79.5% of Successful Applicants Last Year Were in Their 30s and 40s
3040 Generation with School-Age Children Prefers School Zones
Safe Commuting Environment Established Near Schools
It has been revealed that 8 out of 10 successful applicants in the housing subscription market belong to the 30-40 age group. As the 30-40 generation with school-age children firmly establishes itself as the core demand group in the subscription market, the popularity of 'Haksegwon' complexes?residential areas with safe school commuting environments?is soaring.
According to the age-specific subscription winner data from the Korea Real Estate Board on the 20th, among last year's 30-60 age group subscription winners (110,148 people), about 79.5% (87,617 people) were aged 30-40. Winners aged 50-60 (22,531 people) accounted for 25.7%, making the number of 30-40 winners roughly three times higher.
By generation, those in their 30s (57,307 people) made up 52.0% of the total, more than half, followed by those in their 40s (30,310 people) at 27.5%. Those in their 50s (15,079 people) accounted for 13.7%, and those in their 60s (7,452 people) 6.8%.
As the 30-40 generation emerges as the main demand group in the sales market, complexes near schools are also gaining attention in the subscription market. According to Real Estate R114, all of the top 10 complexes with the highest first-priority competition rates in the first quarter of this year (January to March) are located within walking distance of schools. The Maple Xi, ranked first, is near Wanchon Elementary and Wanchon Middle Schools. The ‘Daegu Beomeo I-Park (15.3 to 1)’, which recorded a double-digit competition rate unusually high for Daegu, is close to prestigious school districts such as Dongsan Elementary, Dongdo Elementary, and Hwanggeum Middle Schools.
The popularity of Haksegwon is also reflected in sales prices. The 'Chuncheon Central Tower Prugio' located in Chuncheon, Gangwon Province, was traded at 800 million KRW for an 84㎡ unit in February. The sales price was 600 million KRW in June 2022, right after move-in, rising by 200 million KRW in just 1 year and 8 months. This complex is densely surrounded by prestigious local schools such as Chuncheon High School, Chuncheon Elementary and Middle Schools, Namchuncheon Elementary and Middle Schools, Namchuncheon Girls' Middle School, and Chuncheon National University of Education-affiliated Elementary School.
The reason why 30-40 generation buyers with young children prefer Haksegwon is due to various childcare facilities and the proximity to schools, which provide a safe commuting environment for their children. When a school is located near a complex, it is difficult for harmful facilities to be established nearby. Residents can enjoy a more pleasant living environment, increasing the value of actual residence.
The popularity of Haksegwon complexes is expected to continue in the future. According to a survey by Real Estate R114 on 'consumer perceptions regarding home ownership,' the most important location factor when choosing a living space was 'educational environment' (29.73%). This was followed by transportation (25.13%), residential comfort (21.21%), and convenience facilities (15.16%).
Industry experts said, "Since Haksegwon complexes lead the core demand group in the sales market, their popularity is expected to continue. Based on solid demand, future value appreciation of these complexes can also be anticipated, so buyers planning to purchase a home within the year should pay close attention to complexes near schools."
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