Reducing the Burden of Homeownership and Greatly Increasing Future Value: ‘ePyeonhanSesang City Hangdong Marina’ for Sale

- Soaring Raw Material Prices and Financial Costs... Ultimately Passed on to Sale Prices, Causing Consumer Harm
- Office-tels Offering Mid-term Interest-Free Benefits to Minimize Financial Burden and Embrace High Future Value Appear

As prices for construction raw materials and benchmark interest rates have surged sharply this year, a sense of crisis is spreading in the pre-sale market. The higher these costs rise, the greater the likelihood that the burden will be passed on to pre-sale prices. Ultimately, the damage caused by rising pre-sale prices inevitably falls on consumers.

This phenomenon does not seem likely to end in the short term. The prolonged Ukraine crisis shows no signs of improvement in the global raw materials market. On top of that, soaring exchange rates are further fueling the rise in raw material prices.

Moreover, as countries worldwide implement tightening policies to address severe inflation issues, the high interest rate trend is expected to continue for the time being. The benchmark interest rate, which was only 0.5% in the first half of last year, has now soared to 3.0%. Furthermore, the Bank of Korea has effectively signaled a big step (a 0.5%p increase in the benchmark interest rate) for next month.

Regardless of the real estate market conditions, pre-sale prices are on an upward curve, making it increasingly difficult for actual buyers to secure their own homes. To make matters worse, if the pre-sale market shrinks, the supply of new housing (including officetels) may also decrease, potentially causing supply-demand imbalances.

Amid this, DL E&C (DL E&C) is attracting the attention of actual buyers with its ‘e-Pyeonhansesang City Hangdong Marina’ being built in the Hangdong area of Jung-gu, Incheon. ‘e-Pyeonhansesang City Hangdong Marina’ is a residential officetel complex consisting of four buildings, ranging from three basement floors to 39 floors above ground, with a total of 592 units, each with a net area of 82㎡.

This officetel offers a fixed first installment payment benefit of 10 million KRW, significantly reducing the initial cost burden. It also provides interest-free benefits on intermediate payments to alleviate the increased interest cost burden caused by the rise in benchmark interest rates. Considering that mortgage loan interest rates have recently surged toward the upper 8% range, the financial cost reduction effect is expected to be even greater than before. Additionally, ‘e-Pyeonhansesang City Hangdong Marina’ is not subject to the DSR (Debt Service Ratio) stage 3 regulations, making it relatively free from loan restrictions.

In some cases, ‘e-Pyeonhansesang City Hangdong Marina’ can also significantly reduce tax burdens. Since the officetel pre-sale rights do not have a fixed purpose (residential or business use) until actual use after acquisition, they are excluded from the housing count. The acquisition tax imposed when purchasing an officetel is fixed at 4.6%, regardless of the number of houses owned, which can also ease the tax burden for multi-homeowners.

Furthermore, ‘e-Pyeonhansesang City Hangdong Marina’ is located within the port redevelopment project area of Incheon Inner Port, currently being promoted by Jemulpo Renaissance, so improvements in residential conditions due to development can be expected.

In particular, the Hangdong area of Jung-gu, Incheon, where the complex is being built, has seen no residential complex supply since 1990, and the nearby Sinheung-dong (1-ga, 2-ga, 3-ga) has only had five residential complexes built since 2000, making it a supply-scarce area. Therefore, ‘e-Pyeonhansesang City Hangdong Marina’ is expected to establish itself as a complex that satisfies the homeownership desires of local demand.

‘e-Pyeonhansesang City Hangdong Marina’ will be constructed as a residential officetel incorporating DL E&C’s unique technology, product development, design, and philosophy. It will feature a 4-bay plate-type layout (except for some units), which is rarely found in officetels, and a high ceiling design that maximizes openness. With a top floor at the 39th level, some units will even offer views of the Incheon sea.

The complex is conveniently located near educational facilities such as Sinseon Elementary School, Sinheung Middle School, and Sinheung Girls’ Middle School, as well as amenities including Inha University Hospital, E-Mart, Homeplus, a cultural center, and a sports center. Residents can also enjoy leisure activities in waterfront natural environments like Wolmi Theme Park, Saint Petersburg Square, and Namhang Neighborhood Park.

It also boasts excellent commuting conditions to places such as Incheon Main Customs, Incheon Regional Public Procurement Service, Incheon Regional Maritime Affairs and Fisheries Office, and Jung-gu Office of Incheon. Access to industrial complexes like CJ CheilJedang, Hyundai Doosan Infracore, Hyundai Steel, Dongkuk Steel, Incheon General Industrial Complex, and Juan National Industrial Complex is also convenient.

A bus stop with nine routes is adjacent to the complex, and residents can use Sungui Station on the Suin-Bundang Line, as well as Incheon Station and Dongincheon Station on Seoul Subway Line 1. In the future, the Bupyeong Coastal Pier Line tram route is planned, which is expected to further improve transportation conditions.

‘e-Pyeonhansesang City Hangdong Marina’ is currently operating a housing exhibition hall. Customers who find it difficult to visit the exhibition hall can access the ‘Cyber Housing Exhibition Hall’ on the official website to obtain pre-sale information anytime and anywhere.