An apartment complex seen from Namsan Park in Seoul./Newsis
After 1·3 government real estate measures, the decline in housing prices has decreased for 5 consecutive weeks, and the recent decline in apartment sales prices in Seoul has increased again. The buying sentiment, which showed signs of recovery, collapsed again after six weeks.
According to the Korea Real Estate Agency’s ‘Weekly Apartment Trend’ on the 12th, the first week of this month (from the 6th), the sale price of apartments in Seoul decreased by 0.31% compared to the previous week. The decrease widened by 0.06 percentage points (p) from the previous week (-0.25%).
On the 2nd of last month, apartment prices in Seoul, which stopped the largest decline ever and slowed down in 9 months (39 weeks), fell for 5 consecutive weeks, but the decline increased again.
By region, the decline was widened across the board. In the northeast region, Gangbuk-gu (-0.20% → -0.36%) is the large complex of Mia-dong, Dongdaemun-gu (-0.21% → -0.38%) is the large complex of Imun, Jangan, Hwigyeong-dong, and Gwangjin- gu (-0.2%→-0.36%) is Jayang, Gwangjang, The decline increased mainly in the main complexes in Guwi-dong.
In the southwest region, the decline widened mainly in large complexes in Siheung and Doksan-dong in Geumcheon-gu (-0.51% → -0.57%) and in large complexes in Sillim and Bongcheon-dong in Gwanak-gu (- 0.40% → -0.47%). In Gangseo-gu (-0.62% → -0.58%), the decline mainly decreased in Deungchon, Gayang, Magok, and Yeomchang-dong.
In the case of Gangnam-gu (-0.18% → -0.19%), Seocho-gu (-0.15% → -0.23%), and Yongsan-gu (-0.21% → -0.22%), which were not included in the list of land transaction license zone cancellations, the extent of the deterioration increased.
An official from the Korea Real Estate Agency said, “There has been a slight increase in purchase inquiries and the number of transactions due to the loosening of market interest rates, but the gap between the seller and the buyer’s desired price has still not narrowed. a -and-see attitude is maintained.” “The downward trend continues,” he said.
As the drop in the sale price of apartments in Seoul increased again, the sales supply and demand index, which showed an upward trend for five consecutive weeks, also turned to a downward trend.
The Seoul apartment sales supply and demand index (from 6th) was 66.0, down 0.5p from the previous week (66.5). The sales supply and demand index, which showed signs of recovery after rebounding in 8 months (35 weeks) after recording 91.1 in the first week of May last year due to the impact of the government’s announcement of the 1st and 3rd real estate measures this year, fell again in 6 weeks.
The closer to 0 based on 100, the more people want to sell their homes, and the closer to 200, the more people want to buy.
Experts predicted that although the real estate market could breathe after the government’s announcement of the 1st and 3rd measures, the transaction cliff would continue until interest rates are cut.
Park Won-gap, senior real estate expert at KB Kookmin Bank, said, “The seller will raise expectations for deregulation, but the buyer will focus more on the factors of decline, high interest rates and the economic recession, and a contest of strength will proceed between the two forces.” “The volume of housing transactions will improve and the market will normalize.”
