Photo : YONHAP News
Local builders’ new orders for housing construction hit a six-year low in July.
According to the Construction Association of Korea on Sunday, new orders for housing construction came to three-point-64 trillion won in July, down 12-point-nine percent from a year earlier.
Compared to the same period of 2022, the figure plunged by 62-point-four percent.
The latest figure marks the lowest for the month since July 2018, when it posted three-point-43 trillion won.
Local builders’ new orders for private housing came to three-point-41 trillion won in July, down 17-point-two percent from a year ago.
New orders for public housing reached 237-point-four billion won, which more than doubled from a year earlier but slipped 43-point-one percent from two years ago.
The drop is attributed to difficulties in financing construction projects called project financing and builders’ avoidance of taking on housing orders due to rising construction costs and a downturn in the housing market.