A total of 4620 transactions last December… 8% increase over the previous month
Increased demand for villas due to rising house prices and rental prices
Locals with anticipation for maintenance projects such as public redevelopment
[아시아경제 임온유 기자] The price of multi-family and row houses in Seoul was also rising due to the aftermath of the apartment jeonse crisis and the anticipation of promoting maintenance projects such as public redevelopment.
◆Villa transaction volume’rebound’ last month… In January, apartment transaction volume’reversed’ =According to the Seoul Real Estate Information Plaza on the 17th, the number of multi-family and row houses sales in Seoul in December of last year was a total of 4620. This is an increase of 8.2% (578 cases) from 4268 cases in the previous month. The number of transactions is expected to exceed 5,000 last month as there are still two weeks left for reporting.
Multi-family housing transactions were 7538 cases in July, when’panic buying’ (panic buying) of 20-30 households fell below 5,000 in January-May last year, 12 years and 3 months since April 2008 (7686 cases). It was the best in the past. Since then, due to the July 10 real estate countermeasures and the August 4 supply countermeasures, the number of cases sharply decreased to 4350 cases in August and 4096 cases in September, but slightly rebounded to 4649 cases in October, and then declined again in November and then rebounded last month.
In the new year, the number of transactions this month was 701 until the 15th, although it is difficult to estimate the trend of increase or decrease, but it is estimated that the multi-family and coalition buying trend is close to twice that of apartment transactions (363) during the same period.
In general, apartment transactions are 2 to 3 times larger on a monthly basis than multi-family/column housing transactions, but in September, the month when multi-family and coalition transactions surpassed the apartment transaction volume due to the large jump in apartment prices last year and the added effect of real estate regulations. And there were two times in October.
Last month, multi-family housing transactions were mostly in the outskirts of Seoul, including Eunpyeong-gu (493 cases, 10.7%) and Gangseo-gu (368 cases, 8.0%), and Songpa-gu (325 cases, 7.0%), and Yangcheon-gu (305 cases, 6.6%). There were also many in areas where demand for housing was concentrated due to transportation and school districts. This was followed by Gangbuk-gu (304 cases·6.6%), Gangdong-gu (268 cases·5.8%), Jungnang-gu (259 cases·5.6%), and Guro-gu (206 cases·4.5%).
◆Rental Law 後 Five months in row houses, the price of housing in a row rose by the previous two years =The increase in the sale of multi-family and row houses is attributed to the increase in both real demand and investment demand. As apartment prices continue to rise and even rents have jumped significantly, there are not a few consumers who have turned to villa purchases. This is because apartment rental prices have soared after the new lease protection law, such as the right to apply for contract renewal and the monthly rent limit system, so that households that are difficult to move are turning to villas. An official in the real estate industry explained, “Some consumers, such as newlyweds, are increasingly considering buying a clean new villa or chartering instead of an apartment.”
In fact, the rise in villa prices has been steep since August, when the new lease law took effect. During the five months of July-December last year, the average selling price of row houses in Seoul rose by 2,065 million won from 29.81 million won to 31.94 million won, which is an increase (2078) over the previous two years (July 2018-July 2020). The amount is similar to 10,000 won).
The average rental price of a row house in Seoul also rose by 14.33 million won from 22.62 million won in July last year to 216.41 million won in December, which was the same as the total rent (14.28 million won), which rose in the previous two years and a month.
An official in the real estate industry analyzed that “the rise in apartment prices and the jeonse crisis is inevitable, and the demand to purchase villas as a residence is inevitably increasing,” and “there is an atmosphere in which expectations from public redevelopment are reflected in the rise of multi-family and coalition prices.”
◆Expectation for development increases and demand for investment in less-regulated villas is also’eye-catching’ =Investment demand is also an atmosphere of paying attention to multi-family and row houses. Real estate regulations are concentrated on apartments, and interest in expectations such as public redevelopment has increased.
In the June 17th measures last year, the government restricted loans for cheonsei loans to apartments with more than 300 million won in regulated areas, but multi-family and row houses are not covered, so’gap investment’ is still possible through cheonsei loans. In addition, through the July 10 measures, the housing rental business registration system will be significantly improved, while the tax benefits for multi-family, villas, studios, and officetels will remain the same, reducing the tax burden.
Expectations for public redevelopment are also high. Since the government announced the public redevelopment promotion in May last year, the sale price of old homes has soared mainly in candidate sites. In fact, the 3rd floor of the villa in Jangwi New Town, with an area of 32.85m2 (a site area of 19.13m2), was traded at 229 million won in July last year, but the price surged with a contract at 412 million won in December. Jangwi New Town is known to have applied for public redevelopment in areas 8, 9, 11 and 12.
A 22.35m2 for multi-family housing (30.31m2) in Seongbuk-dong, Seongbuk-gu, which applied for public redevelopment, was also traded at 370 million won in February last year, but in October of the same year, writing a sale contract for 430 million won and a price This rose 60 million won. In Heukseok District 2, Dongjak-gu, which was recently selected as a pilot project for public redevelopment, purchase inquiries increased sharply after the announcement, and the sale was locked and a premium of more than 1 billion won was formed.
Reporter Lim On-yu [email protected]
Source: 아시아경제신문 실시간 속보 by www.asiae.co.kr.
*The article has been translated based on the content of 아시아경제신문 실시간 속보 by www.asiae.co.kr. If there is any problem regarding the content, copyright, please leave a report below the article. We will try to process as quickly as possible to protect the rights of the author. Thank you very much!
*We just want readers to access information more quickly and easily with other multilingual content, instead of information only available in a certain language.
*We always respect the copyright of the content of the author and always include the original link of the source article.If the author disagrees, just leave the report below the article, the article will be edited or deleted at the request of the author. Thanks very much! Best regards!