Nationwide 64,366 Housing Units for Sale
Top Pick 'Banpo Raemian One Bailey'
'Dongtan Station Dietre Prestige'
Expected Price Gains of 800 Million to 1 Billion KRW or More
The apartment subscription market is expected to heat up significantly in May. In some complexes, with anticipated price gains of up to 1 billion KRW, it is predicted that record-breaking competition rates will be recorded.
According to the construction industry and real estate research firm Realtoday on the 3rd, a total of 64,366 apartment units nationwide (including rental units, excluding officetels, based on subscription applications) are scheduled to be supplied this month. Even when limited to general sales, the supply volume reaches 52,879 units. By region, 23,623 units (44.7%) will be released in the metropolitan area, and 29,256 units (55.3%) in provincial areas. This is about 21,000 more units compared to the general sales volume actually supplied nationwide last month. In Seoul, which has experienced a supply drought, the general sales volume will more than double from 601 units last month to 1,276 units.
◇ Raemian One Bailey, a 1 Billion KRW Price Gain Battle = The most notable in this month's sales market is undoubtedly 'Raemian One Bailey' in Banpo-dong, Seocho-gu, Seoul. It is a reconstruction complex of Sinbanpo 3rd and Gyeongnam Apartments, with 224 out of 2,990 units available for general sale. The general sale units range from 46 to 74 square meters (exclusive area). Located at the southern end of Banpo Bridge, it is considered a prime location even within the Gangnam area. The general sale price is about 56.69 million KRW per 3.3 square meters, the highest ever. This is 8.2 million KRW higher than the previous highest price of 'Le L Shinbanpo Central' (48.49 million KRW per 3.3 square meters). However, it is still about 40% lower than the surrounding market prices, so it is expected that winning a subscription will yield a price gain of over 1 billion KRW.
A lottery-level subscription with an expected price gain of 800 million KRW is also available in Hwaseong, Gyeonggi-do. Daebang Construction is supplying 'Dongtan Station Dieter Prestige' in Dongtan 2 District, Hwaseong. It is a mixed-use complex with 6 basement floors and up to 49 floors, consisting of 531 apartment units. The sale price for 84 square meters ranges from 440 million to 480 million KRW, and for 102 square meters from 510 million to 580 million KRW. Considering that a nearby 102 square meter unit in Dongtan Station Lotte Castle recently sold for 1.38335 billion KRW, this is about 800 million KRW cheaper. Since it is on public land, residents of the metropolitan area can apply, and half of the 102 square meter units are allocated by lottery, allowing even one-homeowners to apply under the condition of disposing of their existing home, so high subscription competition is expected.
◇ Major Brands Attract Attention in Chungnam Area = A significant volume of supply is also pouring out in provincial areas where large local construction companies' sales have been relatively scarce. The supply volume in the provinces by the top 10 companies in the second quarter has more than tripled from 6,725 units in 2019 to 20,764 units this year. Kwon Il, head of the Real Estate Info research team, explained, "This is due to increased orders in non-regulated small and medium-sized cities in the provinces as regulations have concentrated on the metropolitan area."
By region, the increase in supply in Chungnam stands out, with 4,833 units scheduled for sale this month. DL E&C (formerly Daelim Industrial) will introduce 'e-Pyeonhansesang Seokrim The Noble' with 523 units in Seokrim-dong 181-9, Seosan City. The units range from medium to large sizes of 84 to 114 square meters. Hanwha Construction will launch 'Hanwha Forena Cheonan Sinbu' with a total of 602 units ranging from 76 to 159 square meters in Sinbu-dong 146, Dongnam-gu, Cheonan City. Hyosung Heavy Industries will also supply 'Harrington Place Smart Valley' with 704 units this month in Sandong-ri 252, Eumbong-myeon, Asan City. It is close to KTX Cheonan-Asan Station and Doojeong Station on Seoul Metropolitan Subway Line 1.
Additionally, in Yangsan, which is benefiting from the balloon effect of regulations in Busan and Ulsan, Doosan Construction plans to supply 'Doosan We've The Zenith Yangsan.' It is a large complex of 1,368 medium and small-sized units ranging from 59 to 84 square meters.
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