Seoul's Average Home Price Surpasses 1 Billion Won... Gap with Other Regions Widens Further

Korea Real Estate Board Releases May National Housing Price Trend Survey

Last month, the gap between the average home prices in Seoul and other regions reached its highest level since relevant statistics began to be compiled. While home prices in Seoul, especially for apartments, have been rising rapidly, prices in other regions remain below pre-pandemic levels.

According to the May Housing Price Trend Survey released by the Korea Real Estate Board on June 15, the average home price in Seoul was calculated at 1,001,010,000 won. This figure, which encompasses apartments, detached houses, and row houses, marks the first time the average home price in Seoul has exceeded 1 billion won.

The average home price in other regions was 239,950,000 won, meaning Seoul's average home price is 4.17 times higher than that of other regions. Since the Korea Real Estate Board began compiling monthly statistics in 2012, this is the largest gap recorded between Seoul and other regions. Around 2016, when the gap was smaller, the difference fell below three times; however, the trend of concentration in Seoul has intensified, widening the disparity.

A property listing posted at a real estate agent in Seoul. Photo by Yonhap News Agency

Last month, the nationwide housing sales price index rose by 0.21% compared to the previous month. While Seoul saw an increase of 0.90%, other regions experienced a decrease of 0.02%. The Korea Real Estate Board explained, "The market showed mixed trends, with demand concentrated in new and redevelopment complexes in Seoul and the surrounding metropolitan area, while some areas saw market participants adopting a wait-and-see approach."

By housing type, apartment prices rose by 0.25%, row houses by 0.19%, and detached houses by 0.09%. Notably, Seoul’s apartment sales price index climbed by 1.06%, nearly double the previous month's increase of 0.55%.

Jeonse (long-term lease) prices are also on the rise. The nationwide jeonse price index increased by 0.35% compared to the previous month. Similarly, Seoul apartment jeonse prices rose by 1.15%, leading the upward trend. The nationwide monthly rent price index was recorded at 0.35%, while the figure for Seoul apartments was 0.95%.

Among Seoul districts, Seongbuk-gu saw the largest increase in the sales price index, rising by 1.36%. Songpa-gu followed with a 1.19% increase, and Gwangjin-gu with 1.18%. For the jeonse price index, Songpa-gu showed the greatest rise at 1.62%, followed by Seongdong-gu (1.44%) and Nowon-gu (1.40%). In terms of the monthly rent index, Nowon-gu recorded the highest increase at 1.40%.

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