Construction permits for new homes surge 53.4 pct in Aug.

SEJONG, Sept. 24 (Yonhap) -- The number of permits for new homes rose more than 50 percent in August from a year earlier, marking the eighth consecutive month of such increases, the government said Wednesday, although actual construction starts fell.

The Ministry of Land, Infrastructure and Transport said it issued 49,067 construction permits for new homes last month, up 53.4 percent from the same month last year.

The growth, however, comes amid lingering concerns of a downturn in the property market from an oversupply of homes.

As of the end of July, the number of unsold new homes in the country came to 51,287, up 2 percent from 50,257 in the previous month.

July also marked the third consecutive month that the number of unsold new houses in the country increased on-month. The number of new housing units that actually began construction in August plunged 10.9 percent on-year to 31,577, the ministry said.

The number of unsold new homes in the capital area stood at 26,797 as of end-July.

In August, the number of construction permits for new homes in the capital region dropped 1.6 percent on-year to 14,465, while the number for Seoul alone plunged 69.7 percent, it said.

The new economic team led by Finance Minister Choi Kyung-hwan has been easing real estate regulations since taking office in July, hoping to revive the slumped market to help economic recovery.

bdk@yna.co.kr
(END)