"Makoreun Rose Distribution" 74,000 Houses to Be Offered in May

[Asia Economy Reporter Yuri Kim] In May, the peak season for apartment sales, about 74,000 households will be released nationwide. The supply, which was delayed due to the impact of the novel coronavirus infection (COVID-19), and complexes that are starting full-scale sales after the general election are expected to line up. In May, the supply is expected to increase significantly, centered on Seoul and Incheon, where subscription demand is showing a strong trend.

According to Real Estate 114 on the 30th, the number of apartments for sale nationwide in May is expected to increase by more than 79% compared to the same month last year (41,297 households), reaching 74,018 households.

By region, the figures are ▲Gyeonggi (19,114 households) ▲Incheon (11,043 households) ▲Seoul (8,718 households) ▲Daegu (6,229 households) ▲Chungbuk (5,179 households) ▲Gwangju (4,308 households) ▲Busan (3,923 households) ▲Gyeongnam (2,956 households) ▲Chungnam (2,911 households) ▲Ulsan (2,903 households) ▲Jeonbuk (2,103 households) ▲Daejeon (2,045 households) ▲Jeonnam (1,346 households) ▲Gangwon (1,022 households) in order.

The apartment supply in Incheon and Seoul has increased significantly compared to the same period last year, as May marks the peak season and the subscription market continues to show a strong trend. As of April 24 this year, the average first-priority subscription competition rate in the metropolitan area was 43.39 to 1, more than twice that of the provinces (20.62 to 1). Among the 30 apartment complexes supplied in the metropolitan area during the same period, 26 complexes, accounting for 87% of the total, completed first-priority subscriptions (subscription competition rate of 1 to 1 or higher). Due to this influence, the planned supply in May for Incheon and Seoul increased by 10,156 households and 5,898 households respectively compared to the same period last year.

However, it remains to be seen whether all the planned supply in May will be sold. Although May is generally called the peak season for sales, the actual supply in May last year was 41,297 households, compared to the expected 62,581 households. The sales performance was about 66% of the target. Recently, despite the impact of COVID-19, the subscription market continues to show a strong trend, so there is room for improvement in sales performance compared to last year. In fact, the first-priority subscription competition rate in the metropolitan area until April last year was 11.77 to 1, whereas this year, until the 24th, it was 43.39 to 1.

Meanwhile, despite the recent stagnation in the transaction market, the sales market continues to enjoy a 'solo boom.' This is because demand has concentrated due to the preference for new apartments and affordable sale prices. Lim Byung-chul, senior researcher at Real Estate 114, said, "Although the overall housing market is expected to be weak due to the government's strong regulations and the impact of COVID-19, the subscription enthusiasm is expected to continue for the time being, centered on complexes with good location conditions or competitive sale prices."

This content was produced with the assistance of AI translation services.