Seoul Apartment Publicly Announced Prices Rise 19%, Highest in 5 Years... 170,000 More Homes Subject to Comprehensive Real Estate Tax [Real Estate AtoZ]

2026 Official Valuations for Multi-Family Housing
Seongdong-gu Leads Seoul with 29% Increase
480,000 Multi-Family Units Exceed 1.2 Billion Won
Higher Property Tax Burden Expected for Gangnam and Han River Belt
Nationwide Growth Only 3.37% Excl

This year, the officially assessed prices of multi-unit residential buildings (apartments, row houses, and multiplex houses) in Seoul rose by 18.67% compared to the previous year. The sharp increase in apartment prices in Seoul more than doubled the previous year's growth rate of 7.86%. This marks the highest rate of increase in five years, since 2021 (19.89%). Seongdong-gu, a popular residential area along the Han River, saw an increase of 29.04%, overtaking Gangnam-gu (26.05%) to record the highest growth rate among Seoul's 25 districts.

On March 17, the Ministry of Land, Infrastructure and Transport announced that it would release the draft of the officially assessed prices as of January 1 for approximately 15.85 million multi-unit residential units nationwide on March 18, and collect owners' opinions until April 6. The officially assessed price is used as a basis for various administrative standards, such as property taxes and national health insurance premiums.

This year, the officially assessed prices of multi-unit residential buildings nationwide rose by 9.16%, nearly three times the increase recorded last year (3.65%). This is the highest rise in five years, since 2021 (19.05%). The main reason is the significant jump in apartment prices in Seoul. Excluding Seoul, the increase is limited to 3.37% in other regions. Of the 17 provinces and major cities, only Seoul exceeded the national average. The growth rate in Seoul is the fourth highest on record, following 2007 (28.4%), 2021 (19.89%), and 2006 (19.1%).

Despite the Frozen Realization Rate, 'Market Price Gains' Push Up Assessment

The government maintained the official price realization rate at 69% this year, the same level as the past four years. This means that the ratio used to calculate officially assessed prices remained unchanged, and only last year's actual price increases were reflected. The officially assessed price is determined by multiplying the market price by a certain ratio (the realization rate). The Ministry of Land, Infrastructure and Transport explained that the growth rate of officially assessed prices can be higher in areas where high-priced homes have risen significantly. According to the original roadmap for raising the realization rate, this ratio should have risen to 80.9% this year, but the government kept it unchanged to ease the public's tax burden.

All 25 districts in Seoul saw their officially assessed prices increase compared to last year. The average increase in the three Gangnam districts—Gangnam, Seocho, and Songpa—was 24.70%. By district, Seongdong-gu had the highest rise at 29.04%, followed by Gangnam-gu at 26.05%, Songpa-gu at 25.49%, Yangcheon-gu at 24.08%, and Yongsan-gu at 23.63%. Gangdong-gu (22.58%), Gwangjin-gu (22.20%), and Mapo-gu (21.36%) also saw increases of over 20%. In contrast, outer districts such as Dobong-gu (2.07%), Geumcheon-gu (2.80%), Gangbuk-gu (2.89%), and Jungnang-gu (3.29%) saw increases limited to the 2–3% range.

After Seoul, the largest increases in officially assessed prices were recorded in Gyeonggi Province (6.38%), Sejong (6.29%), Ulsan (5.22%), and Jeonbuk (4.32%). Conversely, in regions where the real estate market remains sluggish, many areas saw decreases. Officially assessed prices fell in eight provinces and cities: Jeju (-1.76%), Gwangju (-1.25%), Daejeon (-1.12%), Daegu (-0.76%), Chungnam (-0.53%), Gangwon (-0.45%), Jeonnam (-0.24%), and Incheon (-0.10%).

The nationwide average officially assessed price for multi-unit residential buildings is 285.93 million won, up 25.62 million won from last year's 260.31 million won. The average in Seoul jumped by more than 100 million won, reaching 665.07 million won, compared to last year's 557.80 million won.

170,000 More Units Now Subject to Comprehensive Real Estate Tax... 'Tax Impact' Grows

With the sharp increase in officially assessed prices, the number of apartments subject to the comprehensive real estate tax for single-home owners (those exceeding an official price of 1.2 billion won) rose by about 169,000, from 317,998 units last year to 487,362 units this year. The proportion of such apartments among all multi-unit residences also increased from 2.04% to 3.07%. Since the comprehensive real estate tax is levied individually, the actual number of taxpayers is expected to be even higher.

Looking at the rise by price bracket: the segment under 300 million won rose by 0.50%; the 300–600 million won segment rose by 4.72%; and the 600–900 million won segment rose by 12.70%. In contrast, the 900 million–1.2 billion won segment surged by 20.90%, the 1.2–1.5 billion won segment by 25.38%, the 1.5–3 billion won segment by 26.63%, and the over 3 billion won segment by 28.59%. The increase was especially steep for high-priced homes, as demand concentrated in preferred areas such as those adjacent to the Han River in Seoul, pushing prices higher.

The comprehensive real estate tax does not have an upper limit on the tax base and applies progressive tax rates, so the actual tax burden for owners of high-priced homes is expected to rise even more than the increase in officially assessed prices. Experts forecast that, ahead of the June 1 tax assessment date, multi-home owners concerned about tax burdens may put properties on the market for tax-saving purposes starting from mid-April.

The draft of the officially assessed prices can be viewed from March 18 via the Real Estate Price Disclosure System and at local city, county, and district government offices. After collecting opinions, the Central Real Estate Price Disclosure Committee will review the draft, and the officially assessed prices will be finalized and released on April 30. Following a month-long objection period, final adjustments and disclosures are scheduled for June 26. A Ministry of Land, Infrastructure and Transport official explained, "In previous years when officially assessed prices surged, there were many objections, so it is likely that the number of objections will increase this year compared to last year."

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