• Journal of The Korean Digital Architecture Interior Association
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• v.12 no.1
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• pp.35-43
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• 2012

This study aimed to seek a method capable of hedging a rising risk of housing rent price by introducing derivatives with the target of Korean housing rent markets. The research model used in this thesis progressed a research by applying a futures contract method with the target of the rent price of major apartments in Gangnam and Gangbuk Regions of Seoul. As an analysis result, the rent price of all complexes has risen during its analysis period, so it could be confirmed that the CRB future index was also risen according to this. Finally, it was confirmed that the rising risk of the rent price can be hedged through a purchase position of futures. But, as the difference between rent price variation and CRB future index variation occurs, it appeared that 100% of hedge is difficult. However, it is judged that if considering that a method capable of hedging the rising risk of the existing rent price was nonexistent, the hedge trading effect utilizing the CRB future index on the rent price will be meaningful.

• Land and Housing Review
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• v.9 no.4
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• pp.1-9
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• 2018

Since year 2000, French housing and rent prices rose at a rapid rate and the housing market has been overheated. Face to this phenomena, the French government enacted a new law Alur which is a legislatif tool to control the private housing rent price for the cities, where the tension of the housing market is very high. This new law has impacted the housing market in two major ways. First, for the 38 cities designated by this law, the rent price's increase rate can not rise above the IRL, which is the rent reference index. Secondly, this law also permits local authorities to control the housing rent's price following the concrete price guidance. Especially in Paris, the city applicated this method for private rental housing since 2015. This city classified its own area by 14 zones. Based on the market surveys of each sector, local authority made a guidance for private housing rent's price. The guideline is consisted of average prices, maxima and minima price by types, which is classified by the construction year, number of rooms and furnished or not. Therefore, this study aims to understand french housing rent's price control system and draw implementation for korean housing rent policies. This research is meaningful for it introduces recent foreign regislations which could be helpful to control the housing market in Korea.

• Journal of The Korean Digital Architecture Interior Association
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• v.10 no.2
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• pp.13-20
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• 2010

Uncertainty in housing price fluctuation has great impact on the overall economy due to importance of housing market as both place of residence and investment target. Therefore, estimating housing market condition is a highly important task in terms of setting national policy. Primary indicator of the housing market is a ratio between rent and transaction price of housing. The research explores dynamic relationships between Rent-Transaction price ratio, housing transaction price and jeonse rental price, using Vector Autoregressive Model, in order to demonstrate significance of shifting rent-transaction price that is subject to changes in housing transaction and housing rental market. The research applied housing transaction price index and housing rental price index as an indicator to measure transaction and rental price of housing. The price index and data for price ratio was derived from statistical data of the Kookmin Bank. The time-series data contains monthly data ranging between January 1999 and November 2009; the data was log transformed to convert to level variable. The analysis result suggests that the rising ratio between rent-transaction price of housing should be interpreted as a precursor for rise of housing transaction price, rather than judging as a mere indicator of a current trend.

• Survey Research
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• v.9 no.3
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• pp.1-21
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• 2008

The housing market in Korea had mainly consisted of Maemae(purchasing market) and Chonsei(rental market). Since 1997 foreign exchange crisis, the rental housing market has experienced substantial changes in preferred rental contracts between Chonsei and monthly-rent. Even though monthly-rent has taken a substantial portion of housing rental contracts, not yet reliable monthly-rent index has been developed. Furthermore, it isn't obvious to define monthly-rent because there are many types of monthly rent structures from full-monthly-rent to monthly-rent-with-variable-deposit. This study is the basic research of developing a housing price index of monthly-rent in accordance with the existing price index of Maemae and Chonsei in Korea. This research has been carried out with the following contents: (1) Constructing the actually desirable concept of monthly-rent through examining monthly-rental market in Korea. (2) Selecting the reasonable method to investigate monthly-rental market, especially monthly-rent-with-variable -deposit. (3) Designing monthly-rental market samples and calculating the price index of monthly-rent based on 2005 Census.

• The Journal of the Korea Contents Association
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• v.20 no.3
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• pp.245-253
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• 2020

If the conversion rate of jeonse price to monthly rent is the market interest rate or the landlord's expected return, then the conversion rate of jeonse price to monthly rent in the country should be the same. However, the conversion rate of jeonse price to monthly rent has always been higher than the market interest rate. This study identifies the supply cost components of rental housing as a risk premium in the presence of current housing prices, market interest rates, depreciation costs, holding taxes, and leases, and identifies the relationship between the current housing prices and each factor. Housing rent is expressed as the current price. This overcomes the shortcomings that implicitly assume fluctuations in housing prices or do not include current housing prices in the conversion rate of jeonse price to monthly rent. This study found that the conversion rate of jeonse price to monthly rent is the required rate of return or required rate of renter, not market interest rate, by expressing the supply cost of rental housing as a combination of components. This not only explained the fact that the conversion rate of jeonse price to monthly rent was always higher than the market interest rate, but also explained the regional differences. It also explained why the conversion rate of jeonse price to monthly rent varies by type of housing.

