Seoul Jeonse Prices Rise for 50th Week... Major Apartment Complexes Moving In from June to August

Demand for transactions shrinks due to stricter regulations
Prices likely to rise further as supply of new homes decreases

[Asia Economy Reporter Onyu Lim] Seoul apartment jeonse prices have risen for 50 consecutive weeks, increasing anxiety among tenants. The upward trend has continued for nearly a year since the first week of July last year.

According to the Korea Real Estate Board on the 17th, the rise in jeonse prices is led by high-priced residential areas such as Songpa-gu (0.16%), Gangdong-gu (0.12%), Gangnam and Seocho-gu (0.1%) in the Gangnam area, as well as Mapo-gu (0.12%) and Yongsan-gu (0.7%). The board explained, "Due to loan restrictions and strengthened residency requirements from the December 16, 2022 measures, sales demand has contracted, and with interest rate cuts and a decrease in new housing supply, jeonse supply is insufficient. Jeonse prices have risen mainly in areas with good school districts and transportation conditions or those affected by relocation demand, expanding the rate of increase."

Since a decrease in new housing supply is expected, the rise in jeonse prices is likely to continue for some time. According to Real Estate 114, the number of new housing units in Seoul will decrease from 42,456 units this year to 22,977 units next year. From June to August, a total of 15 complexes are scheduled for move-in in Seoul. Among them, there are no large complexes with more than 2,000 units.

There are four complexes with over 1,000 units: DMC Lotte Castle The First in Susaek-dong, Eunpyeong-gu; e-Pyeonhansesang Songpa Park Central in Geoyeodong, Songpa-gu; Sagajeong Central I-Park in Myeonmok-dong, Jungnang-gu; and Hillstate Sinchon in Bukahyeon-dong, Seodaemun-gu.

DMC Lotte Castle The First, moving in at the end of this month, is the first sale complex in the Susaek-Jeungsan New Town, consisting of a total of 1,192 units. It is within walking distance to the Sangam DMC business district and close to Susaek Station and Digital Media City Station on the Gyeongui-Jungang Line. e-Pyeonhansesang Songpa Park Central will begin move-in on the 30th. It is a complex rebuilt from the Geoyeodong 2-2 district of the Geoye-Macheon New Town, the only new town in the Gangnam area, with a total of 1,199 units. It is within walking distance to Machun Station and Geoye Station on Line 5. Nearby Songpa-daero, the Outer Ring Road, Songpa IC, and Seo Hanam IC provide quick access throughout the metropolitan area.

Sagajeong Central I-Park, scheduled for move-in next month, is a complex rebuilt from Myeonmok 3 district, consisting of a total of 1,505 units. It is near Sagajeong Station on Subway Line 7, making travel convenient not only to the Gangnam area but also to downtown Seoul.

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