"Only 6 Units for General Supply Out of Hundreds?" LH 'Needle's Eye' Public Housing Frustration [Real Estate AtoZ]

Over 80% of Total Supply Allocated to Pre-Subscription and Special Categories
Only 6 Units for General Supply Out of 251 in Guri Galmae A4
Communities Voice Outrage: "A Token Gesture That Insults Homeless Applicants"
More Than 12,000 Out of 29,00

Korea Land and Housing Corporation (LH) has launched large-scale public housing offerings at the start of the year, but opportunities for homeless individuals to apply remain extremely limited. This is because over 80% of the total units to be supplied in the Seoul metropolitan area this month have already been allocated to pre-application winners and special supply categories. The pre-application system, once referred to as the "supply of supply," is now being criticized for creating the illusion of increased supply while revealing its drawbacks.

Only '4 to 6 Units' for General Supply... Complaints of "Token Gesture"

A4 Block Bird's-Eye View of Guri Galmae Station Area. Only 6 units out of a total of 251 households are available for general supply. LH.

According to LH on January 6, a total of 1,291 units will be supplied this month in Namyangju Jinjeop 2, Guri Galmae Station Area, and Gimpo Gochon 2 District. However, after excluding pre-application units (665 units) and special supply (409 units), only 217 units remain for general supply. This accounts for just 16.8% of the total.

Looking at the specific supply status by complex: For the public sale Namyangju Jinjeop 2 B1 Block, 84㎡ units, only 4 out of 54 units are available for general supply, with the rest allocated to pre-applications (35 units) and special supply (15 units). For the 74㎡ type, only 15 out of 206 units are available for general supply. In the Namyangju Jinjeop 2 A3 Block, supplied as a Newlywed Hope Town, nearly half (92 units) of the total 208 units are allocated to pre-applications.

For the Guri Galmae Station Area A4 public sale, 59㎡ units, pre-application (189 units) and special supply (56 units) account for the vast majority of the 251 units. Only 6 units (2.3%) are available for general supply. For the 6-year conversion public rental units in Guri Galmae A4, only 5 out of 201 units are available for general supply. In the January supply, Gimpo Gochon 2 District, which is the most outlying area, has no pre-application units, so 71 out of 262 units are allocated for general supply.

The 'Boomerang of Pre-Applications' Will Continue Throughout the Year 

Public housing sales are considered an important means for homeless individuals to own a home. The sale price for the 59㎡ units in Guri Galmae A4 Block is around 500 million won, which is several hundred million won cheaper than new apartments in the area. However, due to the dismal number of general supply units, real estate communities are expressing frustration, saying, "There is no point in waiting so long," and "If only a handful of units out of hundreds are available for general supply, isn't this just a token gesture?"

This supply illusion is expected to persist throughout the year. The drawbacks of the pre-application system, implemented during the Moon Jae-in administration, are now coming back as a boomerang to current home seekers as the main application period begins. The Ministry of Land, Infrastructure and Transport is planning a total of 29,000 public housing units this year. Of these, more than 12,000 units-about 40%-have already been allocated through pre-applications.

An official from the Ministry of Land, Infrastructure and Transport said, "Many pre-application winners either give up their rights or are found ineligible during the main application process," and added, "Taking into account these forfeited units, more than 20,000 units could become available for new applicants this year." The official explained that the general supply figures listed in the tenant notices represent the minimum.

However, in highly sought-after areas like Guri or Namyangju, the likelihood of pre-application winners giving up their rights is low. A real estate expert commented, "The government's optimistic outlook, relying on forfeited units, is insufficient to resolve the severe shortage of available units on the ground," and added, "This situation, caused by a poorly designed system in the past, will likely continue into next year."