38 Non-Preferential Subscription Complexes This Year
18 Sold Out and Re-Subscribed
Case of 11 Non-Preferential Subscriptions Conducted
[Asia Economy Reporter Kim Hyemin] The once hot non-priority subscription market, also known as the "jupjup" market, is cooling down amid the real estate market downturn. The supply of jupjup units has increased, and there are noticeably more complexes applying for subscriptions multiple times. This means that even after selling out in non-priority subscriptions, units become uncontracted again, leading to repeated subscription applications.
According to the Korea Real Estate Agency's Subscription Home on the 8th, a total of 38 complexes nationwide have conducted non-priority subscriptions this year, with 18 of them applying for additional subscriptions. This indicates that nearly half of the total jupjup supply has undergone non-priority subscriptions two or more times.
On this day, Avenue Cheonggye I in Jongno-gu, Seoul, which is conducting a non-priority subscription, is doing so for the sixth time. In the main subscription last June, all 99 units were sold out, but due to contract cancellations, the first non-priority subscription was held in September last year. The results of the non-priority subscriptions were not bad either. All five rounds of non-priority subscriptions ended with competition rates of several tens to one, but some did not lead to actual contracts, resulting in continuous uncontracted units. Kyunghee Yeo, Senior Researcher at Real Estate R114, said, "There is a growing trend of people applying impulsively due to the atmosphere and then canceling contracts," adding, "As it becomes difficult to get loans, subscription results will vary greatly depending on location and price."
Avenue Cheonggye II also conducted three rounds of non-priority subscriptions since September last year for the same reasons. VT Style in Dongdaemun-gu and Sillim Sky in Gwanak-gu each conducted four additional subscription rounds. They all share the common characteristics of being single complexes composed of small-sized units.
Mangang Apartment in Paldal-gu, Suwon-si, Gyeonggi Province, has conducted 11 rounds of non-priority subscriptions since July last year. During the subscription in May last year, it recorded a maximum competition rate of 8.45 to 1, but 31 units remained uncontracted during the actual contract process. Subsequently, the supply was reduced through 11 rounds of non-priority subscriptions, and last month, subscriptions were conducted for two units.
In addition, Namcheon Sewon Su in Busan and River County in Uijeongbu, Gyeonggi Province, conducted six rounds of non-priority subscriptions. There are also four complexes that conducted four rounds.
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