The Only Increase in Winning Bid Rate Compared to Last Month in the Metropolitan Area
Many Apartments Priced at 200 Million KRW Sold in Outskirts of Gyeonggi
71 Out of 100 Listed Properties Successfully Sold

Apartment Auction Index/Data in Gyeonggi Province=Jiji Auction

[Asia Economy Reporter Hwang Seoyul] While the auction success rates of apartments in Seoul and Incheon are on a downward trend, the success rate in Gyeonggi Province has risen compared to the previous month. It appears that the fact that 7 out of 10 apartments priced under 200 million KRW were successfully auctioned had a significant impact on the performance of the Gyeonggi apartment auction market.

According to JJ Auction on the 7th, the auction success rate for apartments in Gyeonggi Province last month was 40.8%, an increase of 8.9 percentage points from the previous month (31.9%). The average number of bidders also rose by 1.5 from the previous month (5.8) to 7.4.

This contrasts with the success rates in other metropolitan areas such as Seoul and Incheon. Seoul (14.2%) and Incheon (22.9%) both saw decreases of 3.6 percentage points and 8.2 percentage points respectively compared to the previous month. The average number of bidders in Seoul increased by 0.9 to 2.6, while Incheon remained at a similar level with 8.4 bidders. Although the auction price ratios decreased in Gyeonggi (78.9%), Seoul (83.6%), and Incheon (69.7%) compared to the previous month, Gyeonggi’s decrease was only 2.1 percentage points, showing a better trend than Seoul and Incheon, which fell by 5.0 and 9.0 percentage points respectively.

The reason Gyeonggi was the only metropolitan area to show an increase in auction success rates is due to the higher success rate of apartments priced at 200 million KRW in the outskirts of Gyeonggi. This is analyzed to be because auction properties, which have a lower financial burden during the interest rate hike period, attracted more attention. Additionally, houses with a publicly announced price under 100 million KRW are exempt from acquisition tax surcharges, and typically, auction properties with an appraised value under 150 million KRW often have a publicly announced price below 100 million KRW.

Last month, there were 100 auction properties in Gyeonggi priced under 200 million KRW, of which 71 were successfully auctioned. The average auction price ratio was 83.78%, higher than the overall auction price ratio for apartments in Gyeonggi. Among the apartments under 200 million KRW that were auctioned, Anseong City had the most with 52 cases, followed by ▲Hwaseong City 6 cases ▲Pyeongtaek City 2 cases ▲Uijeongbu City 2 cases ▲Osan City 2 cases ▲Yeoju City 2 cases ▲Dongducheon City 2 cases ▲Suwon City 1 case ▲Bucheon City 1 case ▲Gapyeong County 1 case.

Among the total 131 auctioned apartments in Gyeonggi, the property with the highest auction price ratio was also an apartment priced under 200 million KRW. The auction price ratio of the ‘Hanguk Gaenari’ apartment complex in Howon-dong, Uijeongbu City was 159.7%. Although the appraised value was set at 191 million KRW, the sale price reached 351 million KRW. The ‘Daebang Noble Land 1st Phase’ apartment in Saengyeon-dong, Dongducheon City attracted 26 bidders. This property had an appraised value of 101 million KRW but was auctioned at a lower price of 98.987 million KRW (auction price ratio 98%).

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