① House Price Increase Areas / Paldal-gu House Prices Up 6.33% This Year
② Metropolitan Area Recruitment / 80,000 Applicants in Suwon, 70,000 in Metropolitan Area
③ Single-Homeowners and Young Buyers Join / 60% Small-to-Medium, 100% Medium-to-Large Units by Lottery
④ Short Resale Restriction / Resale of Pre-sale Rights Allowed After 6 Months
[Asia Economy Reporter Lee Chun-hee] A record-breaking 156,000 subscription accounts flooded the 'Maegyo Station Prugio SK View' in Suwon. Industry experts analyze that the subscription was made targeting the entire metropolitan area because it is located in the heart of the 'Suyongseong (Suwon, Yongin, Seongnam)' area, which triggered the '19th real estate policy,' and the proportion of lottery-based units was high. Above all, the expected price difference of around 200 million KRW and the fact that resale is possible six months after winning are cited as the reasons behind the massive subscriptions.
According to the Korea Real Estate Board's subscription homepage on the 20th, 156,505 applicants applied for 1,074 general supply units of Maegyo Station Prugio SK View in Maegyo-dong, Paldal-gu, Suwon-si, Gyeonggi Province, which was held the day before. This is the largest scale since the introduction of internet subscriptions. The average competition rate also reached 145.7 to 1. In particular, nearly half of all applicants, 72,432 people, applied for the most popular 84㎡ (exclusive area) units.
The industry has evaluated that "it was inevitable to be crowded." Paldal-gu, Suwon-si, where the complex is located, has been the focus of a balloon effect since the announcement of the December 16 real estate policy last year. Redevelopment of a total of 11,799 households has been carried out in Paldal 6, 8, and 10 districts and Gwonseon 6 district centered around Maegyo Station, resulting in a chain rise in housing prices. According to the weekly apartment sales price index of the Korea Real Estate Board, housing prices in Paldal-gu have risen by 6.33% over the past six weeks this year. It is considered the epicenter of the 19th real estate policy to be announced by the government on the 20th.
The wide recruitment range is also a background for many applicants. To qualify for the first priority in the relevant area of this complex, one must have been registered as a resident in Suwon for more than one year. However, on this day, first-priority applicants from outside the region, including Seoul, Incheon, and Gyeonggi, were also accepted simultaneously. On this day, there were 81,991 first-priority applicants from the Suwon area, and 74,514 applicants from outside the region in the metropolitan area.
Above all, unlike speculative overheated districts such as Seoul, it is free from various subscription regulations despite being in the metropolitan area, which also played a role. This complex has a high proportion of lottery-based units and an extremely short resale restriction period.
Among the 1,074 general sale units of Maegyo Station Prugio SK View, 690 units, accounting for 64%, are lottery-based units. This is because small and medium-sized units under 85㎡ are supplied 40% by point system and 60% by lottery system, and large units over 85㎡ are supplied entirely by lottery system. This is the opposite of speculative overheated districts where small and medium-sized apartments are supplied entirely by point system and only half of large units are supplied by lottery system. In the point system supply, homeowners are completely excluded from first priority, but in the lottery system, one-house owners compete on equal footing with non-homeowners. In addition, the competition rate soared as people in their 20s and 30s, who are disadvantaged in the point system due to short subscription account periods and few dependents, also joined.
The short resale restriction period is also cited as a factor for the popularity of this complex. Unlike speculative overheated districts where resale of pre-sale rights is prohibited until move-in, this complex allows free buying and selling of pre-sale rights from August 27, six months after the announcement of winners. The sale price of the 84㎡ apartment was set at 652 million KRW (standard floor). A representative of G Real Estate in Paldal-gu said, "Currently, the 84㎡ move-in rights in this area are traded at around 850 million KRW including additional charges." This means that after only six months from winning, one can gain at least 200 million KRW in price difference and resell.
In fact, before the subscription, various real estate-related communities and group KakaoTalk chat rooms formed an atmosphere of rushing to apply, saying "You never know." Kim (30), an office worker in Gwonseon-gu, said, "When I inquired at a nearby real estate agency, they even proposed to share the resale profit, saying they would arrange the funds if I just won," adding, "Most of the office workers I work with applied for the subscription."
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