The highest level of prospects for rising house prices
Reporter Kim Jong-woo [email protected]
Input: 2021-01-01 09:26:49Revision: 2021-01-01 09:26:49Published: 2021-01-01 09:29:32
The forecast that house prices will increase in the new year also hit the highest level ever. The photo is an apartment viewed from 63 Building in Yeouido, Seoul. yunhap news
As the real estate market’s unrest continues, the forecast that house prices will rise in the new year reached a record high.
According to the Bank of Korea on the 1st, in a survey of 2381 households in cities nationwide in December last year, the housing price forecast index for young people under the age of 40 recorded 137. Following August (131) and November (136), it is a record high of three times this year alone. The housing price forecast index was compiled from January 2013.
An index greater than 100 means that there are more positive answers to that question than negative answers, and the greater the index exceeds 100, the higher the percentage of positive responses. In the end, it means that among those surveyed, the number of people who predicted that their home prices will be higher this year than the previous month increased.
These results were similar for other age groups. In this survey, the index for the outlook for housing prices for those aged 40 to under 50 was 129, a record high for two consecutive months following last November (128). Those aged 50 to under 60 recorded 130, rewriting the highest level in about six years since October 2014 (129). Over the age of 60 to under the age of 70 also recorded 132, reaching the highest point since October 2014 (131). For those aged 70 and older, where the demand for home sales is relatively low, it reached 135, approaching the highest record of September 2018 (136) by one point.
Even when the standards were different, the record of the highest index ever continued. By occupation, both the salaried workers (132) and the self-employed (130) recorded the highest indices.
The results differed by region. The housing price outlook index seen by residents of six metropolitan cities was the highest ever at 137 in December, but the number of residents in Seoul recorded 128, the third in history following September 2018 (137) and December 2019 (130).
Private research institutes and financial institutions also predicted an increase in house prices next year. According to the Housing Industry Research Institute’s prediction of housing prices this year, taking into account economic variables and supply and demand indices, it is analyzed that the sales price will rise 1.5% in the whole country, 1.4% in the metropolitan area, and 1.5% in Seoul. The jeonse price is expected to increase by 3.1% nationwide, 3.3% in the metropolitan area, and 3.6% in Seoul.
In a recent KB Financial Group survey, 9 out of 10 realtors predicted that house prices would rise in the new year as well. The opinion that the rise will be 1 to 3% (30% for intermediaries in the metropolitan area, 32% in the non-metropolitan area) was the most. A 0 to 1% rise was followed. Considering the rate of increase in home sales prices (6.9%) from January to November last year, the rate of increase is expected to slow somewhat. Reporter Kim Jong-woo [email protected]