The number of apartment auctions nationwide exceeded 3,000 last month, the highest in eight years and 10 months.
In the aftermath of the real estate economic downturn and high interest rates, it is analyzed that the "young chops (people who bought a house with a loan by collecting even their souls)" are not holding out.
According to Jiji Auction, a company specializing in public and private data on the 11th, the number of apartment auctions nationwide last month was 3,144, up 18.1% from 2,663 in March.
It is the first time in three years and five months that the number of monthly apartment auctions has exceeded 3,000 since November 2020 (3,593).
The successful bid rate (the ratio of the number of successful bids to the number of successful bids) rose 5.3 percentage points to 40.6 percent from 35.3 percent in March.
The successful bid price ratio (the ratio of the successful bid to the appraised price) was 86.1%, showing an upward trend for five consecutive months.
Auction items are increasing in the Seoul metropolitan area, including Seoul, Gyeonggi and Incheon. The number of apartment auctions in Seoul last month was 351, the highest number in eight years and 10 months since June 2015 (358 cases).
The successful bid rate was 45.3 percent, up 10.4 percentage points from the previous month (34.9 percent).
The successful bid rate for apartments in Hannam-dong, Jamsil-dong, and Yeouido was high, and small and medium-sized apartments worth less than 900 million won rose in other regions.
The number of apartments held in Gyeonggi Province was 650, up 12.7% from the previous month (577 cases), and the number of auctions in Incheon was 217, up 30.7% from the previous month (166 cases).
The increase in the number of apartment auctions seems to be due to the growing burden on the Yeongchul people, who started to buy their own house around 2021 when housing prices were soaring.
As of the 9th, five major commercial banks, including KB Kookmin, Shinhan, Hana, Woori, and NH Nonghyup, have fixed-rate maintenance rates of 3.41 to 5.70% per year.
Unlike early March (3.25-5.47%) and early last month (3.06-5.48%), when interest rates remained at a similar level, both the upper and lower interest rates rose.
Considering that the U.S. delays the timing of the base rate cut due to inflation concerns, the high interest rate trend is expected to be maintained for the time being.
