Nationwide Apartment Move-Ins Barely Reach 10,000 in September... Regional Areas Hit Yearly Low [Real Estate AtoZ]

3,478 Units Scheduled for Move-In in Seoul; 88% from "DH Bangbae"
Regional Move-In Volume at 3,248 Units; Set to Rise Again in October

The number of apartment move-ins nationwide in September will decrease by about 30% compared to the previous month. In particular, the volume of move-ins in non-metropolitan areas is expected to drop significantly, hitting the lowest level this year.

According to the real estate information provider ZIGBANG on August 24, the nationwide apartment move-in volume for September is 10,184 households. This represents a 30.7% decrease compared to last month’s figure of 14,701 households. It is also 18.2% lower than in the same month last year. By region, the Seoul metropolitan area will see 6,936 households, while non-metropolitan areas will have 3,248 households. Compared to the previous month, this equates to a 23.5% decrease in the Seoul metropolitan area and a 42.4% drop in non-metropolitan regions. This is the lowest level recorded for non-metropolitan areas this year, meaning September marks the trough. In October, move-in volume in non-metropolitan areas will rise again to 8,083 households. Nationwide, the average monthly figure for October through December is expected to be about 14,700 households moving in.

In Seoul, there will be move-ins for 3,478 households. This includes DH Bangbae in Seocho District (3,064 households), Gangbyeon Station Central IPARK in Gwangjin District (215 households), and Bomun Central IPARK in Seongbuk District (199 households) all commencing occupancy. In Gyeonggi Province, five complexes totaling 3,332 households will move in. The largest is Songnae Station Prugio Centervien in Bucheon, with 1,045 households. Others include E-Pyeonhan Sesang Shingok Signature View in Uijeongbu with 815 households, and Hoecheon Jungang Station Daekwang Rojevian in Yangju with 621 households. In Incheon, only one complex, Jungang Heights Gal-san Station Central in Bupyeong District (126 households), will move in. In non-metropolitan areas, leading projects by volume are Changwon Central IPARK in Changwon, Gyeongsangnam-do (1,509 households), Asan Sinchang 1st Kwangshin Progress in Asan, Chungcheongnam-do (450 households), and Gongju Wolsong District Gyeongnam Honorsville in Gongju (366 households).

ZIGBANG analyzed, "In areas where large move-in volumes are concentrated, the supply of short-term jeonse and wolse listings can increase, impacting the surrounding market." The DH Bangbae redevelopment project in District 5 of Bangbae alone will account for 88% of Seoul’s move-in volume. Although DH Bangbae is subject to the government’s cap on sale prices, there is no mandatory minimum occupancy period required for general sale units. Since the sale price exceeds the average surrounding home price determined by the government, it is exempt from the occupancy obligation. Even for allotments allocated to union members, leasing out the units is permitted.

Purchasers may initially place their units on the jeonse or wolse market to cover final payment balances. With over 3,000 households in a single development, there is potential for a surge of such listings. Homeowners owning only one property may consider this strategy to avoid immediate tax burdens. Since Seocho District is a regulated area, a two-year self-occupancy period during ownership is needed to qualify for capital gains tax exemption. However, owners can still meet this requirement if they first rent out the property and move in later. For example, they could cover the final payment using the jeonse deposit, later move in, fulfill the two-year requirement, and then sell the unit. In contrast, the situation is different for owners with multiple properties. From May 10, the temporary lifting of heavy capital gains taxes on multi-homeowners ended. In regulated districts, those with two homes face an extra 20 percentage points on top of the basic capital gains tax rate, and those with three or more homes receive a 30 percentage point surcharge. They are no longer eligible for the special long-term ownership deduction. If such owners lease the property while holding multiple homes and sell later, the tax liability can increase by tens of millions of won.

Arranging the balance payment is also a focus for new residents. For DH Bangbae, KB Kookmin Bank, Shinhan Bank, Hana Bank, and NH Nonghyup Bank have each allocated a loan ceiling of 100 billion won for final balance payments. Woori Bank is also reportedly considering a similar loan program. On August 13, the government announced financial measures stipulating that group housing loans will be managed separately from the total household debt cap.

A representative from ZIGBANG remarked, "As policy details and financial institution guidelines are still being developed, actual effects felt by residents on the ground may vary. For the time being, areas with large-scale move-ins planned should monitor move-in volumes, changes in rental listings, and conditions for securing balance payments together."

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