The sluggish real estate market in Seoul will bounce back this year after bottoming out in the coming months, BoA-Merrill Lynch predicted Tuesday.
“Thanks to the recent reduction of housing supply and the growing feasibility of the government-led regulation easing on property transactions, there is a high possibility that the Seoul region real estate market will be vitalized in 2013,” the Korea Center for International Finance said, citing a report from BoA-Merrill Lynch.
However, the research center commented on the report, which expected the consumer sentiment in the “provincial” realty markets nationwide would still remain in doldrums.
A survey showed that more than half of Seoulites and residents of satellite cities said vitalization of the real estate market is necessary.
According to a poll by the Korea Chamber of Commerce and Industry, 54 percent of the 500 adults and 88 property experts said a boom in the real estate market is needed.
About 20 percent of the respondents said vitalization is unnecessary while 25 percent of them did not pick either.
A large portion of the respondents among those who picked the necessity expressed worries over instability in the financial market and economic slowdown from the ongoing lackluster realty market.
