Sales prices are soaring and jeonse are in short supply. In the end, house prices are also a plus for real estate.

Real Estate Plus. Apartment prices in Seoul have been rising for five consecutive weeks, raising market expectations.

On the other hand, housing prices in the first new city, which experienced unprecedented favorable conditions due to the implementation of the Special Reconstruction Act, show no signs of recovery.

Let’s take a closer look with real estate reporter Yang Hyun-joo.

Reporter Yang, it is clear that apartment prices have bottomed and are rising. What is the reason?

Usually, there are two concerns when looking for a house to buy.

The first thing is whether to choose between renting a lease or monthly rent or selling, and the second is whether to buy a built-up or pre-sale apartment.

But these days, these options are becoming increasingly narrow.

Let’s look at the current jeonse price trend. It is an increase for 49 consecutive weeks. Compared to the beginning of last year, the quantity dropped sharply by 44%, resulting in a shortage.

As the gap between sale price and jeonse is decreasing, the demand for buying rather than jeonse is increasing.

Recently, in the Seoul area, there are places where the difference between sale price and lease is within 100 million won, and gap investment is also on the rise.

As rental prices have soared, it can be said that the number of people buying houses has increased.

So why do people who want to buy or sell choose construction between construction and sales complexes?

This is because of the higher selling price.

I brought you a case. This is Hongje District 3 in Seodaemun-gu, Seoul, where a maintenance project is in progress.

The general sale price recently announced by Hongje District 3 increased by 42% from 30 million won per pyeong to 42.5 million won.

If calculated based on the national average of 84㎡, it amounts to 1.5 billion won. It is about 500 million won more expensive than nearby apartments.

Construction costs have increased, but since it is not possible to bear the burden, the sale price has skyrocketed.

In Seoul, where supply is limited, the upward trend in pre-sale prices is expected to continue.

There is no supply, and prices are rising, so demand is focused on relatively inexpensive construction.

As options become narrower, apartment sales volume is also becoming more active.

In March of this year, apartment sales volume in Seoul is expected to exceed 4,000.

This is the first time since August 2021 that sales transactions exceed 4,000.

This figure is meaningful in that it comes amid an atmosphere in which the government is strengthening household debt management.

The area where the most transactions took place was Nowon-gu, mainly in low- to mid-priced areas with relatively less burden.

In high-priced areas, new prices are being reported one after another, and in low- and medium-priced areas, items for sale are quickly being sold out.

If buying and selling rebuilt apartments is too expensive, will apartments in a certain price range, which have many end users, continue to rise in the future?

That’s right. Experts believe that the demand accumulated over the past two years is significant.

Supply is rapidly decreasing due to rising sales prices, and in Seoul, it is difficult to win a subscription, so there is no choice but to turn to existing apartments.

It is expected that the current trading volume will be maintained in April as well.

The atmosphere of the first new city, where unprecedented development momentum is expected, is a bit different.

The so-called ‘New Town Reconstruction Special Act’ will finally come into effect starting tomorrow. Let’s take a look at the contents first.

The exact name is ‘Special Act on Aging Planned Cities’. In short, this is a bill that promotes redevelopment projects in old cities.

In the case of land subject to special laws, the use area can be changed and the floor area ratio can be increased to 150% of the legal upper limit.

The Ministry of Land, Infrastructure and Transport specifically announced yesterday (25th) that it would designate up to 10% of the number of houses in each region as a leading district.

This applies to 20,000 to 30,000 households out of 300,000 apartment complexes in the first phase of the new city.

In the case of Bundang or Ilsan, which are relatively large, there is a high possibility that about four Seondo districts will be designated.

What is the atmosphere like in the first phase of the new city?

Usually, when development news like this comes out, the real estate market is bound to fluctuate, but house prices in the first new town remain unchanged.

This is because expectations for business feasibility have fallen due to increased construction costs, and there are concerns that progress will be slow due to conflicting interests when promoting integrated reconstruction.

As the government plans to unveil the criteria for designating the first new city leading district around the middle of next month, there is a high mood to wait and see the market situation a little longer.

I’ll listen to it here.