Seoul Apartment Prices See Biggest Weekly Gain in 15 Weeks... Jeonse Rises at Fastest Pace Since 2015

Korea Real Estate Board Releases Weekly Apartment Price Trends

Apartment prices in Seoul rose by 0.28% compared to the previous week. This marks the largest weekly increase in 15 weeks, since the fourth week of January this year (0.31%). The pace of increase expanded across all districts in Seoul, including Gangnam, which had been declining for over two months but saw a significant jump this week. With multi-homeowners holding back on listings due to heavy taxation measures, and the potential for sellers to raise their asking prices, there is growing interest in how the market will evolve going forward.

According to the weekly apartment price trend announced by Korea Real Estate Board on May 14, the rate of increase for all of Seoul in the second week of May (as of the 11th) was 0.28%, nearly double the previous week’s figure (0.15%). The Korea Real Estate Board stated, “Although some areas remain in a wait-and-see mode, there has been an increase in purchase inquiries, especially in complexes with favorable residential environments and those undergoing redevelopment, leading to more sales contracts and an overall rise across Seoul.”

Gangnam-gu, which had recorded negative growth for 11 consecutive weeks since late February, saw prices climb by 0.19%. In Seocho-gu, which shifted to an upward trend late last month, prices rose by 0.17% this week, widening the gap compared to the previous week (0.04%). Songpa-gu also rose by 0.35%, more than double last week’s increase (0.17%). Yongsan-gu, which turned upward last week, climbed by 0.21% this week, marking a steeper increase.

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The pace of increase also accelerated in other parts of Seoul. In Seongbuk-gu (0.54%), prices rose mainly in large-scale complexes around Jongam-dong and Donam-dong, while in Seodaemun-gu (0.45%), the increase was concentrated in small- to mid-sized complexes in areas such as Hongje and Bukgajwa. Outer districts of Seoul that had been less affected by lending restrictions and showed steady growth, such as Gangseo-gu (0.39%) and Guro-gu (0.33%), also saw wider gains compared to the previous week.

The median jeonse (long-term rental deposit) price for Seoul apartments also rose by 0.28% compared to the previous week. This is the largest weekly increase in approximately 10 years and 6 months, since the first week of November 2015 (0.30%). With a persistent shortage of jeonse supply and concentrated demand for apartments, upward pressure on prices has continued, and this trend appears to be ongoing.

Seongbuk-gu (0.51%), Songpa-gu (0.50%), Seongdong-gu (0.40%), and Gangbuk-gu (0.40%) recorded relatively high rates of increase. Except for Yongsan-gu, Yangcheon-gu, Dongdaemun-gu, Yeongdeungpo-gu, and Seocho-gu, all other districts experienced a higher rate of increase compared to the previous week. The Korea Real Estate Board explained, “With steady rental demand in popular complexes such as large-scale and school district areas, more contracts are being signed at higher prices.”

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