It was clearly a complex people were interested in, but things have gone quiet overall since the Oct. 15 measures were announced. I think the lull will continue until it gets closer to the sales launch date (official at A Real Estate Agency in Pungdeokcheon-dong, Suji District, Yongin, Gyeonggi).
On the afternoon of the 21st, walking from Exit 2 of Dongcheon Station on the Shinbundang Line, I saw the construction-site fence for the Pungdeokcheon 2 District multifamily housing development project in Pungdeokcheon-dong, Suji District, Yongin, Gyeonggi. Beyond the fence, some construction equipment had been brought in.
The site is the construction site for Suji Xi Edition, which is being built by GS Engineering and Construction. The complex will consist of six buildings with three basement levels to 25 aboveground floors, totaling 480 households. All 480 units are planned to be sold to the general public. Every unit will be a mid-to-large layout of at least 84 square meters of exclusive area, and among them, the 84-square-meter units, known as the national standard layout, account for 439 households.
The location is between Suji-gu Office Station and Dongcheon Station on the Shinbundang Line. It took about 12 minutes on foot (based on an adult male in his 30s) from Dongcheon Station to the complex, and about 15 minutes from Suji-gu Office Station to the complex. Nearby commercial areas are concentrated around Suji-gu Office Station, so travel is necessary.
In fact, aside from the retail within the Raemian Suji East Park complex, most buildings near the site were old.
However, using the Shinbundang Line provides excellent access to Pangyo and Gangnam. If you transfer to the GTX-A line at Seongnam Station, you can also reach Suseo Station for the SRT. The metropolitan transportation network is well established, including the Gyeongbu Expressway, the Bundang–Suseo urban expressway, and the Yongin–Seoul Expressway.
Pungdeok Elementary School, Suji Middle School, Suji High School, and Jukjeon High School are close to the complex, and the cluster of cram schools around Suji-gu Office Station is also accessible.
Shinsegae South City, Starfield Market, and the Bojeong-dong cafe street are not far, and the Hyundai Department Store Pangyo branch is also nearby. Suji Sports Park, Yongin Arpia Sports Park, and the Seongbokcheon walking trail are close as well. Facilities such as the Suji-gu public health center and Seoul National University Bundang Hospital are also available.
However, at 480 households, the complex is considered small compared with nearby large complexes, which is seen as a drawback given it is a new supply. The construction site is on the small side, so it did not take long to walk a lap around it.
Suji District is a highly preferred residential area within Yongin, but with few new supplies, there is substantial pent-up demand. However, with recent gains, it was designated as an area subject to adjustment and a speculative overheating district under the Oct. 15 measures, which affected buyers.
In the newly designated areas, the loan-to-value ratio (LTV) for mortgage loans is reduced to 40% from the previous 70%. That means buyers can borrow only up to 40% of the home price. The government said that for dwellings priced at 1.5 billion won or less, buyers can still take out up to 600 million won in mortgage loans as currently allowed, but in a regulated area the 40% LTV applies, so even for apartments at 1.5 billion won or less, a 600 million won loan is not available. In addition, in regulated areas, the resale of pre-sale rights for dwellings is prohibited for three years in the Seoul metropolitan area and one year in non-metropolitan regions.
An official at B Real Estate Agency in Pungdeokcheon-dong, Suji District, said, Until the Oct. 15 measures, the location was decent and it drew interest as a long-awaited new offering, but the announcement made all of that meaningless. With reduced lending and a cap on resales, things are quiet now.
The sale price for Suji Xi Edition has not yet been disclosed. The expected price is around 40 million won per pyeong, putting the 84-square-meter units at about the mid-1.3 billion won range. With no newly built complexes nearby for a direct comparison, the 1.3 billion won range is seen as somewhat high.
Park Ji-min, head of Wolyong Subscription Research Institute, said, The location and the expected price are both iffy, but Suji District has limited supply relative to demand, and the Xi brand has strengths. A sellout is possible, but the Oct. 15 measures have added various restrictions, so we will have to wait and see.