【Korea Joongang Daily】Korea property price drop squeezes ‘gap investors’
Property investors are dumping assets on the expectation that prices are set to decline, and so-called gap investors are also selling.
“Many are selling their real estate, except for few key properties, in order to manage risk,” said Han Moon-do, Yonsei University professor of real estate finance. “They think the housing prices have peaked.”
Gap investing is possible when the purchase price and the jeonse price, or long-term deposit rent, are about the same. This allows the investor to purchase the apartment with little investment.