SEJONG, Feb. 14 (Korea Bizwire) – South Korea’s home transactions dropped more than 6 percent from a year earlier last month, government data showed Tuesday, as investors stayed cautious amid growing uncertainties at home and abroad.
The number of home transactions came to 58,539 in January, down 6.1 percent from the same month in 2016, according to the Ministry of Land, Infrastructure and Transport. The tally marked a 33.9-percent plunge from the previous month.
Industry experts attributed the decrease to people taking a wait-and-see attitude due to uncertainties and a government plan in early November to limit the number of new homes to be built over the upcoming years.
“January’s transactions shrank compared to the previous month but the tally is 14.1 percent higher than the five-year average,” said a ministry official, adding that January is traditionally an off-season.
In January, home transactions in Seoul dropped 10.8 percent on-year, and shrank 44.9 percent compared to the previous month, according to the ministry.
In the capital region that also includes the western port city of Incheon and Gyeonggi Province, home transactions decreased 12.3 percent on-year to 26,042. Home transactions in rural areas slipped 0.5 percent to 32,497.