This meeting was held on the 8th of last month to share the progress of the purchase commitment project for unsold housing on public housing land in the metropolitan area, which LH is promoting in accordance with the government’s plan to expand housing supply for the people’s residential stability, and to listen to and communicate with industry suggestions.
Attending the meeting were LH President Lee Han-joon, the Korea Housing Association, the Korea Housing Construction Association, as well as representatives and officials of construction companies that applied for purchase confirmation.
At the meeting on this day, LH announced that as a result of receiving applications for purchase confirmation from the 19th of last month, 31 lots and approximately 20,000 units were applied for in just over a month.
This is more than half of the initially estimated application size of 36,000 homes. It is interpreted that applications from the industry have been flocking considering that LH’s purchase commitment not only resolves the risk of unsold units at the completion stage, but also reduces the financing interest rate and makes it easier to convert to this PF even at the start stage.
LH announced that it plans to proceed with the confirmation process quickly and complete the purchase commitment within one month from the date of receipt of the confirmation application.
At the meeting on this day, it was revealed that various opinions were expressed from the private construction industry, such as expanding the purchase confirmation target, increasing the residential ratio of residential-commercial complex sites, and allowing residential officetels in urban support facility sites. LH plans to actively review directions for improvement in consultation with the Ministry of Land, Infrastructure and Transport and local governments.
A construction industry official who participated in the event said, “There were some difficulties in starting the project, but business conditions have improved significantly through LH’s credit reinforcement, so we plan to accelerate the start of construction and housing supply.”
Lee Young-gyu, executive director of the Korea Housing Association, said, “We are grateful to the government and LH for establishing a good system for the stagnant housing market.” He added, “The purchase commitment system for unsold units is of great significance in improving business conditions, such as lowering the financing interest rate due to LH’s credit reinforcement. “This is expected to ultimately lead to an expansion of housing supply and greatly contribute to stabilizing housing prices.”
On this day, LH CEO Lee Han-joon said, “We are doing our best to stabilize the housing market in the metropolitan area where demand is concentrated and resolve housing instability, such as confirming the purchase of unsold properties and expanding new construction purchase leases.” He added, “LH is acting as a priming ground for starting a business with the burden of risk of unsold properties.” “As I am in charge of this, I hope you will accelerate the start of housing construction so that we can provide enough high-quality housing to the public as soon as possible.”
2024-09-27 08:15:23