Fired-up Auction Market... Incheon Apartment Winning Bid Rate Hits Record High of 118.5%
[Asia Economy Reporter Ryu Tae-min] Amid the recent continued rise in housing prices, auction prices for apartments in Incheon have also set a record high winning bid rate.
According to the 'July 2021 Auction Trend Report' released on the 9th by Gigi Auction, a specialized court auction company, the winning bid rate for Incheon apartments last month was recorded at 118.5%. This is the highest figure in Incheon since statistics began to be compiled in 2001. The winning bid rate for Incheon apartments has sharply increased over three months starting from May this year (106.7% → 108.2% → 118.5%). The winning bid rate refers to the ratio of the winning bid price to the appraised value.
Incheon has raised expectations due to continuous improvements in transportation networks such as the Metropolitan Area Express Train (GTX) Line B, the 2nd Gyeongin Line, and subway extensions. Additionally, compared to major areas like Seoul, the relatively lower price entry barrier has attracted both investors and actual demand groups.
Senior researcher Lee Joo-hyun of Gigi Auction explained, “Typically, the appraised value of auction items is evaluated several months before the auction date, making it appear cheaper compared to market prices, which often causes demand from the sales market to flow into the auction market.”
Hot Picks Today
"Stocks Are Not Taxed, but Annual Crypto Gains Over 2.5 Million Won to Be Taxed Next Year... Investors Push Back"
- "Even With a 90 Million Won Salary and Bonuses, It Doesn’t Feel Like Much"... A Latecomer Rookie Who Beat 70 to 1 Odds [Scientists Are Disappearing] ③
- "Who Is Visiting Japan These Days?" The Once-Crowded Tourist Spots Empty Out... What's Happening?
- "Am I Really in the Top 30%?" and "Worried About My Girlfriend in the Bottom 70%"... Buzz Over High Oil Price Relief Fund
- "It Has Now Crossed Borders": No Vaccine or Treatment as Bundibugyo Ebola Variant Spreads [Reading Science]
Meanwhile, the number of nationwide auctions conducted in July was 8,750, of which 3,445 were successful bids. The success rate was 39.4%, the winning bid rate was 75.9%, and the average number of bidders was 4. Gigi Auction explained that due to the fourth wave of COVID-19, most courts in the metropolitan area began to suspend operations from mid-last month, causing many bidding dates to be changed, which led to a significant drop in the number of auctions conducted and successful bids compared to the previous month.
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
