Daegu Small Apartment Demand Increases, Popularity Soars

- Single-person households surpass 9 million, accounting for 39% of all households; small apartments in Daegu also show clear popularity... Entering the '1 Billion Won Club,' subscription savings accounts flood new sales
- POSCO Construction attracts attention with 'The Sharp Suseong O'Claire,' including exclusive 50㎡ type for buyers

Small households of one to two people, accounting for more than 60% of the total, have explosively increased in recent years, making small apartments a popular item in the housing market. Meanwhile, in Daegu, small apartments are attracting attention as their soaring popularity continues day by day.

According to the Ministry of the Interior and Safety's 'Resident Registration Population Statistics for Q1 2021,' as of March, the total number of households increased by 64,277 from the end of last year to 23,157,385 households. Among them, one-person households increased by about 76,000 from the end of last year to 9,139,287 households, accounting for 39.5% of the total. Adding the 5,462,850 two-person households, 63.1% of all households are one- to two-person households. On the other hand, households with four or more people accounted for 19.6% of the total, falling below 20% for the first time in history.

Accordingly, there is continuous interest from actual buyers and investors in small apartments suitable for one- to two-person households. In particular, in Daegu, small apartments have continued to rise sharply in price due to increased interest, with some actual transaction prices exceeding 1 billion KRW. According to the Ministry of Land, Infrastructure and Transport's actual transaction data, the 'Beomeo Hyosung Harrington Place' in Beomeo-dong, Suseong-gu, Daegu, saw a 59㎡ unit traded for 1.02 billion KRW in November last year, which is 370 million KRW higher than the price of 650 million KRW in November 2019, one year earlier.

Also, competition for new small apartments supplied in Daegu is becoming increasingly fierce as subscription accounts flood in. For example, the 'Dongdaegu Hwaseong Park Dream' launched in Dong-gu in August last year recorded the highest subscription competition rate among all unit types with a 179:1 ratio for the 59㎡A type in the first priority subscription. Additionally, the 'Cheongna Hills Xi' launched in Jung-gu in February of the same year attracted a total of 4,005 applicants for the 59㎡ type, recording an astonishing competition rate of 61.62:1.

Regarding the popularity factors of small apartments in Daegu, a local real estate official said, "In Daegu as well, the number of one- to two-person households has rapidly increased, and newlyweds and young generations are increasingly seeking small apartments, which is raising their popularity even more." He added, "Moreover, small apartments are less burdensome in price compared to medium and large-sized ones because they can be leased with jeonse (a Korean rental deposit system), so demand for investment remains steady, and their popularity is expected to continue."

Meanwhile, in Suseong-gu, Daegu, the supply of small apartments that will attract the attention of one- to two-person households and newlyweds is scheduled for this month, drawing interest.

POSCO Construction will supply 'The Sharp Suseong O'Claire' in the Suseong-gu area of Daegu in June. The complex consists of six buildings from two basement floors to 19 floors above ground, with a total of 303 units of 50㎡ and 84㎡, all of which are small to medium-sized units preferred by consumers. In particular, 73 units of the small 50㎡ type are included, expected to attract great interest from one- to two-person households and newlyweds.

The Sharp Suseong O'Claire offers close access to the excellent infrastructure of Suseong-gu, known as the "Gangnam of Daegu." Within a 1 km radius, Daebonggyo Station and Suseong Market Station on Daegu Subway Line 3 are located, accessible on foot, and transportation within and outside Daegu is convenient via Sincheon-daero and Sincheondong-ro. Also, Dongseong Elementary School, the assigned elementary school, is adjacent, allowing safe walking commutes, and middle and high schools can be assigned within the main school district of Suseong-gu. Additionally, the Suseong-gu academy district is easily accessible, providing an excellent educational environment.

Furthermore, a new residential town development with about 6,000 households is underway around the complex, promising benefits. The Suseong-dong 1-ga area where the complex is located is undergoing projects such as the Jung-dong Hope District reconstruction, Suseong 1 District redevelopment, and Suseong-dong 1-ga street housing maintenance project. Moreover, the Sincheon River passing next to the complex is undergoing a Sincheon development project with a total budget of 166 billion KRW, scheduled to be completed by 2025, promising a more pleasant residential environment.

The Sharp Suseong O'Claire maximizes residents' residential convenience by applying differentiated specialized designs unique to The Sharp throughout the complex. First, the buildings are arranged mainly facing south with a slab-type structure (except for some units) to maximize lighting and ventilation. Inside the units, floor plans include features such as dressing rooms and pantries (except for some units) to allow versatile use of space.

Also, outside the home, a clean and safe complex free of vehicles is created. The parking lot is 100% underground, with landscaping facilities installed in that space, and various community facilities such as a fitness center, residents' caf?, reading room, and indoor golf practice range are planned to enhance residents' convenience.

Meanwhile, The Sharp Suseong O'Claire is also conducting non-face-to-face one-on-one chat consultations through its official KakaoTalk Plus Friend account. Through this, prospective buyers can easily and conveniently receive consultations on their mobile phones.

The model house for The Sharp Suseong O'Claire will be located in Suseong-gu, Daegu, and is scheduled to open in June.