An apartment in Siheung-si, Gyeonggi-do, which was additionally designated as the 3rd new city on the 24th of last month. Hankyung DB
The prices of apartments in Siheung, Gyeonggi-do are upbeat. After the government announced at the end of last month that it would build a third new city with a capacity of 70,000 households in Siheung, Gwangmyeong, the demand for investment struck. In order to meet the residency requirements for pre-subscription, nearby rental prices have also begun to fluctuate. However, it is a variable that voices that the third new town should be canceled due to controversy about land speculation by LH (Korea Land and Housing Corporation) employees.
The highest rate of increase in Siheung apartments in one year
According to the apartment price trend for the second week of March, surveyed by the Korea Real Estate Agency on the 11th, the Siheung apartment sales price index this week (as of the 8th) rose 0.82% compared to the previous week. It rose the most in a year since the third week of March last year (0.92%).
It is an analysis that it was affected by the 3rd new city supply measures. On the 24th of last month, the Ministry of Land, Infrastructure and Transport announced that it would provide 70,000 houses by constructing 3 new cities with a size of 12.71 million square meters in the area, including Gwarim-dong and Geumi-dong in Siheung City and Gwangmyeong-dong, Okgil-dong, and Noonsa-dong in Gwangmyeong City. It is larger than Hanam Gyosan, Incheon Gyeyang, Namyangju Wangsuk, Bucheon Captain, and Goyang Changneung, which were previously announced as the 3rd new city.
It is explained that the demand for nearby apartments was driven by expectations from the construction of various infrastructures, including transportation measures such as subway lines 1, 2, 7, Sinansan Line, Metropolitan Express Railway (GTX) Line B, and the 2nd Gyeongin Line. In fact, just after the announcement of the 3rd new city designation, the rate of increase in apartment prices in Siheung surged to 0.71% last week. Compared to the rate of increase in the second week of February (0.38%), which was a month ago, the increase has more than doubled.
The rise is steep, centering on apartments in the Eungye district in Siheung (Bank-dong, Daeya-dong, Gyesu-dong and Anhyeon-dong areas) adjacent to the new city’s planned site. According to the actual transaction price system of the Ministry of Land, Infrastructure and Transport, the 84㎡ dedicated to Daeya-dong residential-commercial complex’Siheung Central Prugio’ was changed for 688 million won in January. It is about 200 million won in two months. Currently, the price of the property that can be lived is at least 900 million won to 1.5 billion won. “Siheung Eun-Gye-Han Transferee In the Class” and “Siheung Eun-Gye Lake Ban Summit Place” have been inquiries about purchasing new apartments for investment. Told.
The demand for fast subscriptions to meet the residency requirements is gathering, and the rental price is also a sign of excitement. The Ministry of Land, Infrastructure and Transport has announced that it plans to proceed with advance subscription in 2023 to Gwangmyeong Siheung New Town. This week, the rate of increase in the Siheung apartment jeonse price index was 0.60%, an increase of 0.16 percentage points compared to the last week of February (0.44%), just before the announcement of the new city designation.
“The possibility of cancellation of the 3rd new city designation is variable”
Along with Siheung, the price of Gwangmyeong, designated as a public housing district, also rose 0.42% this week, showing an increase from the previous week (0.40%). However, Gwangmyeong analyzed that as various maintenance projects such as new towns and reconstruction have accelerated since last year, house prices have already risen, and the increase in the increase due to the designation of a new city is less than in Siheung.
It is a burden that public opinion about the cancellation of the new city designation is rising as controversy arose that LH employees used internal information to speculate on land near Gwangmyeong Siheung New Town.
As of the afternoon, 67,000 people agreed to the petition that was posted on the Blue House National Petition Bulletin with the content’Please withdraw the third new city’. Lee Eun-hyung, a senior researcher at the Korea Institute for Construction Policy, said, “The Gwangmyeong Siheung New City has yet to be announced, but no procedures such as compensation have been in progress.” “There is a possibility that the government will cancel the designation of Gwangmyeong Siheung in order to restore trust in the entire project of the 3rd new city. As there is a province, it is important to be cautious about buying apartments for investment in anticipation of good news in the new city.”
Meanwhile, the rise in apartment prices in Seoul is a quiet atmosphere. This week, the Seoul apartment sales price index rose by 0.07%, maintaining the rate of increase last week. Immediately before the announcement of the ‘2nd and 4th supply measures’, the rate of increase is gradually slowing down after a 0.10% increase in the first week of last month, △0.09% in the second week, 0.08% in the third week, and 0.08% in the fourth week. The Real Estate Agency explained, “The sales are increasing and the buying trend is slowing due to the impact of supply measures and concerns about an interest rate hike from the United States.”
The rise in Seoul jeonse prices also remained at 0.06%, the same as last week. Seongdong-gu (0.11%), which was recognized as a relatively inexpensive, rose the most in Seoul this week, rising mainly from complexes such as Wangsimni New Town new construction or Eungbong-dong.
Reporter Shin Yeon-soo [email protected]