Attractive Residential Niche Products in the Seoul Metropolitan Area Without Worrying About Subscription Points

[Asia Economy Reporter Donghyun Choi] As apartment subscription competition rates soar, niche products that can be purchased regardless of subscription points are gaining attention. Urban lifestyle housing, officetels, residential lodging facilities, and private rentals are representative examples. These are differentiated with designs that can effectively serve as alternatives to apartments, attracting the attention of the 30s and 40s generation who are moving away from winning apartment subscriptions.

On the 30th, real estate market analysis firm Real Estate Info analyzed apartment subscription competition rates and found that all 28 sites launched in Seoul this year up to this month were closed at the first priority subscription. The number of subscription applications reached about 430,000, with an average competition rate of 67.8 to 1. In Gyeonggi Province, about 670,000 applications were received for first priority subscriptions, with an average competition rate of 25.1 to 1, making it fierce. Compared to last year, competition rates doubled in Seoul and more than quadrupled in Gyeonggi Province.

Due to these high competition rates, recently there has been a surge in popularity for real estate that can be purchased by lottery without a subscription savings account. Eligibility for subscription is granted to anyone aged 19 or older regardless of residence. The Loan-to-Value ratio (LTV) is also higher than that of apartments. Except for officetels with more than 100 units in regulated areas, resale of pre-sale rights is also free.

In fact, the ‘Hillstate Uijeongbu Station’ officetel supplied by Hyundai Engineering in Uijeongbu City last June received 8,702 applications for a total of 60 units, recording an average competition rate of 145 to 1. The residential lodging facility ‘Pyeongchon Prugio Central Park’ supplied by Daewoo Construction in Anyang in August also received 66,704 applications for a total of 552 units, recording an average competition rate of 121 to 1 and was ‘sold out.’ The corporate rental apartment ‘Shin Gwanggyo Jeil Punggyeongchae’ supplied in June also completed supply in a short period.

Recently, many residential products are either in the process of being supplied or are about to open subscriptions. ‘Gimpo Hangang New Town Beomyang Reus La Seine’ terrace townhouses constructed by Beomyang Geonyeong in Janggi-dong, Gimpo, Gyeonggi Province opened a cyber model house and started sales on the 26th. It consists of 286 households with an exclusive area of 84㎡. In Yeonsu-gu, Incheon, Hyundai Construction is constructing and Korea Asset Trust is implementing (entrusted to Goryeo Asset Development) ‘Hillstate Songdo Stay Edition,’ which is currently being supplied. It consists of 608 units ranging from 77 to 191㎡.

In Guro-gu, Seoul, ‘Guro Yemiji Urban Core’ constructed by Geumseong Baekjo Construction is scheduled for supply in September. It consists of 490 units ranging from 19 to 23㎡. Hyundai Engineering will also launch the ‘Hillstate Jigeum De Foret’ officetel in Dasan New Town, Namyangju, in the same month. A total of 840 units ranging from 47 to 58㎡ will be supplied.

Kwon Il, head of the research team at Real Estate Info, said, “For popular apartments, it is practically impossible for people in their 30s who are disadvantaged in terms of non-homeownership period and number of dependents to win subscriptions, so the tendency for these demands to flock to residential products that can be won regardless of points will become stronger.” He added, “However, since acquisition taxes vary by product and residential lodging facilities cannot expand balconies, which is different from apartments, it is necessary to carefully examine before purchasing.”

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