Recently, as the burden of housing funds has increased due to continuous rises in sale prices and interest rate hikes, complexes that enhance price competitiveness with reasonable prices are attracting attention.
According to the Housing & Urban Guarantee Corporation (HUG), as of the end of January 2023, the average sale price per 3.3㎡ of apartments nationwide was 15,715,000 KRW, marking the highest price in the past five years. This is the highest amount since January 2018 (10,362,000 KRW), representing an increase of about 52% over five years. In particular, the average sale price per 3.3㎡ in the Seoul, Incheon, and Gyeonggi metropolitan area was 21,496,000 KRW, up about 44% compared to five years ago (15,180,000 KRW).
Interest rate hikes are also ongoing. On January 13, the Bank of Korea raised the base rate by 0.25%, setting the base rate at 3.50% from the previous 3.25% per annum.
Moreover, as concerns over unsold units grow due to the recent contraction in the sale market, local governments are adjusting supply speeds, and construction companies are postponing sale schedules, increasing worries about supply shortages. Accordingly, with a shortage of new apartment supply, there is a possibility that apartment prices may rise further in the future, drawing the attention of buyers to complexes with reasonable sale prices.
An industry insider stated, “With the overall increase in sale costs due to rising interest rates and soaring construction costs, a rise in sale prices is inevitable,” adding, “In the metropolitan area, it is a wise decision to secure complexes that enhance price competitiveness by setting reasonable sale prices in locations with excellent transportation.”
Amid this, a complex offering a low price of around 9 million KRW per pyeong (some types) has been introduced, attracting attention. ‘Seoknam Misojeum,’ located in Seoknam-dong, Seo-gu, Incheon, is the main subject. Experts evaluate that it is 20-30% cheaper compared to surrounding market prices, making future capital gains expected.
‘Seoknam Misojeum’ is being developed in Seoknam-dong, Seo-gu, Incheon Metropolitan City, consisting of 10 buildings from 2 basement floors to 34 above-ground floors, with a total of 954 households ranging from 52 to 74㎡ in exclusive area. By exclusive area, it will be composed mainly of six types of small to medium-sized units: ▲52㎡A 23 units ▲59㎡A 49 units ▲59㎡B 130 units ▲59㎡C 286 units ▲74㎡A 339 units ▲74㎡B 127 units.
The transportation environment is also excellent. Incheon Metro Line 2’s Seobu Women’s Hall Station is a 1-minute walk away, and Seoknam Station, where transfers to Seoul Subway Line 7 are possible, is nearby. The Line 7 Cheongna extension project, which extends the section from Seoknam Station to Airport Railroad Cheongna International City Station (10.77 km), is scheduled to open in 2027.
Access to the Gyeongin Expressway by car is also convenient, facilitating easy travel to Seoul and other regions. Additionally, with the preliminary feasibility study passed last December for the undergrounding project of Incheon-daero, the transportation environment is expected to improve further. This project involves constructing a 4.53 km long, four-lane underground road on Incheon-daero (from Gongdan Overpass to Seo Incheon IC), with a total project cost of 504.1 billion KRW, scheduled for completion in 2027.
‘Seoknam Misojeum’ also boasts a school district location. Numerous elementary, middle, and high schools such as Geonji Elementary, Cheonma Elementary, Seoknam Elementary & Middle, Gajwa Middle & High, Incheon Health High, and Garam High are adjacent to the complex, and a daycare center is planned within the complex, providing satisfactory conditions for parents concerned about their children’s education. In addition, nearby convenience facilities such as Homeplus and Geobuk Market are easily accessible.
The internal product quality is also excellent. All types are mainly small to medium-sized units preferred by consumers, and some units are designed with 4-bay layouts, pantries, and movable walls to maximize convenience for residents.
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