The number of transactions for pre-sale rights and move-in rights for Seoul apartments nearly doubled through February this year from late last year. A pre-sale right is the right to move into a new apartment through a subscription win, and a move-in right is the right of a redevelopment or reconstruction union member to receive a new apartment after tearing down existing dwellings. In some complexes, pre-sale rights changed hands at prices more than 1 billion won higher than the 2024 pre-sale price.
Transactions for pre-sale and move-in rights were concentrated mainly in key residential areas north of the Han River. With new apartment supply shrinking and subscription wins hard to come by, many expect the popularity of pre-sale and move-in rights to continue.
According to the Ministry of Land, Infrastructure and Transport on the 18th, the number of sales transactions for pre-sale and move-in rights for Seoul apartments in January–February was 195. That was up 91 (87.5%) from the previous two months, November–December last year (104). Cumulative pre-sale and move-in right transactions for Seoul apartments through Mar. 16 totaled 204.
Transactions for pre-sale and move-in rights were concentrated mainly in the northern Seoul area. According to ZIGBANG CO., through the 16th this year the location with the most sales contracts for pre-sale and move-in rights was Seoul One I'Park in Wolgye-dong, Nowon-gu. There were 56 sales. HDC Hyundai Development Company is developing it as part of the Gwangwoon University Station area development at 85-7 Wolgye-dong, with 6 buildings of 4 underground to 47 above-ground floors and 1,856 households. Completion is scheduled for Jul. 2028. The Sharp First World (30 transactions), being built by POSCO E&C on the former Sangbong Terminal site in Sangbong-dong, Jungnang-gu, and Hanwha Forena Mia (10 transactions), built by Hanwha in Mia-dong, Gangbuk-gu, also recorded double-digit transactions.
Some complexes also saw sales prices rise. On Feb. 28, a pre-sale right for a 59.99-square-meter exclusive area at Mapo Xi Hillstate Lachels was transacted at 2.62 billion won. It had transacted at 2.55 billion won on Oct. 13 last year, rising 70 million won in four months. Built by GS Engineering & Construction and Hyundai Engineering & Construction in the area of 105-84 Gongdeok-dong, this complex is being created through the reconstruction of the Gongdeok District 1 detached dwellings into 10 buildings, 4 underground to 22 above-ground floors, with 1,101 households. Completion is scheduled for Mar. 2027. At the time of the Jul. 2024 pre-sale, the average pre-sale price per 3.3 square meters was about 51.5 million won, making it the first in northern Seoul to exceed 50 million won per 3.3 square meters. The pre-sale price for 59 square meters at the time was about 1.32–1.34 billion won, meaning it transacted at a price 1.3 billion won higher than the pre-sale price in 1 year and 7 months.
Also, at Hillstate Mediale, which is redeveloping the Daejo District 1 in Eunpyeong-gu, a 74.8-square-meter exclusive area move-in right was transacted at 1,356.2 million won on Feb. 28. A move-in right of the same size was transacted at 1,297.44 million won on Feb. 13, rising 58.76 million won in two weeks. Built by Hyundai Engineering & Construction, this complex consists of 28 buildings, 4 underground to 25 above-ground floors, with 2,451 households, and is scheduled for completion in Oct.
There are also expectations that the popularity of pre-sale and move-in right transactions will continue. Yang Ji-young, a senior official at Shinhan Investment & Securities, said, "New apartment supply has decreased, and in locations with good access such as central Seoul it is quite difficult to win subscriptions, so interest in pre-sale and move-in rights is expected to be high."
Nam Hyeok-woo at Woori Bank's Real Estate Research Institute said, "Pre-sale and move-in rights are not places where you can move in right away, so listings come out at discounted prices, offering the advantage of transacting at lower prices than other new complexes," and added, "In particular, as transactions led by end users without dwellings have recently increased, interest has shifted to pre-sale and move-in rights in northern Seoul rather than the Gangnam area, where prices are too high."