“No apartment” … The auction win rate is also the highest ever.



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# The real estate auction market was a place for so-called “players” like people with multiple households. However, it is the end users who have recently filled the auction house. One auction expert said: “Originally it was a market for people with multiple households, but now many end-users are turning to them looking for a slightly cheaper sale,” he said. “The day the apartments are sold in Seoul, the hallways are full.” In fact, the exclusive 45.9m2 area of ​​the Sanggye Jugong 14 Complex in Nowon-gu, Seoul, was auctioned for 481 million won (10th floor, 189% of the successful bid price) from 46 bidders on the 8th of the month. last. It is 10.5 million to 24 million won lower than the reported price in the general commercial market (550 million won, 10th floor).

8 out of 10 apartments sold by court auction in Seoul last month were found to be successful. It is the highest successful bid rate ever (the number of successful bids compared to the number of auctions), which is the effect of end-users tired of rising house prices heading to the site auction.

According to Jiji Auction, a court auction company on the 2nd, 36 of the 45 apartments in Seoul where court auctions were held in February posted a successful bid rate of 80%. This is the highest monthly bidding rate for apartments in Seoul, which was obtained through court auctions. The previous high was 79.5%, which was recorded in October 2018. The successful bid rate for apartments in Seoul reached 80% for the first time last month, after 52.8% in December last year and 75% in January of this year. Oh Myung-won, Senior Researcher at Jiji Auction, explained: “Because supply and demand in the general commercial market is not normal amid high buying sentiment, end-users have generally turned to the auction market. “. In fact, the average number of bidders increased for three consecutive months to 5.8 in November last year, 9.2 in December, 10.8 in January this year and 11.7 last month.

The rate of successful offers for apartments in the metropolitan area, including Seoul, also reached an all-time high. The success rate of apartments in the metropolitan area, which is usually 40-50%, continued to increase for 4 consecutive months, with 52.5% in October last year, 59.3% in November, 67.6% in December, 74.3% in January of this year and 74.7% in February. The 52.14m2 for Dongchun-dong, Incheon Yeonsu-gu, Dongnam Apartment, was a successful bid for 161 million won (1st floor, 89% of the winning bid price) on the 5th of last month. At that time, the number of bidders for the judicial auction reached 38.

It can be seen that the real strong demand is that the unsold apartments have registered the lowest levels since the statistics were compiled. At the end of January, the number of unsold homes nationwide was 17,130, 9.9% less (1,875 homes) compared to the previous month (19,005 homes). Compared to 43,268 households a year ago, it decreased by 60.4%. This is the minimum level since the start of related statistics management in 2000.

The problem is that there is no quantity available to satisfy such real demands. According to Real Estate 114, the number of occupied households in March was 19,800 households, 40.2% less than last month. Not only this month, but also the supply in 2-3 years is insufficient.

According to the Ministry of Land, Infrastructure and Transportation, the yield for housing permits in Seoul in January was 2,695 households, 21.1% less than in the same month last year. It is the lowest level since September 2019 (2,661 households) and, as of January, it is the lowest in 11 years since 2010 (1,237 households).

The government has announced that it will supply 836,000 households across the country, including 323,000 households in Seoul, by 2025 through real estate measures 2 · 4. It does not mean that it supplies. For this reason, experts advise that to stabilize the market immediately, it is necessary to use methods that allow people with multiple households to put their products on the market.

“There is no medium that the government can use in terms of supply for several years at the moment,” said Kim Hak-ryul, director of the Smart Tube Research Institute.

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