More expensive apartments went up, cheaper apartments went up less… Intensifying asset polarization

Input 2021.01.27 09:09

Last year, except for Seoul, the price gap between high-priced apartments and low-priced apartments across the country widened the largest ever. Higher prices for expensive apartments or lower prices for cheaper apartments have risen relatively less even during strong housing prices, which means that asset polarization has intensified.

According to the KB Kookmin Bank monthly housing price trend time series data on the 27th, the nationwide apartment quintile ratio as of December last year was 8.5. This is the highest since December 2008 (8.1), when the statistical survey began.

The quintile multiplier is the value obtained by dividing the average price of the top 20% (5th quartile) by the average price of the bottom 20% (1 quintile) by dividing houses into 5th place in order of price. The higher this magnification, the greater the difference in prices between high-priced homes and low-priced homes.

In December of last year, the average price of apartments in the first quintile nationwide was 119.2 million won. It has increased by 3.75 million won compared to December 2019 (18.35 million won). On the other hand, in December of last year, the average price of apartments in the fifth quintile was 951.6 million won, which is 212 million won higher than in December 2019 (7,3957 million won).

As of December last year, the number of quintiles by region was highest in Daejeon (5.7), Ulsan (5.4), Gwangju and Busan (5.3), Gyeonggi (4.8), Daegu (4.6), Seoul (4.2), and Incheon (3.9). . By region, the metropolitan area (6.6), other regions (5.6), and the five metropolitan cities (5.2) in order. Among them, in Gyeonggi, Incheon, Busan, Daegu, Gwangju, Daejeon, and Ulsan, the quintile ratio of apartment prices was the highest since the start of the related survey in 2013. This means that the asset gap has widened depending on where and what kind of house you have.

However, in Seoul, the quintile ratio (4.2) in December last year was the only lower than in December 2019 (4.8). In Seoul, the price of apartments in the first quintile jumped from 370.19 million won in December 2019 to 478.36 million won in December last year. The price of apartments in the fifth quintile rose from 1,761.58 million won to 20.13 million won.

It can be interpreted that this is due to the fact that the price of low-priced apartments has also risen as the perception that’Seoul real estate is indestructible’ is growing in that Seoul can no longer build houses, and end-users are also buying.