Metropolitan Area Housing Sales Sentiment 'Rises to Stable'... Lowest Level This Year
Housing purchase sentiment in the Seoul metropolitan area is rapidly weakening. This is interpreted as a result of the financial authorities' base interest rate hikes and strengthened loan regulations in the financial sector.
According to the results of the November real estate market consumer sentiment survey released on the 15th by the Real Estate Market Research Center of the Korea Research Institute for Human Settlements, the housing market consumer sentiment index in Seoul last month was 118.8, down 9.9 points (p) from the previous month (128.7). This is the lowest figure in 1 year and 7 months since April last year (105.0).
According to the Korea Research Institute for Human Settlements, this index had been in an upward phase but has shifted to a stable phase. The index, calculated through surveys of 6,680 households and 2,338 brokerage offices in 152 cities, counties, and districts nationwide, is expressed as a value between 0 and 200. Values below 95 indicate a downward phase, 95 to less than 115 indicate a stable phase, and 115 or above indicate an upward phase.
Gyeonggi-do fell from 130.3 in October to 119.5 in November, and Incheon dropped from 134.9 to 115.6. The entire metropolitan area fell from 130.3 to 118.8. Nationwide, the index decreased from 129.7 to 119.5. This sharp decline in purchasing demand is due to the financial authorities raising the base interest rate and the government strengthening loan regulations, making it difficult for buyers to secure funding.
Hot Picks Today
"Stocks Are Not Taxed, but Annual Crypto Gains Over 2.5 Million Won to Be Taxed Next Year... Investors Push Back"
- "Don't Throw Away Coffee Grounds" Transformed into 'High-Grade Fuel' in Just 90 Seconds [Reading Science]
- Signed Without Viewing for 1.6 Billion Won... Jamsil and Seongbuk Jeonse Prices Jump 200 Million Won in a Month [Real Estate AtoZ]
- [Breaking] President Lee: "Sharing operating profit before taxes are deducted?... I don't understand"
- "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
The jeonse market showed a similar trend. Seoul entered a stable phase, dropping from 111.2 in October to 104.9 last month. Gyeonggi-do recorded a continuous decline for three months with figures of 121.6 → 120.5 → 110.8 → 104.3. The entire metropolitan area fell over the past four months from 121.9 → 120.9 → 110.9 → 104.4.
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
