Rising Metropolitan Area Housing Prices Stirred by 'Wang·Chang' Boom

Announcement of Traffic Measures for 3rd New Towns Namyangju Wangsuk and Goyang Changneung

Apartment Prices Surge in Beneficiary Area Gangdong-gu Gangil-dong
Multiple Complexes Join the 10 Billion Won Club for 84㎡ Units
Rising Trend Also Seen in Dasan and Byeollae New Towns

Beneficiary Area Hyangdong District in Goyang Changneung Also Stirring

[Asia Economy Reporter Lee Chun-hee] The metropolitan transportation improvement plans for the 3rd phase new towns, Namyangju Wangsuk and Goyang Changneung districts, are causing fluctuations in the Seoul metropolitan area housing market. Although construction has not yet begun in these two districts, the plans include numerous new subway lines passing through existing residential complexes.

According to frontline real estate agencies on the 5th, since the government announced the metropolitan transportation improvement plans for the 3rd phase new towns last month, inquiries about apartment purchases in the Gangil-dong area of Gangdong-gu, Seoul, have increased, and prices are rising. With the extension of Seoul Subway Line 9 emerging as a likely solution for the Wangsuk district transportation plan, demand is focusing on existing apartments in Gangil-dong, where the line is expected to pass, according to local real estate agents.

This is not the first time subway developments have benefited the Gangil-dong area. Even before the announcement of the metropolitan transportation improvement plans, in November last year, Seoul’s urban railway network plan, which included an additional extension of Line 9 Phase 4, was approved by the Ministry of Land, Infrastructure and Transport. The representative of real estate agency A in the area said, "Since the announcement of the Wangsuk district transportation plan, interest has sharply increased, and purchase inquiries continue." A representative from agency B also explained, "If Line 9 is extended beyond Gangil to Wangsuk, it will be an opportunity to shed the image of being a 'remote neighborhood' that it has had until now."

Prices are also rising steeply. Recently, several complexes in Gangil-dong have joined the '10 billion KRW club' for 84㎡ (exclusive area) apartments. On the 9th of last month, Gangil River Park Phase 7 changed hands for 1.01 billion KRW, followed by Phase 4 trading at 1 billion KRW on the 12th. The representative of agency A said, "Currently, the asking price for 84㎡ units has risen to 1.1 billion KRW."

Signs of rising housing prices are also appearing in Namyangju Dasan New Town and Byeollae New Town. This is because Line 9 is likely to pass not only through Wangsuk district but also Dasan New Town, and the extension of Line 8, the Byeollae Line, will run through Byeollae New Town and connect with the Line 4 extension Jinjeop Line.

The 84㎡ units at 'Hillstate Dasan' in Dasan New Town were traded at 995 million KRW on the 5th of last month, approaching 1 billion KRW, and 'Dasan Pentarium River Terrace Phase 1' also saw prices soar to 955 million KRW. A representative from agency C in the area said, "Homeowners who saw the metropolitan transportation improvement plan maps immediately raised their asking prices by 100 to 200 million KRW." In Byeollae New Town, 'Byeollae I-Park Phase 2' was traded at 815 million KRW on the 22nd of last month, rising 15 million KRW in just one month, increasing expectations for housing price rises.

Goyang Changneung Metropolitan Traffic Improvement Plan (Provided by the Ministry of Land, Infrastructure and Transport)

The metropolitan transportation improvement plan for Goyang Changneung district is also pushing up housing prices in the nearby Hyangdong district. Despite being adjacent to the Seoul city boundary, Hyangdong district has received relatively little attention due to poor transportation conditions.

However, with the Goyang Line connecting Saejeol Station, Hyangdong, Changneung, and Goyang City Hall becoming more tangible, housing prices in this area are also surging. Once the Goyang Line opens, accessibility to downtown Seoul will be greatly improved via Line 6 and the Seobu Line, and use of the GTX (Great Train Express) A Line will also become possible. The 84㎡ units at 'DMC Le Cheville The Forest' in Hyangdong district recently reached a transaction price of 1.05 billion KRW.

An industry insider said, "The expansion of the subway network has a significant ripple effect and is a definite positive factor for the real estate market," but advised, "However, as with the Wirye New Town case, there is a possibility of project delays, so cautious purchasing is necessary."

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