About 300,000 Fewer Account Holders Last Year
However, Decline Slows for Second Consecutive Year as Second-Priority Subscribers Increase
Last year, the number of housing subscription savings account holders decreased by more than 300,000, marking the fourth consecutive year of decline since 2022.
According to data compiled by the Korea Real Estate Board as of the end of last year, the total number of subscribers to all types of housing subscription savings accounts (▲Comprehensive Housing Subscription Savings ▲Subscription Deposit ▲Subscription Installment Savings ▲Subscription Savings) stood at 26,184,107, a decrease of 301,116 (1.1%) compared to the end of the previous year (26,485,223).
The number of housing subscription account holders has been on a downward trend for four consecutive years since 2022. After peaking at 28,599,279 in June 2022 due to increased demand for subscriptions amid soaring housing prices and the introduction of government-backed youth-preferred accounts, the figure has gradually declined, dropping by more than 2.4 million by the end of last year. Analysts attribute this to several factors: a sharp drop in housing prices following interest rate hikes in 2022, a widening gap between commercial bank interest rates and housing subscription account rates, rising pre-sale prices, and the expansion of the points-based system, all of which have led more subscribers to give up on applying for new homes.
In addition, there is analysis that the decrease in account holders was also influenced by intensified competition for points in popular areas subject to price caps, such as Gangnam in Seoul, which has lowered the winning chances even for long-term non-homeowners. For example, in 2023, the winning point scores for subscriptions at “Banpo Raemian Trinity One” in Banpo-dong, Seocho-gu, Seoul, as well as “Jamsil Le El” and “Banpo One Pentas,” exceeded the perfect score of 69 points for a four-person household, reaching 70 points or higher. In the case of Jamsil Le El, there was even an account with a score of 84 points.
However, the rate of decline has slowed for two consecutive years. This is attributed to institutional changes such as the increased annual income deduction limit for housing subscription accounts (3 million won per year) and the expansion of special supply benefits for newlywed couples upon childbirth, which led to an increase in second-priority subscribers. As of the end of last year, the number of first-priority subscribers stood at 17,055,826, a decrease of 589,941 compared to the previous year (17,645,767). In contrast, the number of second-priority subscribers increased by 288,825, from 8,839,456 to 9,128,281.
By type, the number of subscribers to the Comprehensive Housing Subscription Savings account, which is open to new enrollments, was 24,978,172 at the end of last year, a decrease of 194,001 from the previous year (25,172,173). Among these, first-priority subscribers decreased by 485,531, while second-priority subscribers increased by 291,053, showing opposite trends.
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