Declining Trend in Unsold Housing Increase... Daegu and Chungnam See Growth
by Choi Daeyul
Published 31 Mar.2025 06:00(KST)
Updated 31 Mar.2025 08:12(KST)
February Housing Statistics from the Ministry of Land, Infrastructure and Transport
Unsold homes decrease nationwide for the first time in three months
Daegu and some regions see increase in unsold units
Permits and new supply indicators drop sharply, raising future supply concerns
Last month, the number of unsold houses nationwide slightly decreased compared to the previous month. After steadily rising since November last year, it declined for the first time in three months. However, in Daegu, where unsold housing issues had been severe, the number somewhat increased.
According to the February housing statistics released by the Ministry of Land, Infrastructure and Transport on the 31st, the total number of unsold houses nationwide as of the end of last month was 70,061 units, down 3.5% from the previous month. The number of unsold houses had steadily decreased from around 74,000 units in June last year but began to rise again toward the end of the year. This was considered an indicator of the stagnation in the local construction market.
Apartment complexes in the Dongnae-gu and Geumjeong-gu areas of Busan. Photo by Yonhap News
원본보기 아이콘Last month, unsold houses in the Seoul metropolitan area numbered 17,600 units, down 10.9% from the previous month. Unsold houses in provincial areas were 52,461 units, decreasing by 0.8% during the same period. However, among the metropolitan local governments, Daegu, which had accumulated the most unsold housing, saw an increase of about 3.5% to 9,051 units. Gwangju (1,369 units) and Chungnam (4,921 units) also showed double-digit growth.
Post-completion unsold houses increased by 3.7% to 23,722 units during the same period. In the Seoul metropolitan area, there were 4,543 units, up 2.2% from the previous month, and in provincial areas, 19,179 units, up 4.1%. Daegu also had the highest number of post-completion unsold houses.
Housing permits in the Seoul metropolitan area last month were 7,003 units, down 21.5% compared to the same period last year. In non-metropolitan areas, permits were 5,500 units, down 60.7% during the same period. Housing starts in the Seoul metropolitan area increased by 26.8% to 4,449 units compared to the same period last year. In provincial areas, starts decreased by 25.9% to 5,620 units.
Last month, the number of housing units for sale nationwide (based on apartment units) was 5,385, a 79.4% decrease compared to the same period last year. Permits, starts, and sales are indicators that can estimate supply volumes about 2 to 3 years ahead. This is the background for concerns about a shortage of new housing supply in the future. Even when compared to the average monthly permits and starts over the past 10 years, last month's figures were less than half.
Housing completions last month were 10,645 units in the Seoul metropolitan area and 25,539 units in provincial areas. Housing sales last month totaled 50,698 units, a 32.3% increase from the previous month. Jeonse and monthly rental transactions reached 278,238 cases, up 38.6% during the same period. Among nationwide lease transactions from January to February this year, the proportion of monthly rent was 61.4%, up 3.9 percentage points compared to the same period last year.
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