Return of single family houses, Closing in Upon 130,000 Households a Year
Single family houses were overshadowed by the popularity of apartment houses, but it is today enjoying a renaissance. Following the changes in the residential environment and the efforts of construction companies to find new business opportunities, single family houses are regaining popularity and the number of wood buildings is on a constant rise.
In Korea, single family houses fell from being mainstream housing with the advent of the apartment homes in the 1980’s and was pushed farther away from the interest of homebuyers when high-rise apartments a hit in the 2000’s. However, single family houses are emerging as the new housing trend based on the recently increased supply.
In fact, the number of single family houses traded increased from 81,891 households in 2010 to 103,211 in 2014 and 129,065 in 2015, which is the highest figure since 2006 since such statistics were recorded.
The numbers of building permits and construction reports for wood buildings are also increasing. There were 5,600 permits and 4,200 construction reports for wood buildings in 2006 when Canada Wood Korea was established. But, the figures have increased consistently and the number of wood building permits increased up to 17,000 and wood building construction reports to 15,000 as of 2016 despite the stagnation in the Korean construction industry.
One of the reasons single family houses regained popularity is the new type of residential complex. A good example of this is the single family house block hat refers to a housing complex with community facilities. While managed communally like apartment house, it retains the advantages of single family houses such as the protection of privacy and maximized space. In particular, the single family houses community development is attracting relatively young customers in their 30s and 40s instead of older consumer groups who were the major customers of the real estate market.
Large construction companies are also joining the related businesses. Single family homes used to be for small and medium construction companies, as the scale was small and it was difficult to make a large profit. However, larger construction companies are changing their course of business as the ‘Wellbeing’ fever of those in their 20s and 30s brought a huge impact on the real estate market unlike the older generation that considered real estate as an investment.
Bukhangang Dongyeonjae, constructed by Gyeonggi Urban Innovation Corporation (GICO), which signed an technical cooperation MOU with Canada Wood, is also a community development of single family houses. The Province of Alberta provided lumber for the community center of Bukhangang Dongyeonjae through Canada Wood and GICO named the facility ‘Maple Hall’ in acknowledgement of the support.