April Jeonse and Wolse Transaction Volume Up 5.2% Year-on-Year

Monthly Jeonse and Wolse Transaction Volume (Provided by the Ministry of Land, Infrastructure and Transport)

[Asia Economy Reporter Lee Chun-hee] Due to the impact of the novel coronavirus infection (COVID-19) and government regulations, the sales market has contracted, while the volume of jeonse and wolse (lease and monthly rent) transactions continues to show strength. Last month, the volume of jeonse and wolse transactions recorded the highest levels in five years in both monthly and cumulative annual statistics.

On the 19th, the Ministry of Land, Infrastructure and Transport announced that the volume of jeonse and wolse transactions last month, based on confirmed date data, was 170,216 cases. This represents a 14.8% decrease compared to 199,758 cases in the previous month, but a 5.2% increase compared to 161,744 cases in the same month last year, and a 17.0% increase compared to the five-year average of 145,541 cases.

Typically, moving demand increases in the first quarter (January to March), leading to a rise in jeonse and wolse transactions, followed by a slight decline starting in April.

As of last month, the cumulative volume of jeonse and wolse transactions this year also reached 767,730 cases, which is 24.0% higher than the five-year average of 619,338 cases, maintaining a level above previous years.

Similar trends were observed by region. In Seoul, the volume of jeonse and wolse transactions last month was recorded at 64,709 cases. This is a 16.3% decrease compared to the previous year’s 64,709 cases, but a 4.1% increase compared to 52,031 cases in the same month last year.

By type, the volume of apartment jeonse and wolse transactions nationwide last month was 81,577 cases, which fell 11.2% compared to the previous month but rose 10.2% compared to the same month last year, showing the same pattern.

The proportion of monthly rent transactions among all jeonse and wolse transactions was 40.8%. This is an increase of 0.5 percentage points compared to the same month last year and an increase of 0.1 percentage points compared to the previous month.

This content was produced with the assistance of AI translation services.