Realization of apartment sales… Will the sale of 30 million won per 3.3㎡ in Busan come out?
Reporter Kang Hee-kyung [email protected]
Input: 2021-02-09 15:38:11Revision: 2021-02-09 17:55:44Published: 2021-02-09 17:42:38
Panoramic view of Haeundae-gu, Busan. Reporter Jeong Jong-hoe jjh@
In the future, the sale price of new apartments supplied in the high sale price management area will be set up to 90% of the surrounding market price. Areas subject to the new high pre-sale price screening system are the nationwide adjustment target areas, except for Seoul, which is subject to the pre-sale price ceiling system, and it is expected that the sale price of apartments in large cities including Busan will increase significantly.
The Housing and Urban Guarantee Corporation (HUG) announced on the 9th that it will completely improve the high sales price screening system from the 22nd. HUG first established management standards according to the fluctuations in the sales price by considering a certain percentage (85-90%) of the surrounding market price as an upper limit when evaluating the high sales price.
Previously, it was not allowed to exceed 100-105% of the sale price of nearby apartments. Currently, if there is an apartment sold in the neighborhood within a year, the sale price (100%) cannot be exceeded, and if there are only apartments sold for more than a year, the sale price has to be set within the range of 105%. Accordingly, in areas where sales are continued within a year, there is a problem that the sales price is fixed at a certain level, and the difference from the market price is widening. In particular, in the case of Busan last year, the price of pre-sale and surrounding prices doubled due to the surge in apartment prices. In addition, areas with rare pre-sale were judged based on the low housing prices in the vicinity, and there were many demands for improvement due to the large difference in pre-sale prices from the central area within the same city or district.
Along with criticism that HUG actually controls pre-sale prices for the reason of pre-sale guarantee, it hinders incentives for private business owners to supply housing, as well as criticism that the transparency and reliability of the review cannot be guaranteed because the specific criteria for review are unknown.
HUG has classified the location, complex size, and brand into three stages when selecting a comparative business site to calculate the apartment sales price, and has selected a complex that is similar in two or more items to the business site applying for guarantee as a comparative business site. However, in the future, the evaluation criteria will be location, complex characteristics (75% scale, building-to-land ratio 25%), and business stability (HUG credit rating 75%, construction capability evaluation ranking 25%). I decided to select two.
The screening standards have also been disclosed only rough guidelines, but through this system improvement, the standards have been decided to be disclosed in principle.
This HUG’s plan to improve the high pre-sale price screening system is a follow-up to the Ministry of Land, Infrastructure and Transport’s ‘2/4 real estate supply plan’. It contains a willingness to revitalize the supply of private housing by actively inducing the sale of private construction companies by realizing the sale price.
However, there are also voices of concern that the real estate market, which has been quiet for a while, may regain overheating as the authorities, which have constantly implemented regulatory policies to prevent a surge in apartment prices, tolerate a sudden surge in pre-sale prices. As the soaring pre-sale prices will drive the price of nearby apartments again, speculative demand may rebound around the eastern mountain area.
In Busan, the price per 3.3m2 of popular apartments in Haeundae, Suyeong, Nam, and Dongnae-gu is close to 40 million won, but most apartments in these areas are tied at 17 to 18 million won. However, when the new system is implemented, it is possible to sell up to 36 million won, which is 90% of the surrounding market price. Arithmetically, it may be up to twice the current pre-sale price level. In Busan, there have been no pre-sale for 20 million won per 3.3m2 other than the Middle East LCT in Haeundae-gu, but the implementation of this measure is expected to result in more than 20 million won and 30 million won apartments. There is also a possibility that many construction companies that were considering post-sale to avoid HUG regulations will also return to pre-sale.
Homeless people who expect to build their own homes at relatively low prices through subscriptions complain strongly that the lottery subscription will disappear. Park Mo, a 30-year-old office worker living in Busanjin-gu, Busan, said, “Recently, the price of apartments has risen so much that I’ve been looking only at sales, but if the sales price is set at a level that is close to the surrounding market price, it is impossible to apply for a subscription. I have trampled my dreams.”
Real estate experts also predict that although HUG is in the process of normalizing the pre-sale price distortion caused by excessive intervention in the pre-sale market due to pre-sale guarantees, a surge in real estate prices is inevitable. Solex Marketing Busan Branch Manager Kim Hye-shin said, “HUG’s action is to re-fuel areas that are popular as existing residential areas.” I will.”
Reporter Kang Hee-kyung [email protected]