Real Estate Freeze... Domestic Population Movement Hits Lowest in 48 Years

476,000 Movers Last Month... 16% Decrease YoY
Lowest in 48 Years for November... Sharp Drop in Population Mobility Rate
'Transaction Cliff' Impact... Coupled with Aging Population Phenomenon

[Asia Economy Sejong=Reporter Lee Junhyung] Last month, domestic population movement in South Korea was the lowest in 48 years for the same month. The population mobility rate, which refers to the number of movers per 100 people, recorded its lowest level in 22 years. This is due to the sharp decline in housing transactions caused by the real estate market downturn.

According to the "November 2022 Domestic Population Movement Statistics" released by Statistics Korea on the 28th, the number of domestic movers last month was 476,000. This is a 16% (91,000 people) decrease compared to the same period last year (567,000 people). The number of domestic movers refers to the number of people who moved their residence across eup, myeon, and dong boundaries. A decrease in the number of domestic movers means fewer people moved.

The number of domestic movers last month was the lowest in 48 years since 1974 (394,000 people). The number of domestic movers in October this year also recorded the lowest level in 48 years for the same month. Last month's domestic population mobility rate was also 11.3%, the lowest since monthly statistics began in November 2000. Movers within provinces (315,000 people) and movers between provinces (161,000 people) last month decreased by 18% and 11.8%, respectively, compared to the same month last year.

The sharp decline in domestic population movement is due to the recent real estate market downturn. When housing transactions sharply decrease, moving demand also declines, leading to reduced population movement. According to the Korea Real Estate Board's Real Estate Information Statistics System, the number of housing sales in September and October, which affected population movement in November, was 64,576, a 58.85% sharp decrease compared to the same period last year (156,921).

The aging population phenomenon is also related to the decrease in population movement. The population in their 20s and 30s, who tend to move frequently due to school, employment, and marriage, is decreasing, while the elderly population, who move relatively less, is steadily increasing. The development of transportation and communication has also contributed to the slowdown in population movement.

Meanwhile, looking at net migration (inflow minus outflow) by province, nine provinces including Gyeonggi (3,842 people), Incheon (2,635 people), and Chungnam (1,769 people) experienced net inflows. On the other hand, eight provinces including Seoul (-6,405 people), Busan (-1,026 people), and Daegu (-667 people) experienced net outflows.

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