Special Housing Allocation Possible for 'High-Income and Single-Person Households'... Private Pre-Subscription Also Conducted

Expansion of 'Lottery System' for Newlyweds and First-Time Special Supply
Opportunities Created for High-Income or Childless Applicants
Detailed Procedures for Private Pre-Subscription to Be Established This Month
Supply Advanced by 2-3 Years to Alleviate Short-Term Demand Instability

Apartment complexes in Songpa and Gangnam areas as seen from the 'Seoul Sky' observatory at Lotte World Tower, Jamsil, Songpa-gu, Seoul [Image source=Yonhap News]

Starting from the complexes applying for resident recruitment approval on the 16th, 30% of the special supply quota for newlyweds and first-time homebuyers will be allocated through a complete lottery system. As a result, people who previously had little chance of winning special supply due to high income or lack of children are expected to have opportunities to win housing subscriptions.

Along with this, the pre-subscription system, currently only implemented in public housing sales, will be introduced to private housing sales on public land. Since pre-subscription supplies housing 2 to 3 years earlier than general subscription, it is expected to partially alleviate short-term housing supply and demand instability.

The Ministry of Land, Infrastructure and Transport announced on the 15th that it will implement a partial amendment to the "Housing Supply Regulations" expanding subscription opportunities for newlyweds and first-time homebuyers starting on the 16th, and plans to establish detailed procedures within this month to enable private pre-subscription.

(Data provided by the Ministry of Land, Infrastructure and Transport)

Subscription Possible Even with High Income or No Children

According to the Ministry of Land, first, the chances of winning special supply for newlyweds and non-homeowners in private housing will increase.

Until now, newlyweds whose household income exceeded 140% of the previous year's average monthly income of urban workers (160% for dual-income households) or who had no children were practically unable to win special supply subscriptions for newlyweds.

However, from now on, 30% of the newlywed special supply quota will be allocated by lottery regardless of income or number of children, expanding subscription opportunities for newlyweds who were previously in the blind spot of special supply.

To also consider existing special supply waiting applicants, the remaining 70% excluding the lottery portion will proceed with subscription under the existing supply method, and those who fail there will be included in the newly introduced 30% lottery quota for another chance through lottery.

(Data provided by the Ministry of Land, Infrastructure and Transport)

The special supply for first-time homebuyers in private housing will also be improved. Currently, households exceeding 160% of the previous year's average monthly income of urban workers and single-person households cannot apply for first-time homebuyer special supply despite having no prior home purchase experience.

However, going forward, 30% of the first-time homebuyer special supply quota will also provide subscription opportunities to households exceeding the income limit and single-person households.

Similar to the newlywed special supply, to consider existing special supply waiting applicants, those who fail subscription under the existing supply method (70% quota) will be included in the newly introduced 30% lottery quota for another chance through lottery.

Additionally, to support housing stability for genuine demanders in their 20s and 30s with no prior home ownership experience, the first-time homebuyer special supply ratio in private housing will be expanded from the current 15% to 20% on public land, and from 7% to 10% on private land.

These improvements will apply to housing complexes applying for resident recruitment approval from the 16th, the date the regulations take effect.

Apartment areas in Jung-gu and Seongdong-gu viewed from Namsan, Seoul [Image source=Yonhap News]

Introduction of Private Pre-subscription on Public Land

Along with this, the pre-subscription system, previously applied only to public sales, will be allowed for private developers who receive public land and prepare architectural design plans.

Private pre-subscription can supply housing 2 to 3 years earlier than general subscription, which proceeds at the time of construction start, and is expected to contribute to resolving short-term supply-demand imbalances.

First, the developer must prepare documents such as architectural design plans, public land supply contracts, and estimated sale price verification certificates verified by the Housing and Urban Guarantee Corporation (HUG), obtain pre-winner recruitment approval from local governments, and then announce the recruitment through daily newspapers and other media.

Applicants can check information such as the number of households, floor plans, and estimated sale prices in the recruitment announcement and participate in the pre-subscription. Those who meet the eligibility criteria can sign a pre-supply contract as pre-winners.

Pre-winners can confirm the sale price, which is calculated through the sale price review committee 15 days before the main subscription resident recruitment approval application date, and make a final decision on whether to participate in the main subscription.

Even if selected as a pre-winner, no separate payment is required until the main subscription, and the pre-winner status can be relinquished at any time before confirming the final decision on the main subscription.

If the pre-winner status is relinquished or the project becomes difficult to proceed due to reasons such as district plan changes, the subscription savings account restricted by the pre-subscription win will be reinstated, allowing free participation in other housing subscriptions.

Eligibility must be met as of the pre-winner recruitment announcement date to be selected as a pre-winner, but the housing ownership condition must be maintained until the main subscription resident recruitment announcement date.

If residing in the housing construction area, applicants can apply for pre-subscription without meeting the residence period requirement, but must meet the residence period by the main subscription resident recruitment announcement date.

Those subject to re-winning restrictions, special supply frequency limits, or disqualification due to ineligibility cannot be selected as pre-winners, and household members selected as pre-winners cannot be selected as winners in other general subscriptions, private sales, or public pre-subscriptions.

Furthermore, those selected as pre-winners will be subject to subscription restrictions such as re-winning restrictions, special supply frequency limits, and private housing point system application limits based on the main subscription winning date, just like main subscription winners.

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