Seoul Apartment Prices Stabilize for 3 Consecutive Weeks... Gangnam and Yongsan Show Upward Trend
Published 21 Apr.2022 14:00(KST)
Updated 14 Mar.2023 17:00(KST)
[Asia Economy Reporter Ryu Tae-min] Seoul apartment prices have stopped declining and have maintained a steady trend for three consecutive weeks. The upward trend continues in the Gangnam area, full of expectations for deregulation such as reconstruction, and in Yongsan-gu, which has attracted attention due to the relocation of the presidential office.
According to the weekly apartment price trend for the third week of April announced by the Korea Real Estate Board on the 21st, as of the 18th, the rate of change in apartment sale prices in Seoul recorded 0.00%, showing no change. This marks the third consecutive week of a steady trend.
In Seoul, 11 out of 25 autonomous districts recorded declines. The largest decline among the districts was in Dobong-gu (-0.03% → -0.01%), but the rate of decline significantly decreased. The three Gangnam districts continue their upward trend. Gangnam-gu (0.03%) rose mainly in Gaepo-dong, where expectations for deregulation exist, and Seocho-gu (0.03%) saw new record prices mainly in large complexes in Banpo and Seocho-dong, continuing the rise. Meanwhile, Songpa-gu recorded 0.00%, turning steady from the previous week’s decline (-0.01%). In Gangbuk, Yongsan-gu (0.03%) rose with new record prices mainly due to reconstruction.
Incheon (-0.01% → -0.01%) maintained its rate of decline. Gyeyang-gu (0.06%) rose mainly in older complexes in Bangchuk and Imhak-dong. Yeonsu-gu (-0.05%) experienced inventory accumulation in areas such as Seonhak-dong, Bupyeong-gu (-0.02%) declined mainly in Bugae and Bupyeong-dong, and Namdong-gu (-0.02%) declined mainly in Ganseok and Guwol-dong.
Gyeonggi-do (-0.01% → -0.02%) saw a slight increase in the rate of decline. Icheon-si (0.22%) rose due to demand from proximity to workplaces, and Pyeongtaek-si (0.15%) saw a leveling-up rise mainly in mid-to-low priced areas near Godeok International New City. Major first-generation new town areas such as Goyang (0.02%) and Bundang-gu in Seongnam-si (0.02%) also rose mainly due to reconstruction with expectations of deregulation.
Sejong’s apartment prices fell by 0.08%, significantly reducing the rate of decline compared to the previous week (-0.20%).
The apartment jeonse (long-term lease) market last week saw Seoul (-0.01%) reduce its rate of decline compared to the previous week (-0.02%). In Seoul, most areas showed steady or declining trends due to the burden of jeonse loans. South of the Han River, Gangnam-gu (-0.02%) declined mainly in high-priced complexes in Dogok and Suseo-dong, Seocho-gu (-0.01%) declined mainly in older complexes in Seocho and Jamwon-dong, and Songpa-gu (-0.01%) declined mainly in large complexes in Bangi and Sincheon-dong.
In other metropolitan areas, Incheon recorded -0.04%, reducing the rate of decline compared to the previous week (-0.07%). Seo-gu (-0.13%) declined mainly in Gajeong-dong, affected by new supply, and Yeonsu-gu (-0.11%) declined mainly in Songdo and Dongchun-dong. Dong-gu (0.04%) rose mainly in Songhyeon-dong, where there is relocation demand due to redevelopment projects, and Michuhol-gu (0.03%) rose mainly in Dohwa and Juan-dong.
Gyeonggi-do recorded -0.01%, reducing the rate of decline compared to the previous week (-0.02%). Cheoin-gu in Yongin (0.11%) rose mainly in Gorim-dong, influenced by improvements in transportation environment. Gwangmyeong-si (-0.28%) declined mainly in Ha-an and Cheolsan-dong, Suwon’s Yeongtong-gu (-0.14%) declined mainly in Yeongtong and Mangpo-dong due to inventory accumulation, and Yongin’s Suji-gu (-0.13%) declined mainly in major complexes in Pungdeokcheon and Sanghyeon-dong.
Sejong’s jeonse prices fell by 0.35% last week, increasing the rate of decline following the previous week’s -0.19%.
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