Continued Surge of Ineligible Applicants Despite Changes to the 'Cheongyak Home' System

- 10-20% of applicants in popular complexes disqualified, limited understanding of changed subscription system, need for preliminary simulation and automatic filtering system
- Most disqualified applicants unaware of their financial status, increasing chances for preliminary winners

Recently, disqualified applicants have been emerging in popular complexes that recorded competition rates of tens to hundreds to one in subscription applications.

Although the government added a feature to the Korea Real Estate Board's ‘Cheongyak Home’ that allows applicants to check their eligibility in advance to reduce disqualified winners caused by the complex apartment subscription system, such cases are still being produced.

According to the sales industry, among the 647 households that applied in the first priority subscription for ‘Gwacheon Jade Xi’ in Gyeonggi-do, which attracted attention as a ‘lottery complex’ in March, 147 households were converted to preliminary winning quotas.

In particular, this complex was analyzed to have a disqualification and non-contract rate of 22.7% because applicants did not meet the 'income criteria,' which was one of the subscription eligibility requirements.

Earlier, in February, among the 1,795 general sale households including special supply at ‘Maegyo Station Prugio SK View’ in Paldal-gu, Suwon, Gyeonggi-do, 236 households, about 13.1%, were disqualified or non-contractors. This apartment recorded the highest subscription competition rate in Suwon city history with an average competition rate of 145.7 to 1 during the first priority subscription.

On the 9th, during the document submission for winners of ‘Geomam Station Royal Park City Prugio,’ which attracted as many as 84,730 applicants in the first priority subscription and set a record for the highest in Incheon, about 700 households out of a total of 4,805 were preliminary winners. This means about 14.5% of the winners were disqualified.

Most cases in this complex involved errors such as incorrect input of household members’ housing ownership status and period of being homeless, duplicate applications, and exceeding income limits for newlyweds, mostly due to applicants not properly understanding their own financial situations.

This apartment plans to hold a separate document submission schedule for preliminary winners over two days on the 24th and 25th.

An industry official said, “Although a new subscription system has been introduced that allows easy verification of subscription eligibility and practice applications in advance, many disqualified applicants still occur,” adding, “Since this increases the chances for preliminary winners, genuine buyers who want to own a home should carefully check their documents and actively aim to win.”

All three of these apartments were popular complexes at the time of subscription competition, and once processed as disqualified winners, applicants in speculative overheated districts are banned from applying for one year. Genuine buyers have suffered due to the complex subscription system.

An industry expert said, “The subscription system has changed dozens of times in just a few years, making it difficult for first-time genuine buyers to fully understand it,” and added, “It is necessary to mandate that applicants go through a preliminary simulation before the main subscription or to introduce an automatic filtering system for some eligibility criteria.”

This content was produced with the assistance of AI translation services.