Apartment prices soar… ‘Replacement product’ officetel prices soar

yunhap news

With the recent surge in apartment prices, the price of officetel, an ‘alternative product’, is also rising.

Last month, the average transaction price of officetels in Seoul reached 300 million won, and the average transaction price of officetels in the metropolitan area including Gyeonggi and Incheon broke new all-time highs.

The transaction price of officetel in Seoul announced on the 27th by KB Live Real Estate was 297.76 million won, the highest since 2010 when related statistics were released.

This is an increase of 1.91 million won compared to the previous month in September (288.86 million won) and nearly 10% (25.78 million won) higher than in October of last year (264.98 million won) a year ago.

This seems to be the result of increased investment demand for officetels, which are relatively less regulated, as apartment prices in Seoul skyrocket and various regulations are concentrated.

Officetels in Gyeonggi-do and Incheon, where house prices have risen sharply in recent years, are more prominent than in Seoul.

The average sale price of officetel in Gyeonggi-do was 276.23 million won, 20.8% (47.66 million won) from a year ago, and the Incheon sale price was 164.8 million won, up 21.2% (28.87 million won) from a year ago, respectively. It was the highest price since the survey.

In addition, after the enforcement of the ‘Lease 2 Act’, including the upper limit on cheonsei and the right to apply for contract renewal in July of last year, as the Jeonse price for apartments soared, the average jeonse price for officetel in Seoul also recorded an all-time high of 22.75 million won, rising by more than 20 million won in a year.

The ratio of jeonse to sales price also reached 82.2%.

According to the Korea Real Estate Agency’s third quarter officetel price trend survey, officetel prices in the metropolitan area rose 1.14% from the second quarter, more than double that of the previous quarter (0.43%).

Jeonse prices in the metropolitan area also increased from 0.45% in the second quarter to 1.09% in the third quarter.

As the number of officetel transactions increased, the price increase also increased.

Experts say that, in the case of multi-family dwellings, officetels are advantageous in terms of acquisition tax as a reason for the increase in transactions.

If a homeowner in the regulated area acquires additional housing, the acquisition tax for two houses increases to 8% and for three houses, 12%, but for officetels, 4.6% is applied regardless of the number of houses.

Recently, in the new pre-sale market in the metropolitan area, the number of ‘completely sold’ complexes, centered on officetels for replacement of apartments that can be used for real residence, is increasing, and liquid funds in the market are pouring in.

Park Won-gap, senior real estate expert at Kookmin Bank, said, “Recently, as apartment sales have plummeted and the jeonse crisis has overlapped, young people are turning to officetels, an alternative to apartments, and prices are rising together.” It could be affected,” he said.

[ⓒ 세계일보 & Segye.com, 무단전재 및 재배포 금지]

Source: 경제 by www.segye.com.

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