You Need at Least 200 Million Won to Buy a One-Room Jeonse in Gangnam 3 Districts

Average Jeonse Deposit for One-Room Apartments in Seoul in August: 162.46 Million KRW
Highest in Seocho-gu: 238.75 Million KRW

[Asia Economy Reporter Onyu Lim] Last month, the jeonse deposit for one-room apartments (housing units with exclusive area of 30㎡ or less) in the three Gangnam districts of Seoul?Gangnam, Seocho, and Songpa?each exceeded 200 million KRW. As jeonse prices continue to rise, the only areas in Seoul where one-room jeonse deposits remain below 100 million KRW are Gangbuk-gu and Nowon-gu.

According to real estate platform Dabang on the 22nd, the average jeonse price for one-room apartments in Seoul in August was 162.46 million KRW, up approximately 2.1% (3.21 million KRW) from the previous month. The jeonse deposit for one-room apartments in Seoul has steadily increased since recording 139.5 million KRW in January this year, rising by more than 20 million KRW over seven months.

In particular, the rise in one-room jeonse prices in the Gangnam area is steep. Last month, Seocho-gu had the highest jeonse deposit at 238.75 million KRW, followed by Gangnam-gu (233.13 million KRW) and Songpa-gu. Songpa-gu recorded a 10.2% (19.01 million KRW) increase from the previous month, reaching 206.14 million KRW. With Songpa-gu’s jeonse price surpassing 200 million KRW, all three Gangnam districts’ one-room jeonse deposits have crossed the 200 million KRW mark.

In the northern part of Seoul, Dobong-gu showed a notable increase, rising 24.1% (24.92 million KRW) from the previous month to 128.26 million KRW. Among Seoul’s 25 districts, only Gangbuk-gu and Nowon-gu have one-room jeonse deposits below 100 million KRW.

The volume of monthly rent and jeonse transactions is on a declining trend. In August, the total number of monthly rent and jeonse transactions for detached (multi-family), multi-unit, and row houses in Seoul was 14,183, down 21.2% from the previous month.

Meanwhile, sales transaction volume also decreased. In August, 4,434 contracts were signed, halving compared to 8,684 contracts in the previous month. However, since the reporting deadline for transactions has not yet passed, the transaction volume is expected to increase somewhat.

The average sale price for multi-unit and row houses was recorded at 232.15 million KRW for units 30㎡ or less, and 361.69 million KRW for units 85㎡ or less. By construction year, houses built before 1980 averaged 431.19 million KRW, while those built in the 2010s averaged 289.75 million KRW, indicating that older buildings tend to be more expensive. This is analyzed as a result of investment demand inflows such as redevelopment.

A Dabang official explained, “Although transaction volumes in both sales and monthly rent/jeonse markets are decreasing, jeonse deposits continue to rise, with one-room jeonse deposits in the three Gangnam districts surpassing 200 million KRW,” adding, “In Gangseo and Gangdong districts, the average jeonse deposit also formed in the high 100 million KRW range.”

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