'Exodus from Seoul' Gyeonggi-do Apartment Median Price Soars 40% in One Year

Capital Region Median Price Surpasses 750 Million KRW
Rising House Prices in Seoul Outskirts Drive Up Prices in Gyeonggi Province

[Asia Economy Reporters Hyemin Kim and Onyu Lim] The median sale price of apartments in the Seoul metropolitan area has surpassed 750 million KRW. Amid a transaction freeze, even the outskirts of Seoul are seeing soaring housing prices, and as the 'exodus from Seoul' continues, the median apartment price in Gyeonggi Province has surged nearly 40% in just one year.

According to the monthly price trend released on the 31st by KB Kookmin Bank's Liv Real Estate, the median sale price of apartments in the metropolitan area in August was recorded at 759.05 million KRW. This is an increase of 17.95 million KRW compared to 741.10 million KRW last month. Compared to 592.21 million KRW in August last year, it is a sharp rise of 166.84 million KRW, indicating a steep increase in apartment prices in the metropolitan area. The median price refers to the price in the middle when housing prices are lined up in order, also called the 'middle price' or 'central price.'

The median sale price of apartments in Seoul, which hovered in the low 900 million KRW range last August, exceeded 1 billion KRW in June this year and rose to 1.04667 billion KRW as of August. It surged more than 120 million KRW in one year. Not only Gangnam, which has already become a 'neomsabyeok (an insurmountable wall)' near 1.3 billion KRW, but apartments in the Gangbuk area are also pushing prices up, changing the leading digits. The median sale price of apartments in the Gangbuk area in August was 890 million KRW, approaching 900 million KRW. The average sale price of small to medium-sized apartments (60~85㎡ exclusive area) also exceeded 900 million KRW. The average sale price per 1㎡ in Nowon-gu, an outer district of Seoul, was 10.86 million KRW, which translates to over 920 million KRW for an 85㎡ exclusive area. A representative from A Real Estate Agency in Gangbuk-gu said, "Loan regulations for actual buyers have been eased, and redevelopment issues have added to the price increase. Even though asking prices for properties in the low 700 million KRW range jumped to 800 million KRW within two months, supply is not keeping up with demand."

The bigger problem is that the rise in housing prices in the outskirts of Seoul is stimulating the exodus from Seoul and driving up housing prices in Gyeonggi Province as well. The median sale price of apartments in Gyeonggi Province in August was 557.84 million KRW, up a whopping 19.10 million KRW from 538.74 million KRW last month. Compared to 402.76 million KRW in August last year, the frightening upward trend is even more evident. It surged 155.08 million KRW (38.5%) in one year.

On the 22nd, an 84.76㎡ apartment in Samsong I-Park 2nd Complex in Samsong-dong, Deogyang-gu, Goyang, which borders Eunpyeong-gu, Seoul, was traded at 1.1 billion KRW, setting a new record. This is a 100 million KRW increase compared to January this year. A representative from B Real Estate Agency in Samsong-dong explained, "There is high demand from newlyweds who find Seoul housing prices overwhelming due to excellent accessibility to northern Seoul business districts such as Jongno and Gwanghwamun." Areas with confirmed routes for the Seoul Metropolitan Area Express Train (GTX) are experiencing even steeper price increases. An 84㎡ unit in Indeokwon Prugio El Centro in Poil-dong, Uiwang City, was traded at 1.63 billion KRW in June, rising 100 million KRW in just one month, and current asking prices have reached as high as 2 billion KRW.

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