The Korean housing industry has welcomed the introduction of an appraiser recommendation system in the rental deposit guarantee process for constructed rental housing. The industry, which has struggled with declining appraisal values for rental properties, expects the new system to enable more objective and reliable appraisals.
The Korea Housing Builders Association (KHBA) on Tuesday expressed strong support for the Korea Housing & Urban Guarantee Corporation's (HUG) recent adoption of the Korea Association of Property Appraisers' "appraiser recommendation system" alongside its existing process for rental deposit guarantees on constructed rental housing.
"The housing industry has faced management difficulties due to declining appraisal values for rental properties amid the economic downturn," the association said. "The introduction of this system has established a foundation for more objective and reliable appraisals."
The association also praised HUG for continuously communicating with the industry and improving housing guarantee-related policies, including this latest appraisal system reform. It particularly commended the strengthened dialogue with the industry since Choi In-ho took office as HUG president, applauding his "communication-driven management" approach.
The association also expects HUG's preemptive support measures, including the "guarantee fee discount" implemented to ease the industry's burden amid heightened instability in the Middle East, to contribute to expanding the supply of rental apartments that serve as a housing ladder for ordinary citizens.
"We plan to further strengthen communication and cooperation with HUG going forward," an association official said. "Based on this close partnership, we hope the housing market will quickly regain vitality and return to normal."
