Seoul Subscription Winning Score Drops from Average 62 to 44
Top Large Complex Subscription Scores Also at 47-48 Points
"Cutoff Will Be Higher for Areas Eligible for Mid-term Loan"
The Dunchon Jugong union and the construction business group have agreed on 8 out of 9 major issues. The 8 agreed clauses are ▲ re-verification of the existing construction cost increase ▲ review of the sale price ▲ general sales and union member sales ▲ design and contract changes ▲ verification ▲ general meeting resolution ▲ resumption of construction ▲ effectiveness of the agreement and responsibility in case of violation. However, since there is a disagreement regarding the commercial dispute, more time is expected before construction can resume. A view of the Dunchon Jugong reconstruction site in Gangdong-gu, Seoul, on the 7th. Photo by Moon Honam munonam@
[Asia Economy Reporter Kim Hyemin] This year, as the enthusiasm for subscription in Seoul has cooled down, the winning score has also significantly dropped. Even large apartment complexes from top-tier construction brands have seen winning scores remain in the 40-point range, and there have been cases where the popular 국민평형 (standard apartment size) had winning scores in the 10-point range.
According to Real Estate R114 on the 24th, the average winning score for apartments sold in Seoul this year was 44 points. This is a significant decrease compared to the previous year's average of 62 points. Although it remains the highest nationwide, the decline was also substantial. The average subscription competition rate fell from 164.1 to 1 to 26.4 to 1.
Market attention is focused on Dunchon Jugong (Olympic Park Foreon) in Gangdong-gu, considered a major release at the end of the year. Subscription waiters who had delayed entry are now deeply contemplating whether their subscription scores are within the winning range.
A barometer is the recently sold Dunchon The Sharp Park Soleil Yu nearby. In the first-priority subscription for 53 households, this complex recorded an average competition rate of 15.7 to 1, and the average winning scores for all 10 types did not exceed 65 points. The lowest winning score cutoff was calculated at an average of 47.4 points. The market rule that the higher the competition rate, the higher the winning score also applied here.
Additionally, the recently received subscription for River Sen SK View Lotte Castle in Jungnang-gu, despite being a large apartment complex from a top-tier construction company, saw successful subscriptions with low scores in the 10s and 30s for the exclusive area of 84㎡. The winning cutoff scores for types 84B and 84C were 34 points and 18 points, respectively. The 84㎡ 국민평형, usually the most preferred size, appears to have been affected by the mid-term loan. The government raised the mid-term loan standard from 900 million KRW to 1.2 billion KRW, but this complex was excluded from the application due to the timing of the sale. The sale price for the 84㎡ in this complex exceeds 900 million KRW.
Experts believe that the recent subscription market trend is likely to similarly affect Dunchon Jugong. Kyunghee Yeo, senior researcher at Real Estate R114, said, "Considering that many waiters have been waiting for Dunchon Jugong, the competition rate and winning cutoff for small-sized units with mid-term loans or 59㎡ units may be somewhat higher than those complexes. However, for other sizes, winning can be expected based on the average winning score. Since a large supply is expected next year as well, it will not be easy to have perfect score accounts even at Dunchon Jugong," she predicted.
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