[Exclusive] Uiwang and Ansan Cities See Surge in Land Transactions and Share Splitting Before New Housing Site Announcement

Ansan Sasa-dong, 435 Land Transactions in 2019
More Than 9 Times Increase Compared to Double-Digit Annual Transactions
"In Recent Years, Influx of Outsiders Has Led to Surge in Fractional Ownership Transactions"

The area around Chopyeong-dong, Uiwang-si, confirmed as the third new public housing site

It has been confirmed that land transaction volumes have surged in certain areas recently designated by the government as the third phase of new public housing sites. During this process, it was also found that share transactions, where multiple people jointly purchase a single parcel of land, have significantly increased. Analysts suggest that there is a high possibility of speculative demand entering the market, aiming not for actual use but for compensation and development profits.

According to the Ministry of Land, Infrastructure and Transport's real transaction price disclosure system on the 1st, land transactions using the share-splitting method have surged since 2019 in the area around Sasadong in Sangnok-gu, Ansan City, and Chopyeong-dong in Uiwang City, Gyeonggi Province, which includes the largest district among the third phase new public housing sites: Uiwang, Gunpo, and Ansan districts. In Sasadong, the land transaction volume reached 435 cases in 2019.

Compared to 67 and 48 cases in 2016 and 2017 respectively, this is more than a ninefold increase in transaction volume. What is notable is the share transactions. Share transactions, which were only 8 cases in 2017, rose to 390 cases in 2019. This means that 90% of all land transactions in that year were share transactions.

Chopyeong-dong shows a similar pattern. After recording double-digit transaction volumes of 74 cases in 2016 and 75 cases in 2017, the number sharply increased to 167 cases in 2020. Among these, share transactions accounted for 71 cases, representing 42% of the total. The representative of A Real Estate Agency in Chopyeong-dong said, "In recent years, there have been many cases where outsiders bought landlocked plots in Chopyeong-dong and Wolamdong and split the shares to transfer ownership," adding, "There is a strong possibility of speculative intent." Mr. B, a resident of Uiwang City who owns about 200 pyeong of land in Chopyeong-dong, also said, "For several years, planned real estate companies have been buying mountains and forests and splitting them to sell."

A representative from local B Real Estate stated, "After former lawmaker Shin Chang-hyun (currently president of the Sudokwon Landfill Site Management Corporation), who represented this area in 2018, mentioned that a new town would be built here, outsiders flocked to the area, causing a frenzy."

Ko Jun-seok, an adjunct professor at Dongguk University Law School, said, "While it can be financially burdensome for one person to purchase land alone, leading to joint purchases, in this case, it is also possible that planned real estate companies bought land at low prices and then sold it by dividing shares."

Meanwhile, on the 30th of last month, the Ministry of Land, Infrastructure and Transport announced the third phase of new public housing sites, planning to develop a site of 5.86 million square meters?about twice the size of Yeouido?stretching east to west between Uiwang Station and Banwol Station. This is the largest among the newly announced housing districts and is a new town-scale development with a total of 41,000 apartment units. Chopyeong-dong in Uiwang City and Sasadong in Ansan City were areas with high development potential due to their proximity to railway stations.

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