• Journal of the Korean Data and Information Science Society
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• v.25 no.6
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• pp.1361-1369
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• 2014

This research is for analyzing the change rate of housing rent price index produced by KAB (Korea Appraisal Board) in the monthly periodical, Survey on Housing Monthly Rent. The index is a very important and useful indicator to understand and diagnose the house rental market. However, the index is criticized in that it tends to decline when the price level of Jeonse (i.e., a typical type of dwellings in Korea, generally leased on a deposit basis for 1 or 2 years) is highly going up, which is inconsistent with the actual economic sentiment of tenants. We verify the reason why such phenomenon occurs and suggest a simple but novel method to analyze properly the change rate of the index. The main findings are as follows. The key factor to trigger the problem is the use of the conversion rate for Jeonse-to-monthly rent for constructing the rent price indexes. We separate the effect of the conversion rate out of the change rate of the index and quantify the adjusted real change rate showing an increase of the rent price level which is masked by the conversion rate before.

• Journal of the Korean Regional Science Association
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• v.31 no.2
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• pp.63-77
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• 2015

Effects of shifting trend from Chonsei to monthly-rent and the changes in rental housing prices upon the welfare of tenants has been analyzed. In 2014, welfare of tenants has been found to be decreased by 660 billion Korean Won due to the change in rental housing prices. From the point of view of the welfare of tenants, it has been found that monthly-rent stabilizing policies are 1.47 times more effective than Chonsei price stabilizing policies. The effect of monthly-rent stabilizing policies has been found to be increased with the increase in the proportion of monthly-rent transaction, the decrease in the speed of the shifting trend from Chonsei to monthly-rent, the decrease in interest rate, the decrease in the proportion of variable deposit in monthly-rent, the decrease in the proportion of debt in Chonsei deposit. These findings indicate that the relative importance of monthly-rent stabilizing policies will be increased in the future.

• Journal of the Korean Data and Information Science Society
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• v.28 no.2
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• pp.327-337
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• 2017

In this study we compared three models for small area estimation, Fay-Herriot, Hierarchical Bayses model and spatio-temporal model about charter, monthly rent price index. Charter, monthly rent price of Korea are important issue in these days. Because housing type rapidly changes from self to charter and monthly rent. The accuracy of the estimation was checked on four scales, that is ARB, ASRB, AAB, ASD. In this result, the spatio-temporal model among applied models has most optimal scales about small area estimation of charter and monthly rent index.

• Journal of the Korean Regional Science Association
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• v.34 no.1
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• pp.3-17
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• 2018

This paper empirically investigates time-varying regression parameter of hedonic price model for Seoul office rental market in distinct periods of a market cycle. Office rental index is constructed and the index indicates that the global financial crisis differentiates the analysis period into decline stage and recovery stage. Pre-crisis period is classified into decline stage and post-crisis is classified into recovery stage. Structural break-point test suggests structural change of hedonic model of rent determinants occurred in 2008. Evidence indicates that individual regression parameters of hedonic price model for decline stage are significantly different from those for recovery stage. Changes in the regression parameters of land price, distance to metro, building size, building age, and conversion rate are consistent. In recovery stage, the effect of locational advantage on office rent decreases whereas the effect of building characteristics on the rent increases.

• Journal of Digital Convergence
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• v.17 no.1
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• pp.55-62
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• 2019

This study analyzed the relationship between housing price, purchase price, Gini coefficient, interest rate, and the employment, considering that the change in housing price was an important factor influencing macroeconomic variables and income inequality. The panel VAR model was constructed considering the panel data, and the Granger causality, Impulse response and Variance dispersion analysis were performed. As a result, when compared to before and after the global financial crisis, it was shown that the rent price had an effect on income inequality, but in the following period, both the rent price and the selling price affected the income inequality. And that it has a large impact on inequality. In addition, the causality between income inequality and employment rate, interest rate, and tax rate was confirmed. Therefore, it is expected that it will be a desirable policy to mitigate income inequality considering the influence of policy variables for economic activation including government real estate policy.