North Korea previously allowed for private investments in housing construction and sold houses to individuals as part of its economic reforms enacted in July, 2002.

Sources familiar with North Korea said Pyongyang authorities introduced measures to induce investment in housing construction by allotting a number of homes for such investors.

Several houses were also handed over in exchange for stashes of foreign currency, the sources said.

But the measures were apparently suspended recently due to concerns that it may eventually lead to destabilzing the communist state.