00:00before you sign anything in korea's property market it's tuesday november third let's look at what's happening in korea's property
00:06market bundang newtown is one of the largest planned cities built near seoul in the late nineteen nineties
00:12the city of sungnam has now selected five more complexes for priority redevelopment on top of four selected earlier together
00:19the two rounds could reshape roughly twenty thousand homes around bundang central park here's what the numbers show
00:25the five newly selected zones total thirteen thousand four hundred twenty nine households which is about eleven point nine percent
00:32more than the city's original plan of twelve thousand a seoul hyunyen medium-sized unit traded at two point three
00:38eight billion one this month up from between two and two point one billion one in may smaller units are
00:44rising even faster with one twenty eight square meter apartment jumping from roughly nine hundred to one billion one close
00:51to one hundred million one per pyong at the same time apartment sales and
00:55bundang fell from five hundred fifteen deals in may to one hundred fifty two in august a drop of nearly
01:01seventy percent in three months construction costs are climbing too seoul's rebuilding projects now list a floor for construction bids
01:08of about eight point five million one per pyong compared with the high seven million one range last year in
01:14some high-end han river projects bids have topped fifteen million one per pyong builders are choosing projects carefully which
01:21gives developers less bargaining power than before now the bigger picture
01:25the next round of priority selections in bundang will be decided in one evaluation next year roughly twenty five thousand
01:31households are expected to be chosen with ten thousand designated for rebuilding in twenty twenty seven and the rest managed
01:38as reserve zones through twenty thirty so what does this mean for buyers weighing a purchase this year for buyers
01:43with a long horizon the rebuilding pipeline is a real signal the selected complexes sit near bundang central park which
01:50many analysts see as an advantage for density and sales
01:53so the upside is tied to how fast projects move from selection to construction for buyers with tighter budgets the
01:59picture is more complicated loan limits have pushed demand towards smaller units and pricing has followed earlier we said that
02:06the numbers were moving faster than the paperwork here's what that actually means for you a rise in price today
02:12doesn't guarantee a return and the expected cost of rebuilding
02:15with estimated member contributions of 300 million to 500 million one could eat into any gains watch the december designation
02:23the construction bid results and the next round of contributions before you commit that's today's a.i. prism real estate
02:30this episode was produced with a.i. assistance based on sole economic daily reporting a.i. prism is a won
02:37ifra award-winning series we'll be back tomorrow
