptional.

According to the government’s’Public-led 3080+, a plan to expand housing supply in metropolitan areas’, the government decided to supply 836,000 houses across the country, including 323,000 households in Seoul by 2025.

Of the total supply, about 570,000 households are secured through new projects in the city center, and 260,000 households are secured through designation of new public housing sites, the government explained.

Specifically, through urban public housing complex projects and small-scale redevelopment, 306,000 households, 136,000 households for direct public maintenance projects, 30,000 households to improve urban regeneration (residential regeneration innovation organization) business method, 263,000 households newly designated as public housing sites , Short-term housing expansion of 101,000 households, etc.

In addition to this supply scale, the government is said to be the highest level ever, with more than 200 households when the existing residential welfare roadmap and the supply plan for 1.27 million households in the metropolitan area being promoted through the third new city are combined.
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In addition, the gist of the government’s policy is to move through a three-track system for volume, public development, and deregulation while removing many of the obstacles that have been obstacles to the existing housing supply, such as the reconstruction excess profit return system and mandatory 2-year reconstruction housing.

The government has decided not to impose a surcharge for reconstruction excess profits for maintenance projects directly implemented by the public.

In addition, the two-year residency obligation for reconstruction members was not applied, and the general assembly or administrative disposition approval procedure was omitted, so that the maintenance project that took more than 13 years can be completed within five years.

However, there are doubts about whether it will lead to effective housing supply because it is more public-oriented than private participation.

First of all, the Korea Federation of Construction Organizations (Geondan-ryon) expressed the view that “I will join with 2 million builders” in relation to the 2-4 housing supply measures, but in order to ensure rapid supply, it is necessary to revise the laws and prepare detailed implementation plans. They commented that it was necessary to implement follow-up measures as soon as possible.

“The government-proposed supply measures such as public direct maintenance projects, urban public housing complex projects, small-scale maintenance projects, and urban regeneration have provided sufficient supply signals in the city center.” The point designed to be developed was evaluated as unfortunate in terms of effectiveness.

Lee Eun-hyung, a senior researcher at the Korea Institute for Construction Policy, told Media SR, “As housing supply is an issue that has no choice but to go with a long-term plan, it is appropriate to take precedents in order and reflect them to the next project site rather than pushing for high-density development on a large scale.” As seen through Seoul, where new towns once turned in a way of repressing them after spreading like a fashion, suddenly increasing the redevelopment and reconstruction projects in the short term can cause side effects in the long term.”

Some point out that the government policy announcement should pay attention to the investment.

KB Kookmin Bank’s senior real estate expert expert Park Won-gap told Media SR, “If the market is unstable, the government may exclude the area for reconstruction and redevelopment from the project and suspend the designation of the district. Blocking speculative demand and how to calm short-term anxiety will be a major challenge in the future,” he predicted.

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