Emerging as a New Keyword in the Sale Market of 'Minkan Imdae Apartments'

Shin Asan Moa Elga Vista Phase 2 Perspective Rendering

[Asia Economy Reporter Ryu Tae-min] Recently, as it has become more difficult to purchase a home and the jeonse (long-term deposit lease) crisis continues, consumer interest in private rental apartments, considered an alternative housing option, is increasing. The impact of the implementation of the two lease laws has caused jeonse prices in provincial areas to rise significantly, highlighting the advantages of private rental apartments, which offer stable residence for eight years at relatively affordable prices.

According to the real estate industry on the 26th, competition rates for private rental apartment subscriptions have been rising recently. ‘Shin Asan Moa Elga Vista Phase 2’ in Asan-si, Chungcheongnam-do, which completed subscription applications on the 21st, received 186,358 applications for 998 units, recording an average competition rate of 186.73 to 1. The highest competition rate was for the 84㎡ exclusive area type, which attracted 143,092 applications for 368 units, resulting in a competition rate of 388.84 to 1.

Also, ‘Suncheon Daekwang Rosebiang River Palace,’ supplied in Suncheon-si, Jeollanam-do in November last year, limited subscription eligibility to residents of Suncheon-si, Gwangju, and Jeonnam regions, yet received a total of 68,565 applications, showing an average competition rate of 94.31 to 1.

The reason subscription applicants are flocking to private rental apartments is understood to be because they can live for a long period at a reasonable price and, in particular, maintain their status as non-homeowners while aiming to own a home in a new apartment.

Anyone can apply regardless of whether they have a subscription savings account or own a house, lowering the entry barrier. Recently, the product quality has improved significantly, attracting attention for its excellent features comparable to sale apartments, which is also cited as a reason for its popularity.

An industry official said, “Private rental apartments allow long-term residence for eight years without worrying about moving, and there are no concerns about taxes such as acquisition tax and property tax related to home ownership, making them highly popular among consumers with limited financial capacity.” He added, “Since the deposit and rent are reasonably set compared to surrounding market prices and conversion to sale is possible later, the popularity is expected to continue for the time being.”

Accordingly, interest is also gathering for newly supplied private rental apartments.

Moa Construction Industry and Hyerim Construction are conducting official contracts until the 27th for ‘Shin Asan Moa Elga Vista Phase 2,’ supplied in Namseong-ri 158-1, Sinchang-myeon, Asan-si, Chungcheongnam-do. They lowered the initial financial burden by offering a fixed first installment of 5 million KRW and interest-free intermediate payments. Also, loans up to 80% of the jeonse deposit are available through financial institutions. The complex consists of 10 buildings from basement level 2 to ground level 27, with a total of 998 private rental apartment units ranging from 59 to 84㎡ exclusive area. Together with the first phase’s 922 units, a large complex of 1,920 units is being developed. Publicly supported private rental housing is also supplied, allowing anyone aged 19 or older who is a non-homeowner household member to apply regardless of subscription savings account status or residence.

Woomi Construction plans to supply ‘Paju Unjeong New Town Woomirin The Part,’ a publicly supported private rental housing, in April at block A15 of Unjeong 3 District, Paju, Gyeonggi-do. The complex will have 846 units ranging from 59 to 84㎡ exclusive area, from basement level 1 to ground level 28. It will be supplied as a post-sale complex with move-in scheduled for August.

Jungheung Construction opened a cyber housing exhibition hall on the 26th and started supply for ‘Goyang Deok-eun Jungheung S-Class Park City.’ The complex will be located in block A2 of Deok-eun Urban Development Zone, Goyang-si, Gyeonggi-do, consisting of 12 buildings from basement level 3 to a maximum of 22 floors, with a total of 894 units ranging from 59 to 84㎡ exclusive area. Among them, 391 units of 59㎡ exclusive area will be offered as publicly supported private rental housing.

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