Gyeonggi Province is leading the uptrend, mainly in the’transportation disaster’ area
If large-scale supply measures become reality, it will likely affect house prices.
Even after the government announced measures to supply 2·4 real estate, a large-scale supply plan, apartment prices in the metropolitan area continued to rise. According to the analysis, it takes time to supply real houses, and the demand for purchase is maintained due to the lack of leased supply. In the short term, it is also noteworthy that the market price volatility will increase further due to the spring moving season.
According to the Korea Real Estate Agency on the 2nd, last week (as of the 22nd), apartment prices in the metropolitan area rose 0.31%, increasing the increase from 0.30% the previous week. The rate of increase in apartment prices in the metropolitan area rose from 0.26% per week in January this year to 0.33% per week in January, the highest level since May 2012, when the Real Estate Agency started this survey. Apartment prices in the metropolitan area have increased by 2.46% (weekly cumulative) until last week this year. Since the announcement of the 2·4 supply plan, which is based on supplying 836,000 houses nationwide, including 320,000 units in Seoul, the increase has been over 0.30% until recently.
The economy rose by 3.42%, driving the rise in housing prices across the metropolitan area. Prices have risen mainly in places with favorable transportation benefits such as GTX (wide-area express train) such as Yangju. Yangju city (8.56%) showed the highest growth rate this year in Gyeonggi, followed by Uiwang city, which is expected to stop on the GTX C line, up 7.06%, and Namyangju city (6.58%), Goyang city (6.53%), and Uijeongbu city (5.58%). In that order, the rate of increase was high.
An expert in the real estate industry predicted that “demand is shifting from Seoul to Gyeonggi, where house prices have already risen, and this pattern may continue for the time being in the situation where the liquidity supply to the market continues and the spring moving season is ahead.”
One of the variables of future house prices is that the number of occupants in Seoul this year has decreased from 50,000 households last year to 27,000 this year, and low interest rates are continuing due to the aftermath of the Corona 19 incident amid the recent slumping jeonse prices. The number of unsold houses nationwide also declined to a record low in 22 years. As a result of the auction-specialized company support auction, 36 out of 45 apartments in Seoul where court auctions were held last February, the successful bid rate (number of successful bids compared to the number of auctions) recorded 80.0%. This is the highest monthly successful bid rate for Seoul apartments that came out through court auctions. It means that the heat of buying and selling homes is that hot.
However, there is a high possibility that the atmosphere will change as the second and fourth measures become real. As a follow-up measure for the second and fourth measures, the government recently announced a plan to designate a public housing district with a scale of about 12.71 million m2 (38.4 million pyeong) and 70,000 households in the Gwangmyeong-si-Siheung-si area. Experts have chosen to analyze that if Gwangmyeong and Siheung new cities are built, they will meet the demand in Seoul and the metropolitan area. In April next month, the location of the second housing site will also be decided.
Copyright © Victor News Unauthorized reproduction and redistribution prohibited