Low Competition Rate in 'Deok-eun Xi' Due to High Sale Prices

DMC Riverfore Ja-i·Park Ja-i
First Priority Recorded 5:1 and 3.5:1 Respectively
Additional Subscription Needed for Some Housing Types
Over 900 Million Won at 2.11:1...Lowest in Private Sector

[Asia Economy Reporter Choi Dong-hyun] The 'DMC Riverfore Xi' and 'DMC Riverpark Xi' in Deok-eun District, Goyang-si, Gyeonggi Province, which faced controversy over high sale prices, received applications from 2,464 applicants for a total of 621 units in the first priority subscription for local residents. However, some housing types did not meet the 300% reserve winner ratio relative to the number of units, leading to additional subscriptions being accepted from applicants residing in other areas.

According to the Korea Real Estate Agency's subscription homepage on the 7th, DMC Riverfore Xi, which accepted general subscriptions the previous day, recorded an average competition rate of 5 to 1 with 930 applicants for 186 units. DMC Riverpark Xi saw 1,534 applicants for 435 units, showing an average competition rate of 3.5 to 1. The highest competition rate was for the 84㎡ (exclusive area) A-type of DMC Riverfore Xi, with 464 applicants for 70 units, resulting in a 6.53 to 1 competition rate.

Although the number of applicants exceeded the supply units across all housing types, some types closed subscriptions within the priority ranking but accepted additional subscriptions from first-priority applicants in other regions. This is due to regulations requiring additional subscriptions if the reserve winner ratio falls below 300%. For DMC Riverpark Xi, the 84㎡B, 84㎡C, and 99㎡ types did not meet the reserve winner quota, and for DMC Riverfore Xi, the 84㎡C, 84㎡D, and 84㎡E types fell short. Notably, the 99㎡ unit of Riverpark Xi, priced above 900 million KRW and subject to restrictions on interim payment loans, recorded the lowest subscription competition rate of 2.11 to 1 with 245 applicants for 116 units. This is the lowest subscription performance among private complexes in Deok-eun District, Goyang. Deok-eun District faces Seoul's Sangam District across Gayang-daero, so although administratively part of Goyang-si, it is effectively classified as part of the Seoul metropolitan area.

Despite the excellent location of the two complexes, the average competition rate remaining in the single digits is interpreted as a burden caused by the high sale prices. This contrasts with the recent double-digit subscription competition rates recorded in outer metropolitan areas.

The average sale price per 3.3㎡ is 25.83 million KRW for DMC Riverpark Xi and 26.30 million KRW for DMC Riverfore Xi. This is about 8 million KRW more expensive per 3.3㎡ than apartments sold last year in Deok-eun District. The sale prices are even higher than those of recently sold Seoul properties such as 'Hoban Summit Mokdong' and Gwacheon’s 'Jade Xi,' sparking controversy over high sale prices. As criticisms arose that the land supply method in urban development projects encouraged such high prices, the Ministry of Land, Infrastructure and Transport began preparing countermeasures.

GS Construction will accept first-priority subscriptions from other regions on the 7th for housing types that did not meet the reserve winner quota. The announcement dates for the two complexes are the 14th and 15th respectively, allowing for overlapping subscriptions.

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