Seoul's supply has also decreased, and Gyeonggi-do's supply of preferred locatio

- New build premium. It can be paid by subscription, but it is a risk when buying a build.

"Eoljukshin" is popular these days. It means a new building even if you freeze to death, but the price of a new apartment is also very high. Even if you look at the Seoulwon I-Park that was sold this time, Wolgye-dong is a neighborhood that costs about 26 million won per pyeong, but it was sold for 40 million won because it was a new building. It is more than 50% expensive, but compared to the past, the gap between new construction and construction is quite wide.

The new construction premium has been steadily high over the past five years or so, but in fact, supply has not been so easy during this period.

Seoul's supply has also decreased, and Gyeonggi-do's supply of preferred locations has also decreased. (The number alone suggests that there is enough supply, but the supply of preferred regions has plummeted since the late 2010s.)

As the supply of new apartments decreases, new apartments become scarce, right? That's why new apartments are more expensive than in the past. It's a new building premium.

Housing prices are supply and demand, after all. The supply of new construction has decreased, and the demand for new construction has increased as the economy of the country grows, so there is a premium, which continues to be maintained.
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The preference for new construction is more than 10 or 20 years old. There has been a steady preference for new construction. Who doesn't like new houses? What has changed is that the new construction premium has increased compared to the past.

As the lease on a deposit basis supply increased in the new residential area, the lease on a deposit basis market fell out and entered the new lease on a deposit basis at a low price. People say that the lease on a deposit basis has risen significantly in two years. You've probably heard of it a lot.

Due to the right to renew the contract, the deposit does not rise so rapidly when renewing the lease, but the lease on a deposit basis price at the time of occupancy has also increased significantly compared to the past. In the past, new tenancies were almost flat.

Anyway, the difference over the past five years is that new construction prices are too high for construction, and the key is that they are in short supply due to the lack of new construction supply in the preferred location. Then we need to see if it's worth paying this high price.
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When I invest, I don't pay a sizable premium. I even avoid super-tax premiums as much as possible. Premiums are factors beyond our control, and they are a potential risk.

Do you think the station influence area has its advantages? No. Restaurants and bars usually enter the station influence area, which hinders the educational environment. Because apartments revolve around the demand for households with three to four children to educate, a super-stationary area is not that important in the apartment market. Of course, the price of apartments in the super-station area is higher, but it's more of a marketability premium than a location.

If I have the money to pay the super-tax premium, I increase my position. The core of demand is not the marketability such as the super-tax or new construction, but the location of the region.
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There are other types of premiums, too. View premium. There are some apartments that have a view premium on the Han River, and sometimes there is a view premium on the Tancheon Stream in Bundang or Yongin, but I don't pay at all. View premium is more like an active avoidance.
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I think you can pay for the new build premium if you approach it by subscription. But if you buy the build directly, I don't recommend it.

Because subscription goes in cases where there is a price advantage, but we all subscribe when there is a sufficient safety margin, right?

And what's hidden in the subscription is that you're going to buy it at a new premium based on the current market price, but the actual supply is two or three years later. You're actually investing in it during that time period. It's kind of a gift buy. It's going up by the rate of increase in the apartment market over the years, so when you actually move in, it's not expensive.

Trading is different. Buying and selling is 100% voluntary within a given amount of money, and in this case, paying a new construction premium is an act of paying a new construction premium that is cut in the process of building a new construction.

In terms of renting a shopping mall, I paid the premium and came in, but the premium was cut. The only future of a new apartment is to be built.

What if the supply of new construction becomes active again? Then the scarcity of new construction will decrease and the premium of new construction will be cut more sharply. It will dilute the scarcity. So the premium of new construction can be depreciated and is also a potential risk of lowering scarcity.

It is different from making a new construction subscription that will be supplied in a few years with a safety margin, and buying a new or semi-new construction at a premium now.
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So, I would like to tell you to buy an apartment up to 2000 if the elevator is connected to the underground parking lot and the structure is good.

New construction is to pay for new construction while living in a new construction premium. When you enter the house, you make a loan, and you pay that loan as a monthly salary. I'm spending my time, which is in exchange for my life, to pay the new construction premium. This is an investment situation that should be avoided at all.

A built-up apartment goes up according to the rate of increase in that location. Location is the core of real estate, especially apartments. If the age is old, but the location is good, the market price goes up according to the rate of increase in that location. Of course, there is no new building premium for apartments over 10 years old. Someone in the past paid that premium.
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Let's make a realistic comparison. For money to fit in a semi-new apartment under 10 years in Oksu-dong or Kumho-dong, you can fit in a 20-year-old apartment in Dogok-dong.

Oksu-dong Geumho-dong is a good area, but are you going to pay a premium for the semi-new construction here, or are you going to live in Dogok-dong, where the underground parking lot elevator is connected and all elementary, middle and high schools can be sent?

Also, wouldn't the price go up just because Dogok-dong has been built for more than 20 years? It's close to work, elementary, middle and high schools