No-Priority Subscription System Revised
Eligibility Now Limited to Non-Homeowners Only
Stricter Residency Verification to Prevent Fake Applications
The so-called "no-priority subscription," known as 'Jupjup,' will be permitted only for non-homeowners starting today. The government has revised the system to prevent overheated demand, and the new policy has been implemented just four months after its announcement. The catalyst for this change was the "lottery subscription" for Dongtan in Gyeonggi Province, which caused the Cheongyak Home website to crash after more than 2.94 million users tried to access it.
According to the Ministry of Land, Infrastructure and Transport on June 10, the revised "Regulations on Housing Supply," which restrict eligibility for no-priority subscriptions to non-homeowners, goes into effect today.
No-priority subscription is a system that re-offers housing units left over after winning applicants cancel their contracts or when applications fall short of available units. The government had opened this system to homeowners as well in February 2023, but after repeated cases of overheated demand, it tightened the eligibility requirements once again.
Residency requirements are left to the discretion of local governments. Mayors, county heads, and district heads can restrict or allow applications from non-locals based on local circumstances. For example, in Gangdong-gu, Seoul, the district head can limit eligibility to residents of Seoul or the greater metropolitan area. In provincial areas, if competition is low, applications may be opened nationwide.
The first no-priority subscription complex is likely to be "Olympic Park Foreon (Dunchon Jugong)" in Gangdong-gu. The construction company and local government are currently negotiating the supply schedule and conditions. The expected number of units available for no-priority subscription is four, with one unit each of 39, 49, 59, and 84 square meters. In 2023, the subscription prices were about 1 billion won for the 59-square-meter unit and 1.3 billion won for the 84-square-meter unit, but current actual transaction prices range from 2.3 billion won up to 2.75 billion won. Dunchon Jugong, which had opened its doors to homeowners two years ago, is now being converted into a complex exclusively for non-homeowners.
The verification process for actual residence will also be strengthened starting today. This is to prevent fake address registrations aimed at increasing subscription points. From now on, in addition to resident registration, applicants will be required to submit records such as hospital treatment and pharmacy usage from health insurance benefit statements. For direct ascendants, documents from the past three years are required, and for direct descendants aged 30 or older, documents from the past year must be provided.
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