Korea's August overseas property purchases plunge

SEOUL, Sept. 24 (Yonhap) -- South Koreans' purchases of overseas properties fell sharply in August from a year earlier amid concerns over a global slowdown and a prolonged credit crisis in the U.S., a government report showed Wednesday.

South Koreans bought a total of US$45 million worth of properties in foreign
countries last month, down from $94 million in the same month of 2007, according
to the report by the Ministry of Strategy and Finance.
The sharp decline is attributed to concerns over a global slowdown and the U.S.
subprime mortgage crisis that discouraged Koreans from spending on foreign
houses, land and other properties.
Individuals' purchases totaled $29 million, while purchases by corporate entities
came to $15 million over the same period, the report showed.
The average amount of money spent on each purchase was $500,000, according to the
report.
By area, property purchases in Southeast Asian countries amounted to $4 million
last month and those in North America stood at $31 million.
A total of $10 million was spent to purchase properties for residential purposes,
with $35 million used for investment purposes, according to the report.
kokobj@yna.co.kr
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