2012-2022 Number of buildings sold and transferred, building licenses issued, and number of residences with licenses issued

Reporter Xu Yiping / special report

Last year, the housing market saw its first decline in buying momentum in six years, but the number of residential buildings issued with building permits exploded in 15 years.

(file photo)

Last year, the number of transferred buildings across the country fell below 320,000, which was the first decline in buying momentum in six years. In the same year, the sales rate of new projects in northern Taiwan also fell below 50%, which was the first decline in nearly three years.

However, while the demand side is shrinking, the supply side continues to explode in large numbers. Last year, the number of residential buildings approved and approved by the government and the number of licensed houses are all new highs since the financial tsunami. The number of residential licensed houses is a 15-year high. The number is a 28-year high.

According to statistics from the Ministry of the Interior, last year, the number of buildings sold and transferred nationwide was about 318,000, a decrease of 30,000 or 8.6% compared with 2021; real estate developers said that buying momentum began to slow down in the second half of last year, and it is expected that buying momentum will continue this year shrinking.

As for the sales of new projects last year, according to the statistics of "Zhouzhan" magazine, the sales rate of new projects in northern Taiwan was only about 45.4% last year, a decrease of 14.7 percentage points compared to 2021, and it is the worst since 2018.

Please read on...

Buying momentum for new projects in Taichung and Kaohsiung has shrunk significantly. If the temperature cannot be recovered, the price may fall

Real estate market commentator He Shichang analyzed that in the past, most of the selling pressure in the real estate market came from existing houses, especially in emerging rezoning areas with a large number of completed and handed over houses, which had a large correction when the real estate market reversed. The selling pressure of existing homes is locked by the 5-year heavy tax lock-in period; therefore, if the housing market reverses in the future, the selling pressure may come from pre-sale houses, especially last year, when the number of proposals exploded and the skyrocketing Kaohsiung and Taichung, buying momentum in recent years Significant recession, the pressure to eliminate new construction is heavy.

He Shichang believes that unless the sales rate of new projects stops falling and rebounds in the first quarter, price corrections will be inevitable.

For homebuyers, if the house price is revised this year, it may be a good time to buy a house. However, when buying a pre-sale house, one must choose a reliable builder carefully, so as not to lose a handful of rice if they don’t get a cheap one.

It is quite clear that the buying momentum of the housing market began to shrink last year. However, in the past few years, builders aggressively grabbed land at high prices, and even actively launched new projects, resulting in residential building licenses and the number of licensed houses rising year after year, especially last year. More than 180,000 houses, a record high in 28 years; looking at the newly added residential area, the total floor area of ​​residential construction photos last year was nearly 7.62 million pings, exceeding the scale of 67 Taipei 101 buildings, a new high in 27 years and the fifth highest in history; Last year, the number of licensed residential buildings issued exceeded 110,000, a 15-year high since the financial tsunami in 2008. The total floor area exceeded 5.02 million pings, surpassing the scale of 44 Taipei 101 buildings.

Zeng Jingde, the project manager of Xinyi Housing Real Estate Enterprise Research Office, said that although there are a large number of residential leased houses, the pre-sale projects are also sold well because the purchase price was for self-use 2 or 3 years ago. Stable bargaining chips have emerged; however, it is more dangerous to see a large number of construction photos in the past two years: first, investors will enter the market to buy pre-sales in the first half of 2021 to 2022; second, the current pre-sale sales rate has been cut in half, which means that many houses have not been sold However, once builders start to feel financial pressure, there may be a phenomenon of price cuts and cash.

Supply and demand in the housing market formed a "death cross" last year

Huang Shuwei, head of Colliers International's homeowner representative service department, said that the number of houses issued with building permits hit a 28-year high last year, but the buying momentum in the real estate market is not as strong as in the past.

Taking 1994 as an example, the number of residential building licenses issued in that year was 215,000 houses, and the number of houses sold and transferred in the same year was as high as 491,800 houses. Dong, last year, the supply and demand of the overall housing market saw an epic-level large amount of new supply, but encountered a deteriorating structural shrinkage of buying, forming an alternative "death cross". How the small and medium-sized builders can escape the multiple tests of policies, markets, and funds deserves the attention of the competent authorities and consumers.

Grasp the pulse of the economy with one hand I subscribe to Free Finance Youtube channel

Already added friends, thank you

Welcome to 【Free Finance】

feel good

Already liked it, thank you.