Apartment Prices Continue to Rise in Northern Seoul and Regulated Areas of Gyeonggi

Korea Real Estate Board Weekly Apartment Price Trends, First Week of August

Apartment prices and monthly rental rates continue to rise, particularly in regulated areas of Seoul and the greater metropolitan region.

According to weekly apartment price trend data for the first week of August (as of August 3), released by Korea Real Estate Board on August 6, the apartment sales price growth rate in Seoul was recorded at 0.26%. This figure is nearly the same as the previous week's increase of 0.25%, marking 77 consecutive weeks of growth. The growth rate for the greater Seoul area (Sudogwon) was 0.17%, and the national average was 0.09%, both slightly higher than the rates from the previous week.

The Real Estate Board explained, "Despite localized wait-and-see sentiment, transaction prices are rising in areas undergoing redevelopment as well as in large apartment complexes and station areas where demand remains high, leading to an overall increase across Seoul."

Within Seoul, the pace of increase is steepest in northern districts, including Jung-gu (0.54%), Jungnang-gu (0.52%), Seongbuk-gu (0.49%), Nowon-gu (0.46%), and Seodaemun-gu (0.43%). The average growth rate for 14 northern districts was 0.36%, more than double the growth rate for the 11 southern districts (0.17%). Demand is concentrated in regions with a high supply of mid- to low-priced apartments due to lending regulations, which in turn is driving up prices.

A real estate agency in Gangnam-gu, Seoul. Photo by Yonhap News

In Gyeonggi Province, the price increase in Giheung-gu, Yongin was the highest at 0.52%, exceeding the previous week's figure of 0.45%. Seongnam Bundang-gu (0.43%) and Gwangmyeong (0.42%) also saw notable growth. In Guri, which was most recently designated as a regulated zone along with Giheung-gu, apartment prices rose by 0.18%, a slight decrease from last week's 0.20%. In Dongtan, Hwaseong, prices climbed by 0.21%, reflecting an increase over the same period.

Jeonse (long-term deposit-based lease) prices for apartments also remain on an upward trend in Seoul and other regulated areas. The apartment jeonse price index in Seoul rose by 0.25% from the previous week, maintaining the same rate for two consecutive weeks. Seongbuk-gu saw the largest increase at 0.49%, followed by Nowon-gu (0.42%) and Geumcheon-gu (0.38%). The jeonse price increase in Giheung-gu was 0.54%, and in Dongtan, Hwaseong it was 0.28%, both higher than the previous week. In Guri, apartment jeonse prices also climbed by 0.25%, marking an increase in the growth rate compared to the previous week.

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