Delaying Cash Settlement Sparks 474 Speculation Cases in 2 Weeks... Fluctuating Policies Fueled the Fire

474 Transactions of Public Redevelopment Candidate Sites in 2 Weeks
Concentrated Activity in Jungnang-gu, Seoul and Bupyeong, Incheon
Exclusion from District Designation... Concerns Over 2.4 Measures Setback

[Asia Economy Reporter Ryu Tae-min] It has been confirmed that nearly 500 housing transactions were concentrated within just two weeks in the candidate sites for the urban public housing complex project (public housing project), a core measure of the 2·4 Supply Plan, after the ruling party and government changed the cash settlement reference date. Reversing the reference date intended to block speculation has effectively opened the door to speculation. Since the ruling party and government themselves announced that they would revoke the designation of the district if collective speculation occurs, there are concerns that the 2·4 real estate supply plan could falter.

On the 30th, Asia Economy analyzed the Ministry of Land, Infrastructure and Transport's actual transaction price disclosure system and found that from the 15th to the 29th of this month, a total of 474 housing sales with completed ownership transfers occurred nationwide in the candidate sites for the urban public housing complex project. The National Assembly Land, Infrastructure and Transport Committee amended the 'Special Act on Public Housing' on the 18th, changing the reference date for granting occupancy rights within the public housing project candidate sites from the original 'February 5' to the 'date of the National Assembly plenary session resolution.' As a result, with the passage of the follow-up bills to the 2·4 plan at the plenary session on the 29th, those who acquired real estate within the public housing project candidate sites by that day effectively became eligible for apartment occupancy rights.

By candidate site, the 4th candidate sites, including Jungnang-gu in Seoul and Bupyeong and Michuhol-gu in Incheon, recorded the highest number of transactions at 177. In particular, in Sipjeong-dong, Bupyeong-gu, Incheon, one of the 4th candidate sites, there were 69 housing transactions during the period. This is unusual for transactions involving old houses rather than apartments.

In the 1st candidate sites, including Dobong, Eunpyeong, and Yeongdeungpo-gu in Seoul, 152 transactions took place, while the 5th candidate sites in Seodaemun-gu, Seoul, and Bucheon-si, Gyeonggi Province saw 74 transactions, and the 2nd candidate sites in Gangbuk and Dongdaemun-gu, Seoul, recorded 64 transactions. However, transactions in the 3rd candidate sites around Busan and Daegu were limited to 7.

With hundreds of housing sales occurring within two weeks, voices are emerging that overlooking the influx of speculative demand has increased distrust in the housing supply plan. Song Seung-hyun, head of Urban and Economy, said, "Changing the cash settlement reference date has lowered trust in the policy," adding, "There is concern that this could cause setbacks in implementing the supply plan."

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