The number of unsold dwellings after completion, referred to as "malicious unsold properties," exceeded 20,000 units at the end of last year. It is the first time since July 2014 that the number of malicious unsold dwellings has surpassed 20,000 units. Eighty percent of these malicious unsold dwellings were concentrated outside the metropolitan area.
According to dwellings statistics released by the Ministry of Land, Infrastructure and Transport on the 5th, the number of unsold dwellings after completion was recorded at 21,480 units as of December last year. This represents a 15.2% increase compared to the previous month. The increase of malicious unsold dwellings to over 20,000 units is the first in 10 years and 5 months since July 2014, when there were 20,428 units.
Unsold dwellings after completion showed a tendency to concentrate in local areas. As of December last year, the number of malicious unsold dwellings outside the metropolitan area was 17,229, an increase of 16.4% from the previous month. During the same period, the number of malicious unsold dwellings in the metropolitan area rose to 4,251 units, an increase of 10.6%. In Seoul, the number of malicious unsold dwellings was recorded at 633, reflecting a 5.0% increase.
The total number of unsold dwellings nationwide also exceeded 70,000 units for the first time in 4 months. At the end of last year, the number of unsold dwellings nationwide was recorded at 70,173 units, a figure that represents a 7.7% increase compared to the previous month. Regionally, 53,176 unsold dwellings were concentrated in local areas, while the metropolitan area had 16,997 unsold dwellings.
By dwelling size, unsold dwellings over 85㎡ increased to 10,348 units, a 13.5% increase from the previous month. Those under 85㎡ rose to 59,825 units, a 6.8% increase compared to the previous month.
◇ Nationwide dwellings sales 'cold wave' including Seoul... rent transactions rebound
Selling prices of apartments in the metropolitan area, including Seoul, have decreased for five consecutive months. In December last year, apartment sales transactions in Seoul totaled 3,656, a decrease of 3.1% from the previous month. Apartment sales in Seoul have been continuously declining since reaching 9,618 transactions in July last year, following the government's loan regulations that began in August.
Overall, housing transactions in the Seoul area are showing signs of slowing down. Total housing transactions in Seoul, including not only apartments but also villas and officetels, amounted to 6,444 units, a decrease of 5.3% from the previous month. Nationally, housing sales transactions were recorded at 45,921 units, a 6.5% decrease from the previous month. Regionally, there were 20,235 transactions in the metropolitan area, which is a decrease of 7.1% from the previous month. Housing sales transactions in non-metropolitan areas recorded 25,686 units, a 6.0% decrease from the previous month.
While the volume of housing sales transactions has decreased, rent transactions have increased. In December, the volume of rent transactions was 217,971, reflecting a 14.0% increase from the previous month. Both the metropolitan and local areas, including Seoul, have shown active rent transaction activity. Rent transactions in the metropolitan area amounted to 143,494, a 12.5% increase compared to the previous month. In the local areas, 74,477 rent transactions were made, an increase of 17.0% from the previous month.
The increase in monthly rent was larger than that in jeonse. In December, the volume of jeonse transactions was 86,032, which represents a 7.7% increase over the previous month. During the same period, monthly rent transactions reached 131,939, showing an 18.6% increase from the previous month and a 12.6% increase from the same month last year.
◇ Last year's dwelling permits reached the highest level since 2010... concentrated in metropolitan area apartments
In December of last year, the number of dwelling permits reached 155,123 units, marking the highest level since December 2010 (157,000 units). However, the total permits for the past year were similar to the previous year, at 427,244 units, due to a contraction in supply conditions. The public housing permit amount for last year was recorded at 129,047 units, a staggering 65.7% increase compared to 2023, while the private housing permit amount stood at 299,197 units, reflecting a 14.7% decrease during the same period.
In detail, while non-apartment permits declined, apartment permits increased. Last year's apartment permits totaled 390,923 units, a 3.5% increase compared to the previous year. Notably, permits for metropolitan area apartments saw a 15% rise, reaching 212,776 units. Non-apartment permits fell to 37,321 units, a 27% decrease.
The construction performance in December recorded 65,437 units. The total performance for last year was 305,331 units, reflecting a 26.1% increase from the previous year. Both metropolitan and local areas saw significant increases mainly driven by the high demand for apartments. Last year's public housing construction grew to 55,670 units, marking a 218% surge compared to the previous year. The private housing construction also rose by 11.1% to 249,661 units, influenced by the expansion of public guarantees for real estate project financing (PF).
In December last year, the sales performance for new dwellings was 19,322 units, while the total sales performance for the year was recorded at 231,048 units. Compared to the 2023 performance (192,425 units), this represents a 20.1% increase. It appears that the number of sales in local areas has increased relative to metropolitan areas. The number of sales in local areas reached 101,702 units, a 29.7% increase compared to the previous year. The metropolitan area recorded 129,346 units, a 13.5% increase.
The completion performance in December was recorded at 45,927 units. The total completion performance for last year was 449,835 units, reflecting a 3.2% increase compared to the previous year (436,055 units). Among these, the completion performance of apartments increased by more than 10% to 407,534 units, while non-apartment units decreased. The completion performance for non-apartment units fell to 42,301 units, a 35.6% decrease from the previous year.