As the Wait-and-See Trend Continues... Nationwide Apartment Price Increase Narrows for 3 Consecutive Weeks

Decrease in Transactions Due to Gap Between Desired Buy and Sell Prices
Jeonse Preference Continues, Driving Up Jeonse Prices

The nationwide apartment sale price increase narrowed for the third consecutive week. Apartment prices in Seoul also saw a reduced rate of increase compared to the previous week. Unlike the sluggish sale prices, the preference for jeonse (long-term lease) among actual buyers continued, maintaining the upward trend in Seoul apartment jeonse prices.

[Image source=Yonhap News]

According to the "Weekly Apartment Price Trend for the First Week of November (as of the 6th)" survey released by the Korea Real Estate Board on the 9th, apartment sale prices nationwide rose by 0.03% compared to the previous week. This marked the 17th consecutive week of increase, but the rate of growth has recently slowed. The increase rate was 0.07% in the third week of October, 0.05% in the fourth week, 0.04% in the fifth week, and decreased by another 0.01 percentage point this week.

Both Seoul (0.07→0.05%) and the metropolitan area (0.07→0.04%) saw a decrease in the rate of increase, while Incheon, which had been on an upward trend until last week, turned negative at -0.02%.

However, the provinces (0.01→0.02%) expanded their rate of increase. This is believed to be due to a growing number of buyers adopting a wait-and-see approach amid rising loan interest rates.

The Korea Real Estate Board stated, "Due to the rise in market loan interest rates and the gap between the asking prices of sellers and buyers, transactions are not active, and an overall wait-and-see trend is observed, leading to a reduced rate of increase in apartment prices across Seoul compared to last week."

Among Seoul's 25 districts, Gangbuk (-0.01%) and Nowon (-0.01%) turned to a decline, while Gangnam, Guro, and Dongjak remained flat at 0.00%. The rate of increase decreased in Jung-gu (0.14→0.04%), Yongsan (0.19→0.11%), Dongdaemun (0.18→0.12%), and Seodaemun (0.09→0.04%).

Gyeonggi Province rose by 0.05%, but like Seoul, the rate of increase was lower than the previous week's 0.08%. Incheon, which had maintained an upward trend until last week, fell by 0.02% this week, turning negative.

The provinces (0.01%→0.02%) expanded their rate of increase. Daejeon (0.06%) continued its upward trend, and Sejong (-0.01%) reduced its decline compared to the previous week (-0.06%). Additionally, Chungbuk (0.07→0.13%), Gangwon (0.03→0.12%), and Jeonbuk (0.03→0.08%) increased their rates of growth.

Unlike the sales market, the jeonse market maintained its rate of increase. The nationwide weekly apartment jeonse price rose by 0.12%, the same as the previous week, marking the 16th consecutive week of increase. This is interpreted as a continued preference for jeonse among actual buyers amid a wait-and-see stance due to high interest rates.

The metropolitan area (0.20%→0.20%) maintained its rate of increase, while Seoul (0.19%→0.21%) and the provinces (0.03%→0.04%) expanded their rates of increase.

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