Continued Rise in Sale Prices... Spotlight on 'Munsuro Kumho Eoullim The First' with Reasonable Sale Prices

As construction costs have soared unprecedentedly recently, causing inevitable increases in sale prices, the demand for reasonable sale prices is growing day by day. In this context, Kumho Construction's 'Munsuro Kumho Eoullim The First' to be supplied in Ulsan is expected to attract buyers' attention by offering a reasonable sale price compared to surrounding market prices.

Perspective view of Geumho Eoullim The First on Munsu-ro. [Image provided by Geumho Construction]

In fact, since last year's Russia-Ukraine war, the prices of construction raw materials have surged, and labor costs have also risen significantly. According to the Construction Cost Index compiled by the Korea Institute of Civil Engineering and Building Technology (as of June), the index has steadily increased from 119 in 2020 to 131 in 2021, 146 last year, and 151 this year.

The price of cement, one of the main materials in construction, is also steadily rising. According to the cement industry, Ssangyong C&E and Sungshin Cement announced price increases of 12.8% to 14.3% starting from shipments in July, and Hanil and Hanil Hyundai Cement announced similar increases starting from shipments in September, making a rise in sale prices inevitable.

As a result, sale prices are following an upward curve. According to Real Estate R114, the nationwide sale price per 3.3㎡ rose from 13.05 million KRW in 2021 to 15.23 million KRW last year, an increase of 16.63% (2.17 million KRW). The increase this year has been even greater. The average sale price recorded up to August this year was 18.13 million KRW, a 19.04% (2.9 million KRW) increase compared to the previous year.

Amid this, Kumho Construction's 'Munsuro Kumho Eoullim The First,' being built in Sinjeong-dong, Nam-gu, Ulsan Metropolitan City, is drawing attention as it prepares for sale this month. This complex plans to offer reasonable sale prices ranging from 670 million to 760 million KRW by reducing developer profits through a contractor-centered project process and cutting unnecessary marketing costs. Furthermore, various financial benefits will be introduced to ease buyers' financial burdens, including a fixed first deposit of 15 million KRW, second deposit loans, and support of 15 million KRW for interim payment interest.

In fact, surrounding complexes are also showing price increases with rising asking prices, which is expected to further enhance the price competitiveness of 'Munsuro Kumho Eoullim The First.' For example, an 84㎡ unit in the nearby 'Munsuro 2nd IPARK 2 Complex' recently changed hands for 925 million KRW.

A sales official stated, "While sale prices are rising nationwide recently, 'Munsuro Kumho Eoullim The First' will offer not only reasonable sale prices but also various financial benefits such as a fixed deposit system and support for interim payment loan interest."

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