The volume of dwellings classified as 'chronic unsold' that are completed but unsold exceeded 25,000 units last month. This is the highest level in 11 years and 7 months. In particular, more than 20,000 units of chronic unsold dwellings occurred in the provinces.
According to the Ministry of Land, Infrastructure and Transport's 'March housing statistics,' the country's chronic unsold dwellings were recorded at 25,117 units, a 5.9% increase from the previous month. This is the largest scale in 11 years and 7 months since August 2013, when it was 26,453 units.
The number of chronic unsold dwellings exceeded 20,000 units only in non-capital areas. The number of chronic unsold dwellings in the provinces was 20,543 units, marking a 7.1% increase from the previous month. Notably, the increase was significant in the regions of North Jeolla (28.4%) and South Gyeongsang (23.1%).
On the other hand, chronic unsold dwellings decreased by 1.2% in Seoul. The overall increase in the metropolitan area was only 0.7%.
However, the total number of unsold dwellings nationwide at the end of March was 68,920 units, a decrease of 1.6% from the previous month. So far this year, the number of unsold dwellings has consistently exceeded 70,000, but in March it fell to around 60,000.
The number of unsold dwellings in the metropolitan area decreased by 6.1% to 16,528 units from the previous month. In the provinces, the number slightly decreased by 0.1% to 52,392 units.
In terms of unsold dwelling size, those exceeding 85 square meters decreased by 2.5% to 10,418 units compared to the previous month. During the same period, units less than or equal to 85 square meters decreased by 1.5% to 58,502 units.
Housing transactions at the end of March significantly increased, particularly in the Seoul area. Last month, the volume of dwelling transactions was 67,259, which reflects a 32.7% increase from the previous month. The increase rate for transactions in Seoul was the highest during this period. The transaction volume in Seoul was recorded at 12,864 units in March, a 75.6% increase. During the same period, the metropolitan area recorded 35,556 transactions, up 48.0%, while the provinces saw a 18.9% increase to 31,703 transactions.
In particular, apartment sales in Seoul surged to 9,349 units, marking a 97.1% increase from the previous month. The significant increase in dwelling transactions in Seoul was interpreted as being driven by an increase in transaction demand after the lifting of land transaction permit areas in the Jamsamdaecheong (Jamsil, Samsung, Daechi, Cheongdam) region for about a month.
However, the rental market showed a somewhat stagnant appearance. Last month, the volume of rental transactions in the metropolitan area was 160,405, a decrease of 9.1% from the previous month. The non-capital region also saw a reduction to 78,639 transactions, down 22.7%.
The sales market showed signs of some improvement. The number of sales (approvals) in March was 8,646 units, a 60.6% increase from the previous month. In the metropolitan area, where there were no sales in February, 2,355 units were sold in March. In the provinces, 6,291 units were sold, reflecting a 16.8% increase from the previous month. However, the cumulative sales for the first quarter (January to March) recorded 21,471 units, a 49.7% decrease from the same period last year, showing continued sluggishness.
The number of housing starts in March showed a recovery trend, particularly in the metropolitan area, but it remained at a lower level compared to the average year. Nationwide housing starts totaled 13,774 units, a 36.8% increase from the previous month, with 9,272 units in the metropolitan area. The number of starts in the metropolitan area increased by 108.4% from the previous month. In the provinces, 4,502 units were started, marking a decrease of 19.9% from the previous month. The cumulative starts for March (January to March) stood at 34,021 units, down 25.0% compared to the same period last year.
Last month, permits increased nationwide. The total permits reached 31,033 units, a 148.2% increase from the previous month. Housing permits in the metropolitan area were 15,145 units, a 116.3% increase, while in the provinces, permits also grew to 15,888 units, reflecting an increase of 188.9%.