Seoul Apartment Sales, Jeonse, and Rents in 'Triple Bull Run'... Worst Supply Shortage in 5 Years

Sales Prices Up 3.10% This Year
Jeonse Supply-Demand Index at 113.7, Monthly Rent at 109.7
Deepening "Listing Drought" in the Market

The Seoul apartment market is showing signs of entering a so-called "triple bull run," with sale prices, jeonse (lump-sum lease), and monthly rents all surging simultaneously. As multi-homeowners hold back on selling, sale prices are rising at a faster pace. Meanwhile, both the jeonse and monthly rental markets are experiencing the most severe supply-demand imbalance in five years due to an acute shortage of available listings.

A view of apartments from Lotte World Tower in Songpa-gu, Seoul. Photo by Yonhap News.

According to the Korea Real Estate Board as of May 17, 2026, the cumulative increase in Seoul apartment sale prices reached 3.10% by the second week of May (as of May 11). This is more than double the rate observed during the same period last year (1.53%).

The upward trend in the rental market is even steeper. The cumulative increase in Seoul jeonse prices so far this year stands at 2.89%, which is six times higher than the figure for the same period last year (0.48%). Monthly rents have also surged, up 2.39% cumulatively through April, significantly outpacing last year's 0.57% during the same period. In April alone, while Seoul apartment sale prices rose by 0.55%, jeonse jumped by 0.82% and monthly rents by 0.74%, indicating that the real burden of housing costs for ordinary citizens is being driven by the rental market.

The "seller's market" phenomenon, where supply falls far short of demand, is also evident in the numbers. As of the second week of May, Seoul's apartment sale supply-demand index stood at 108.3, while the jeonse supply-demand index reached 113.7. As of April, the monthly rent supply-demand index soared to 109.7. On this index, a figure above 100 indicates a greater number of buyers or renters than sellers or landlords. Both the weekly sale and jeonse supply-demand indices have reached their highest levels in about five years since March 2021, and the monthly rent supply-demand index is at its highest since October 2021.

Experts believe that abundant liquidity in the market is supporting the downside, and instability in the jeonse and monthly rental market is likely to persist for the time being. The preference for apartments has intensified due to the fallout from non-apartment jeonse fraud, yet the core supply of new apartment move-ins has dried up. Although the government has announced plans to supply public housing, several years of lag time are inevitable before these units become available for occupancy.

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