August Seoul Metropolitan Area Subscription Lowest Score Average in the 10s... Popularity Dropping Subscription Market

Lowest score of 12.76 points in the top priority area of the metropolitan area
Continuous decline for 4 months since 35.54 points in April
Clear decrease by region... Gyeonggi 23.32 points in the first half
Increase in 'Jupjup' subscription announcements but still undersubscribed
"Apartment prices falling, high scorers are cautious"

Photo by Mun Ho-nam munonam@

[Asia Economy Reporter Hwang Seoyul] The average cutoff score to win a first-priority apartment subscription in the metropolitan area dropped to the 10-point range last month. As the popularity of the subscription market declined due to falling sale prices, under-subscription incidents have been occurring even in so-called 'jupjup' (no-priority) subscriptions.

According to data analyzed by Asia Economy upon request from real estate research firm Realtoday on the 2nd, the average lowest winning score for first-priority subscriptions in the metropolitan area fell to 12.76 points last month. This means that even with a subscription score in the 10-point range, applicants won in the first-priority local area. Compared to 37.23 points as of January, this is about one-third. This figure has been declining for four consecutive months since April (35.54 points).

As the subscription market's popularity wanes, the decline is also evident by metropolitan area. In the first half of this year (January to June), the average lowest winning scores for first-priority local areas in Seoul, Gyeonggi, and Incheon were 44.44, 23.32, and 30.88 points, respectively. This contrasts with the first half of last year, when the real estate market was booming and subscription fever was high, requiring about 61.10, 34.19, and 45.98 points in each region to win. In the second half of last year, Seoul and Incheon slightly decreased to 58.80 and 44.14 points, while Gyeonggi increased to 36.62 points.

Real estate stock photo / Photo by Mun Ho-nam munonam@

The fact that the average cutoff score has lowered means that there were cases where applicants with even lower scores won. At the end of May, the lowest winning score for first-priority local applicants at ‘ePyeonhansesang Okjeong Leaders Garden’ in Yangju, Gyeonggi (exclusive area 84.99B㎡) was 10 points. In Seoul, there was also a case where 32 points won at the ‘Changdong Dauatrice Mixed-Use Apartment’ (58.13B㎡).

As subscription applicants have become more cautious and unsold units increased, the number of no-priority subscription announcements, known as ‘jupjup’, has also risen. From January to August this year, there were a total of 166 no-priority and remaining unit announcements in the metropolitan area on Subscription Home. Last year, the total number of such announcements from January to December was only 82. Despite the advantage of ‘jupjup’ subscriptions, which select winners by lottery, three out of four complexes in Incheon that closed applications from the 29th to 31st of last month had all housing types undersubscribed. The number of no-priority subscription announcements is expected to increase further until the end of the year.

As unsold units accumulate, some complexes remain as ‘malignant unsold’ units that are not absorbed even after completion. According to local government data, as of July 31, there are 4 private unsold complexes in Seoul, 26 in Gyeonggi, and 5 in Incheon after completion. Choi Saeyoung, head of research at Realtoday, diagnosed, "Apartment sale prices have fallen and interest rates have risen, causing subscription applicants to hesitate. Even high-score applicants are watching the market without rushing in."

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