Including Post-Sale Complexes, Public Rental Housing, and Youth Safe Housing
The Seoul Metropolitan Government will standardize its indicators for disclosing the volume of new housing supply with Real Estate R114. The figures to be announced will include not only general pre-sale units, but also post-sale complexes, public rental housing, and youth safe housing.
On June 1, the Seoul Metropolitan Government announced that it would improve the criteria for calculating the expected supply of new apartments, in consultation with the real estate information company Real Estate R114, and standardize the indicators for disclosing the expected supply volume.
The volume of expected apartment supply announced by the Seoul Metropolitan Government and the Korea Real Estate Board, as well as the expected supply calculated by Real Estate R114's proprietary system (REPS 4.0), will now be calculated and disclosed using the same criteria.
Real Estate R114 previously focused on general pre-sale complexes when calculating supply, which sometimes led to the omission of post-sale complexes, youth safe housing, and public rental housing. The Seoul Metropolitan Government determined that this could create a false impression of a housing supply shortage in the market, as the actual supply was undercounted, and therefore requested improvements.
Since April, Real Estate R114 has improved its calculation criteria to include youth safe housing, post-sale units, and some small-scale redevelopment projects in the total supply figures. Starting from the data released in May, it was confirmed that the supply volume matched that announced by the Seoul Metropolitan Government.
The city expects that improving the criteria for calculating supply will reduce public confusion caused by differences in supply figures between the public and private sectors. It also believes that this will enhance the public nature and reliability of housing supply information and help actual homebuyers make more informed decisions.
Choi Jinseok, Director of Housing at the Seoul Metropolitan Government, stated, "We have continuously worked to improve the situation, driven by the determination that the undercounting of supply by some companies, which has unnecessarily heightened concerns about supply, must be addressed. Standardizing disclosure indicators will provide citizens with more accurate and reliable real estate information, help them make decisions related to the housing market, and contribute to greater transparency of market information."
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
