- Regulatory Relaxation Across All Areas of Daegu Metropolitan City
- Real Estate Officials Express Rising Expectations for the Previously Frozen Daegu Real Estate Market
From the 5th, real estate regulations across the entire Daegu area have been eased. The designation of regulated areas has been lifted for all regions except Suseong-gu, and Suseong-gu has been removed from the speculative overheated district. On the 30th of last month, the Ministry of Land, Infrastructure and Transport held a Residential Policy Deliberation Committee meeting to review and approve the adjustment plan for speculative overheated districts and regulated areas. As a result of the review, areas with relatively low housing price increases and a clear rise in unsold units, mainly in provincial regions, were partially relieved from speculative overheated districts and regulated areas.
Since the second half of last year, with tightened loan regulations and continued interest rate hikes, the real estate market in some areas has rapidly frozen. Voices demanding the lifting of regulated area designations have continued to emerge, mainly from local governments. In particular, in December 2020, Daegu designated all areas except some parts of Dalseong-gun as regulated areas, resulting in a sharp decline in housing transactions, falling prices, and an increase in unsold units, causing a significant slump in the housing market. Therefore, from May last year to June this year, continuous requests for lifting the regulated area designation have been made.
According to the Korea Research Institute for Human Settlements, the 'May Daegu Housing Market Consumer Sentiment Index' was recorded at 88.8 points (declining phase), the second lowest nationwide after Sejong. However, following the government's regulatory easing, a breeze of change is blowing through Daegu's real estate industry. Many buyers are already actively searching for prime locations within Daegu.
In fact, a significant portion of the real-time searched apartment complexes on Hogangnono (a real estate website) are located in Daegu, and inquiries related to local real estate have surged. This is because the new government's regulatory easing could even trigger a price increase.
Looking at past cases, after the lifting of the regulated area designation in Busan in November 2019, investment demand surged sharply, and sales prices in the region continuously rose.
Following this recent lifting of regulated areas, attention is focusing on unsold premium complexes in Daegu with good locations and high investment value. Among them, inquiries are increasing for ‘Yeongdae Hospital Station Gold Class Central,’ a large-scale complex near a major subway station, currently offering a groundbreaking condition of a 10 million KRW (first installment) contract deposit on a first-come, first-served basis.
‘Yeongdae Hospital Station Gold Class Central’ is located in Daemyeong-dong, Nam-gu, Daegu. This complex consists of four buildings ranging from four basement floors to 47 floors above ground, comprising 660 residential apartments and 171 residential officetels, totaling 831 units in a super high-rise apartment complex. Both the apartments and officetels feature a preferred exclusive area of 84m² for end-users. The project is developed by Jeongin Industrial Development Co., Ltd., and constructed by the experienced top-tier brand Bokwang Construction Co., Ltd.
About 100 meters in a straight line from the complex is Yeongdae Hospital Station on Daegu Metro Line 1, and the complex has easy access to Sincheon-daero and Dalgubeol-daero via Daemyeong-ro and Jungang-daero in front of the complex. Additionally, the Daegu 3rd Ring Road is scheduled to open to the south of the complex, expected to act as a development catalyst.
Another advantage is the panoramic view of Apsan Mountain, along with a park-friendly residential environment close to natural parks such as Apsan Park, Sincheon Riverside Park, and Duryu Park. The area also boasts abundant living infrastructure including Yeungnam University Hospital, Catholic University Hospital, E-World, Homeplus, Myeongdeok Market, and Apsan Cafe Street.
Especially, with multiple urban redevelopment projects planned and underway around this area, including the urban railway loop line, the vicinity including the complex is expected to emerge as a new residential area in Daegu, densely populated with brand-name apartments totaling about 9,000 households.
On the site of the former Camp Walker helicopter pad adjacent to the complex, the Daegu Representative Library will be established. Covering a site area of 14,953m² with a four-story building above ground, it will be the largest library in Daegu, scheduled to open in 2024. The groundbreaking ceremony was held in March, and construction has already begun.
‘Yeongdae Hospital Station Gold Class Central’ is currently accepting contracts on a first-come, first-served basis. A model house is in operation, and detailed information can be found on the official website.
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