Seoul Villa Jeonse and Monthly Rent Transactions in the First Half of the Year Also Decrease by 13% Compared to the Previous Year

Dabang "Impact of New Lease Law... Many Landlords Maintained Existing Contracts"

[Asia Economy Reporter Onyu Lim] In the first half of this year (January to June), rental contract transactions for non-apartment housing types such as detached houses, multi-family houses, and row houses in Seoul have slowed down.

According to Dabangg, a real estate platform, an analysis of data from the Seoul Real Estate Information Plaza showed that the volume of non-apartment jeonse and monthly rent transactions in Seoul during the first half of the year totaled 112,927 cases, a 13% decrease compared to 129,841 cases in the same period last year.

By housing type, detached and multi-family houses (63,043 cases) decreased by 13.5% year-on-year, and row houses and multi-family houses (49,884 cases) decreased by 12.5%. By district, except for multi-family and row houses in Geumcheon, Dobong, and Jung districts, the transaction volumes of detached and multi-family houses in 25 districts and multi-family and row houses in 22 districts all declined.

In particular, as of June 30, the volume of non-apartment jeonse and monthly rent transactions in Seoul was 12,275 cases, down 40.5% from June last year and 30% from the previous month. For detached and multi-family houses (6,666 cases), this is the lowest level since December 2012.

Dabangg analyzed that "the decrease in non-apartment jeonse and monthly rent transactions is due to many landlords wanting to maintain existing contracts following the implementation of the new lease protection laws such as the right to request contract renewal and the rent ceiling system." In the first half of the year, apartment jeonse and monthly rent transactions in Seoul also decreased by 18.2% year-on-year to 77,744 cases, showing that non-apartments were not exempt from the effects of the two lease laws.

A Dabangg official said, "With the implementation of the jeonse and monthly rent reporting system, the last piece of the three lease laws, on June 1, the non-apartment market is being affected," adding, "It is also the off-season for the housing rental market in summer, making it difficult to find jeonse and monthly rent listings."

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