January Nationwide Housing 'Permits, Groundbreaking, Completion, and Sales' All Plummet

Due to Many Holidays Including Lunar New Year and the Impact of Suspension of Subscription Services

[Asia Economy Reporter Moon Jiwon] Last month, nationwide housing permits, construction starts, sales, and completions all saw significant declines. This appears to be influenced by the many holidays during the Lunar New Year period and the suspension of new subscription applications due to the transfer of subscription tasks.

According to the Ministry of Land, Infrastructure and Transport on the 27th, last month’s nationwide housing permit performance was 23,978 units, down 25.1% compared to the same month last year (32,023 units).

In the metropolitan area, it was 12,213 units, down 31.5% year-on-year and 36.7% compared to the 5-year average. In the provinces, it was 11,765 units, also down 17.1% year-on-year and 37.4% compared to the 5-year average.

The Ministry explained, "It is estimated that the number of permits decreased due to the many holidays such as New Year's Day and the Lunar New Year holiday."

By type, apartment housing permits were 17,325 units, down 24.5% year-on-year and 33.2% compared to the 5-year average. Non-apartment housing permits were 6,653 units, down 26.8% year-on-year and 45.3% compared to the 5-year average.

Last month, housing construction starts nationwide totaled 16,512 units. This is a 32.3% decrease compared to the same month last year (24,397 units).

In the metropolitan area, it was 8,616 units, down 35.8% year-on-year and 32.7% compared to the 5-year average, while in the provinces, it was 7,896 units, down 28.1% year-on-year and 46.1% compared to the 5-year average.

Apartment construction starts were 10,756 units, down 38.3% year-on-year and 36.8% compared to the 5-year average, while non-apartment housing starts were 5,756 units, down 17.4% year-on-year and 44.9% compared to the 5-year average.

Sales of multi-family housing units nationwide were 40 units, a staggering 99.7% decrease compared to the same month last year (15,501 units). The suspension of new subscription applications due to the transfer of subscription tasks from the Korea Financial Telecommunications and Clearings Institute to the Korea Real Estate Board affected this.

All 40 units sold were located in the metropolitan area, and there were no sales in the provinces last month.

Last month, housing completions nationwide totaled 31,544 units, down 34.0% compared to the same month last year (47,799 units).

In the metropolitan area, completions were 16,821 units, down 26.7% year-on-year and 16.2% compared to the 5-year average. In the provinces, completions were 14,723 units, down 40.8% year-on-year and 34.5% compared to the 5-year average, showing a larger decline.

By type, apartment completions were 23,035 units, down 34.2% year-on-year and 18.5% compared to the 5-year average, while non-apartment housing completions were 8,509 units, down 33.6% year-on-year and 40.5% compared to the 5-year average.