Yeongtong in the 'Semiconductor Belt' Jumps 1.19% in a Week... Southern Gyeonggi Housing Prices Continue to Rise [Real Estate AtoZ]

Yeongtong District Records Second Highest Growth Nationwide

Dongtan Maintains Top National Price Increase

Despite Slight Drop from Previous Week

Balloon Effect Spreads to Gwonseon and Byeongjeom

Although the government has designated Hwaseong Dongtan, Yongin Giheung District, and Guri City as triple-regulated areas (regulated areas, overheated speculation districts, and land transaction permit zones), housing prices in southern Gyeonggi Province have not shown signs of slowing down. Analysts attribute this to speculative demand concentrating in residential areas behind the semiconductor belt in southern Gyeonggi Province, fueled by optimism regarding the boom in the semiconductor industry.

According to apartment price trends for the first week of this month (as of July 6), released by Korea Real Estate Board on July 9, apartment sale prices in Gyeonggi Province rose by 0.23% compared to the previous week. Although the weekly growth rate had slightly declined to 0.19% in the fourth week of last month and remained steady until the end of the month, the pace of increase expanded again after three weeks.

Apartment complexes around Dongtan Station, Hwaseong-si, Gyeonggi-do. Photo by Yonhap News Agency

The increase was particularly pronounced in southern Gyeonggi Province, including Suwon Yeongtong, Hwaseong Dongtan, and Yongin Suji, which are core residential areas supporting the semiconductor belt.

In Hwaseong City, sale prices rose by 0.65% from the previous week, recording the highest growth rate nationwide. In the recently regulated Dongtan District, the growth rate slowed slightly to 1.29% from 1.46% the previous week, but it still marked the highest increase nationwide and drove the overall price rise in Hwaseong City. Due to the spillover effects of regulation in Dongtan, speculative demand was expected to flow into Byeongjeom District in Hwaseong, and indeed, prices there rose by 0.25%, up from 0.16% the previous week. In Byeongjeom District, a 84-square-meter unit at Byeongjeom Station I-Park Castle set a new record at 800 million won on both July 3 and July 5.

In Suwon City, housing prices jumped by 0.56% from the previous week. By district, Yeongtong District—recently regulated—saw prices rise by 1.19% from 0.41% the previous week, recording the second highest increase nationwide after Dongtan. Yeongtong District is home to Samsung Electronics' headquarters and its research and development (R&D) hub, Samsung Digital City. In fact, a 94-square-meter unit at Hillstate Gwanggyo in Ha-dong, Yeongtong District, was traded for a record 1,795 million won on July 7, just two months after a previous record of 1,708 million won in May. Even Gwonseon District, the only non-regulated area in Suwon, saw prices rise by 0.26%, a slight increase from the previous week's 0.25%.

In Yongin City, sale prices rose by 0.4% from the previous week. Giheung District, which was regulated last week, saw prices rise by 0.56%, while Suji District increased by 0.39%, both contributing to the overall price increase in Yongin. Guri City, which was also newly regulated last week along with Hwaseong Dongtan and Yongin Giheung, saw prices surge by 0.64%, up from 0.30% the previous week.

Although the government recently expanded regulated areas to curb speculative demand in southern Gyeonggi Province, analysts say that in the residential areas supporting the semiconductor belt, real demand for actual occupancy continues to flow in, preventing prices from declining. Yang Ji-young, senior specialist at Shinhan Premier Pathfinder, commented, "Due to the impact of being designated as regulated areas, there may be short-term price corrections in the southern Gyeonggi Province region," but added, "Since there is strong real demand driven by people seeking to live close to their workplaces in the semiconductor belt, a significant price correction is unlikely."

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