Apartment Prices in Seoul's Gangbuk-gu and Dobong-gu Turn Negative... Siheung and Gwangmyeong Also Decline

Korea Real Estate Board Apartment Price Trends for the Fourth Week of December
Seoul Eunpyeong-gu Followed by Gangbuk and Dobong-gu Also Negative
Gyeonggi Siheung, Seongnam Sujeong-gu, Gwangmyeong, and Others Also Decline

View of Seoul apartments from 63 Square. Photo by Hyunmin Kim kimhyun81@

Following Eunpyeong-gu in Seoul, apartment prices in Gangbuk-gu and Dobong-gu have also turned downward. In Gyeonggi Province, housing prices in Anyang Dongan-gu, Seongnam Sujeong-gu, Siheung, and Gwangmyeong have started to decline. As buyer sentiment weakens and recognition of peak housing prices spreads, the number of areas experiencing a downward trend is gradually increasing.

According to the weekly apartment price trend for the fourth week of December announced by the Korea Real Estate Board on the 30th, as of the 27th, apartment prices in the metropolitan area rose by 0.04%, narrowing from the previous week's increase of 0.07%. Since the first week of October, when prices rose by 0.34%, the metropolitan area has seen a slowdown in the rate of increase for 12 consecutive weeks.

In Seoul, apartment prices rose by 0.04% this week, also showing a reduced rate of increase compared to 0.05% last week. This was influenced by a contraction in the rate of increase in 14 out of 25 districts. Notably, Gangbuk-gu (-0.02%) and Dobong-gu (-0.01%) shifted to a downward trend in apartment prices for the first time in 1 year and 7 months.

The Real Estate Board explained, "While some positive factors such as reconstruction and remodeling or undervalued mid-to-low priced complexes saw price increases, the majority of areas experienced a decrease in buying demand, leading to a contraction in the rate of increase."

In the areas south of the Han River, Seocho-gu (0.08%), Gangnam-gu (0.07%), and Songpa-gu (0.05%) saw price increases mainly in medium-to-large sized apartments, but the rate of increase slowed. Yangcheon-gu (0.04%) also saw a reduced rate of increase as transactions were mainly focused on urgent sale properties, while Gwanak-gu (0.00%) and Geumcheon-gu (0.00%) remained flat.

In Incheon, the apartment price increase rate also narrowed from 0.10% last week to 0.09% this week. Gyeyang-gu (0.20%) rose mainly in small-to-medium sized older apartments in Hyoseong-dong and areas near Jeokseok Station in Jangjeon-dong, while Bupyeong-gu (0.11%) increased mainly in Samsan-dong, where expectations for residential environment improvements exist. Jung-gu (0.09%) rose mainly in major complexes in Jungsan and Unnam-dong, but the rate of increase was lower than last week.

Apartment prices in Gyeonggi Province rose by 0.04%, showing a slowdown compared to 0.07% last week. Among 45 cities, counties, and districts, 33 saw a reduction in the rate of increase. Four areas, including Siheung (-0.04%) and Seongnam Sujeong-gu (-0.02%), shifted to a downward trend.

Areas with expectations for transportation improvements, such as Icheon-si (0.33%) and Pyeongtaek-si (0.13%), continue to see upward trends, but overall in Gyeonggi Province, the rate of increase is showing signs of contraction. In Siheung-si, listings are accumulating mainly in Baegot and Jeongwang-dong, and in Seongnam Sujeong-gu, transactions are mainly focused on urgent sale properties.

In Sejong City, a cautious stance continues in most areas, and as listings accumulate, the rate of decline expanded from -0.57% last week to -0.63% this week.

View of Seoul apartments from 63 Square. Photo by Hyunmin Kim kimhyun81@

The jeonse (long-term lease) market is also gradually stabilizing.

The rate of increase in Seoul apartment jeonse prices narrowed to 0.04% from 0.06% last week. Seongbuk-gu saw a 0.01% decrease in jeonse prices this week following last week, and Geumcheon-gu (0.00%) maintained a flat trend for two consecutive weeks. Nowon-gu also shifted from a 0.06% increase last week to flat at 0.00% this week.

Gangnam-gu (0.08%) saw jeonse price increases mainly in reconstruction complexes in Daechi and Gaepo-dong with good school districts, while Songpa-gu (0.05%) saw increases mainly in relatively lower-priced areas such as Jangji and Ogeum-dong.

In Incheon (0.06%→0.04%), jeonse prices are slowing mainly around Seo-gu (-0.05%). As new supply increases and demand decreases, the rate of decline is growing mainly in Gajeong-dong and Geomdan New Town.

In Gyeonggi Province (0.04%→0.03%), among 45 cities, counties, and districts, 23 saw a contraction in the rate of jeonse price increases. Four areas, including Uiwang (-0.16%) and Gwacheon (-0.06%), shifted to a downward trend. Suwon-si (0.00%) turned flat with declines mainly in Yeongtong (-0.04%) and Gwonseon-gu (-0.01%), and Siheung-si (0.00%) also turned flat with declines mainly in Jeongwang-dong.

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