Warm Winds in the Capital, Cold Fronts in the Provinces... Apartment Subscription Market Polarization Intensifies

Tens of thousands of people applied for subscriptions to new apartments in Dongtan, Hwaseong, Gyeonggi Province. In Seoul, a newly supplied complex also attracted thousands of applicants, resulting in a double-digit competition rate. In contrast, new apartment subscriptions in provincial areas saw very few applicants, highlighting a stark contrast.

According to data from Korea Real Estate Board's Cheongyak Home, on May 20, 17,175 people applied for 283 units of the Dongtan Forepark Jayeon&Prugio public housing in the first-round subscription. The average competition rate stood at 60.7 to 1. In the special supply application held the previous day, the competition rate also exceeded 10 to 1.

For 351 units supplied as private housing in mid- to large-sized layouts, 26,372 people applied, recording a competition rate of 75.1 to 1. Similarly, the special supply application the previous day also saw a double-digit competition rate. On the same day, the Dongtan Kkumui Sup Jayeon&Daesang complex received 11,136 applications for 294 units, resulting in a 37.9 to 1 competition rate. Industry experts believe demand surged because the sale price was about 100 million won lower than the surrounding market prices.

Hillsstate Mediale bird's-eye view. Provided by Hyundai Construction

Gocheok Prugio Hillsstate, newly supplied in Seoul after a long time, also recorded a double-digit competition rate in the first-round subscription. For 262 units, 3,543 people applied, resulting in a 13.5 to 1 competition rate. The Eunpyeong Daejo 1 District reconstruction complex, Hillsstate Mediale, saw 2,408 applicants for 218 units. Although some considered the sale price to be high, the significant number of applicants suggests that the contract process will likely proceed smoothly.

In provincial areas, the continued real estate market slump has led to an accumulation of unsold units, resulting in lackluster subscription results. For the Uiseong Lexium Apartments supplied in Uiseong, North Gyeongsang Province, there were no applicants in the special supply application the previous day, and only one application was received in the first-round subscription on this day. The complex has a total of 90 new apartment units.

For Venture Valley Prugio, built by Daewoo Construction in Daegu, only 10 people applied for 540 units in the first-round subscription. Similarly, there were no applications in the special supply the previous day. The Daegu and North Gyeongsang region is cited as the area with the highest number of unsold units nationwide.