Apartment sales fell to record lows-Chosun Ilbo: Daily News from South Korea

Condominium sales nationwide hit record lows due to concerns over rising mortgage rates.

According to the Korean Real Estate Commission on Sunday, only 155,987 apartments were sold nationwide in the first five months of this year, the lowest since the government began counting such numbers in 2006.

From January to May, apartment sales fell below 200,000 only in 2012 and 2019. Apartment sales for the same period last year totaled 315,153.

In the Seoul metropolitan area, where prices are soaring, sales were particularly sluggish at 7,917 yen, which was only one-third of the previous year. Nowon-gu recorded the highest sales in Seoul last year, but by May this year, the number of transactions was only 523, a whopping 79% year-on-year decrease.

The ratio of condominiums to total real estate sales has fallen to a record low of 27.9%.

The lethargic market and weak demand raise concerns among those who have taken huge loans to buy an apartment.

Market analyst John Huang said, “The slump in condominium prices is not due to increased supply of new homes, but to declining demand. Of course, soaring prices under the previous administration need to be stable, but unusual. There is no drop in sales. ” Either is desirable. ”

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