“This year, the era of reconstruction and redevelopment will come back.” Real estate experts predicted that the investment attractiveness of private reconstruction and redevelopment, which had been suppressed by various regulations, will emerge again this year. This is because the rise was relatively modest as the government implemented a policy of unilateral regulation. It means that we must not overlook the fact that someday the maintenance business will be realized and a new apartment will be received. In addition, experts advised that end-users should devise a’two-track strategy’ that aims for rapid sales in the first half of the year before the increase in the holding tax along with subscription. As it is highly likely that the sales and jeonse prices will continue to rise, it means that you should start preparing your own home as soon as possible.
Since 2019, the most promising investment product in the real estate market has been’new apartments within 3 years of completion’. This is because the attractiveness of a new apartment that is good for living has emerged as the maintenance project faced a direct hit by various regulations such as the ceiling on the sale price of private residential land and increased anxiety over new supply.
An analysis suggests that the situation may change this year. As a result of a survey by the Korea Economic Daily of 50 real estate experts on’real estate market outlook and investment strategy after the 2-4 real estate measures’, 36% of respondents cited’private redevelopment and reconstruction’ as the most promising real estate in the first half of the year . ‘Villas in the station area where public redevelopment is possible (24%)’ took second place, and’New apartment within three years of moving in (20%)’ took third place.
Jang Jae-hyun, head of RealToday’s Research Division, said, “Although the government has limited the deregulation target to’public-led maintenance projects’, there is a high possibility that the so-called’keying’ phenomenon will occur.’ The value of good and large complexes will also be highlighted.” Myung-sook Ahn, head of the Real Estate Investment Support Center of Woori Bank, predicted that “the demand for investment will be concentrated to a place that promotes the private method instead of the public method that poses a risk of liquidation.”
Many experts predicted that the hospitality of villas, which had low expectations for price increases, would also change. Dae-Jung Kwon, professor of real estate at Myongji University, said, “The reason that the development of the station area has been difficult is because of the sharp conflict of interests.” He predicted that “the project will be easier if the public takes the lead in accommodating land and compensation.” However, as the government has announced that it will not give pre-sale rights to houses that have changed hands after the announcement date (February 4), cash liquidation and other risks should be taken into consideration.
Cover the rocks along the GTX route
As a promising area for investment, many respondents said,’Gyeonggi area (36%) where the establishment of a new GTX station is scheduled’. This is because while expectations for a price increase are high due to favorable traffic conditions, there are still undervalued areas. ‘Seoul Gangnam 4-gu (Gangnam, Seocho, Songpa, Gangdong-gu)’ followed by 26%, and’Seoul Masongseong (Mapo, Yongsan, Seongdong-gu)’ followed by 12%. Ji-hae Yoon, senior researcher at Real Estate 114, said, “If you catch a quick sale in an area where development materials such as the 3rd new city and traffic concessions work complexly, you can diversify the investment risk. If you take into account the downturn, the real residence price is more expensive than the high-risk investment products. It is safe to look for an apartment that is relatively less elevated while possible.” Professor Kwon Dae-jung said, “As GTX-A and B stop, such as around Changneung Station in Goyang, Gyeonggi Province or Kintex in Ilsan, it is necessary to look out for areas close to Seoul.”
The preference for Gangnam 4 district in Seoul was still the same. Kim Jong-yul, director of the Kim Jong-yul Academy, explained, “Last year, prices in non-regulated areas and mid- to low-priced complexes were remarkable,” and “Now, the perception that Gangnam, which was unable to rise a lot due to regulation, is spreading.” There were also many observations that a further rise would be possible due to the rush of liquidity in Gangnam due to the phenomenon of preference and polarization of the’smart one’. Researcher Ji-Hae Yoon said, “As the attractiveness of redevelopment and reconstruction, which has the potential to take a public-led method, declines, the scarcity of reconstruction or new apartments in Gangnam, where private promotion is certain, will increase.”
End users need a’two-track strategy’
Homeless end-users have different choices depending on the subscription price and funds held. If they could try special supplies such as newlyweds, 32% answered that it would be advantageous to wait for public sales in the third new city. The government plans to increase the proportion of the general supply and the amount of lottery products supplied through this measure to give 3040 households an opportunity to build a home. Value Map Research Team Leader Lee Chang-dong advised, “The opportunity to subscribe has increased considerably due to the reorganization of the public pre-sale subscription system,” and advised, “If you are in your early 30s, it is not a bad choice to wait 5-6 years later.”
However, if the situation is difficult due to low additional points, etc., do not delay the time and’it is better to purchase stock houses’ (30%). Kwon Il, head of the real estate information research team, said, “It is worth strategically aiming at rapid sales that appear before June 1 due to strengthening regulations such as an increase in the holding tax.”
Park Won-gap, chief real estate expert at Kookmin Bank, emphasized, “The’public direct implementation maintenance project’ introduced this time can be excluded from the designation of the district if market instability such as rising prices is detected. did.
Reporter Lee Yoo-jung/Jang Hyun-ju [email protected]