Seoul Apartment Price Gains Widen After 8 Weeks... Gangnam Falls Again While Nowon and Guro Rise Further [Real Estate AtoZ]

Gangnam District Sees Largest Decline This Year
Clear Downward Adjustment in High-End Complexes
Jeonse Prices Rise Even as Sales Weaken in Gangnam Area

The increase in apartment sales prices in Seoul has widened for the first time in eight weeks. However, this rise was primarily driven by mid- to low-priced areas such as Nowon and Guro Districts, while Gangnam District saw the largest decline so far this year.

According to weekly apartment price trends for the fourth week of March (as of the 23rd) released by the Korea Real Estate Board on March 26, apartment sales prices in Seoul rose by 0.06% compared to the previous week. The increase rate last week was 0.05%. After peaking at 0.31% in the fourth week of January this year, the rate of increase had slowed for seven consecutive weeks before picking up slightly this week.

Gwanggyo Apartment Complex. Photo by Jo Yongjun

Mid- to low-priced areas in the northeastern (Gangbuk) and southwestern (Seonam) regions lifted the overall figure for Seoul. Nowon District posted the largest increase among all Seoul districts, rising 0.23%, mainly due to small and mid-sized apartments in Sanggye-dong and Junggye-dong. Guro District (from 0.14% to 0.20%), Seongbuk District (from 0.20% to 0.17%), Eunpyeong District (from 0.15% to 0.17%), and Gangseo District (from 0.14% to 0.17%) also saw increases, mainly in large apartment complexes near subway stations. In total, the 14 Gangbuk districts rose by 0.12%, which is more than ten times the 0.01% increase recorded in the 11 Gangnam districts.

Gangnam District (from -0.13% to -0.17%) continued its downward trend for the fifth consecutive week, especially in Apgujeong and Gaepo-dong. Seocho District (from -0.15% to -0.09%) saw a wider decline in Banpo-dong and Bangbae-dong, while Yongsan District (from -0.08% to -0.10%) experienced a greater drop in the Ichon-dong and Hannam-dong areas. As was the case last week, Seongdong District (from -0.01% to -0.03%) and Dongjak District (from -0.01% to -0.04%) also recorded declines. In total, there are now seven districts in Seoul where apartment prices have fallen: the three Gangnam districts plus Yongsan, Gangdong, Seongdong, and Dongjak. The Korea Real Estate Board analyzed this week's Seoul apartment sales market as a mix of areas seeing localized price increases in major complexes and areas showing a wait-and-see attitude toward the real estate market.

In Gyeonggi Province, areas with strong end-user demand such as Dongan District in Anyang (from 0.40% to 0.48%), Guri (from 0.19% to 0.25%), and Suji District in Yongin (from 0.29% to 0.24%) remained strong. In contrast, Gwacheon (from -0.06% to -0.11%) declined for the sixth consecutive week, while Icheon (from -0.13% to -0.14%) and Gwangju (from -0.08% to -0.12%) also remained weak. In Incheon, the trend shifted from flat last week to a 0.01% decline this week.

Nationwide, apartment sales prices rose 0.03% from the previous week. The Seoul metropolitan area posted a 0.05% gain, the same as last week, while prices in non-metropolitan areas (unchanged) showed no movement from the prior week.

Apartment Sale Price Index Change Rate by City and Province as of the Fourth Week of March. Korea Real Estate Board

The nationwide apartment jeonse (long-term rental deposit) price index also increased by 0.10% compared to last week. Jeonse prices rose by 0.13% in the metropolitan area, 0.15% in Seoul, and 0.06% in non-metropolitan areas, respectively.

The rate of increase in Seoul expanded from last week’s 0.13%. Even in the Gangnam region, where sales prices are falling, jeonse prices rose. Jeonse prices in the 11 Gangnam districts increased by 0.13%, with Songpa District rising from 0.07% to 0.20% mainly in major complexes in Jamsil and Bangi-dong; Seocho District holding steady at 0.17%, mainly in Jamwon and Seocho-dong; and Guro District rising from 0.27% to 0.23%, mainly around the subway station areas in Gaebong and Gocheok-dong.

In Gyeonggi Province, apartment jeonse prices rose by 0.13% compared to last week. Dongtan District in Hwaseong City saw a significant increase of 0.40%, mainly in medium-sized apartments in Yeongcheon-dong and Cheonggye-dong. Gwangmyeong City rose by 0.34%, mainly in large complexes in Gwangmyeong-dong and Iljik-dong, while Giheung District in Yongin rose by 0.29%, mainly in Eonnam-dong and Sanggal-dong.

On the other hand, Icheon City saw a 0.17% decrease, mainly in Anheung-dong and Bubal-eup, while Gwacheon City fell by 0.16%, mainly in major apartment complexes in Byeoryang-dong and Jungang-dong.

Out of 181 cities, counties, and districts nationwide, jeonse prices rose in 155 regions, an increase of eight from last week’s 147.

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