Songpa Also Falls... Apartment Prices Drop Across All Three Gangnam Districts [Real Estate AtoZ]

Korea Real Estate Board Weekly Apartment Price Trend for the First Week of September

This week, apartment sales prices in Gangnam and Seocho districts fell for the fifth consecutive week, and Songpa district also turned to a downward trend. In contrast, the Gangbuk area saw a growth rate more than four times higher than that of the Gangnam area. The upward trend in the jeonse rental market was also particularly pronounced in the northern part of Seoul.

According to the weekly apartment price trend data for the first week of September (7th), released by the Korea Real Estate Board on September 10, the apartment sales price growth rate in Seoul was 0.20%, which was lower than the previous week’s 0.22%. The rate of increase has slowed for two consecutive weeks. The 11 southern districts of Gangnam recorded a price increase of 0.08%, down from 0.09% in the previous week, and the 14 northern districts saw the growth rate edge down from 0.36% to 0.33%.

The Korea Real Estate Board explained, "Some regions saw listings with reduced prices, resulting in transactions at lower prices. However, sales continued to rise, especially in large apartment complexes and complexes near subway stations, which remain in high demand, leading to an overall rise in Seoul's housing sales price."

Songpa district, which saw a 0.01% rise last week, turned downward to -0.02%. After increasing by 0.10% in the third week of last month and 0.09% in the fourth week, the growth decelerated to 0.01% in the fifth week, and dropped into negative territory this week.

After the tax reform proposal was announced, Gangnam and Seocho districts, which were the first to show weakness, continued their downward trends. In Gangnam district, after falling by -0.02% in the second week of last month, the decrease continued by -0.05% in the third week, -0.11% in the fourth week, and -0.41% in the fifth week. This week, a further drop of 0.35% marked five consecutive weeks of decline. Seocho district also turned negative, falling by -0.04% in the second week of last month, followed by -0.09%, -0.05%, -0.23%, and a drop of -0.30% this week, making it five straight weeks of losses.

Apartment Sale Price Index Change Rates by City/Province for the First Week of September (7th). Korea Real Estate Board

Mid- and lower-tier regions of Seoul continued to gain. Gangbuk district rose by 0.46% from the previous week, recording the highest growth rate in Seoul. Dobong and Seodaemun districts both climbed by 0.43%, Seongbuk by 0.42%, and Gwanak by 0.41%. Jungnang district also saw a 0.40% rise. The Korea Real Estate Board commented, "Smaller apartments in Mia and Beon-dong, large apartment complexes in Chang and Ssangmun-dong, as well as complexes near stations in Bongcheon and Sillim-dong, spearheaded the upward trend."

Outside Seoul, southern Gyeonggi Province performed strongly. Gwonsun district in Suwon posted the nation’s highest weekly growth among 182 cities, counties, and districts, rising by 0.48%. Key complexes in Gwonsun and Homaesil-dong drove the increase. Yeongtong district in Suwon and Hanam city also rose by 0.47% each. Dongan district in Anyang climbed by 0.43%, and Bundang district in Seongnam by 0.41%.

Apartment sales prices throughout Gyeonggi Province rose by 0.17%, down from 0.19% the previous week.

Incheon’s increase expanded to 0.03%, up from 0.01% previously. The overall capital region (Seoul, Incheon, Gyeonggi) saw the growth rate ease to 0.16%, down from 0.17%.

The non-capital region increased by 0.01%, maintaining the same rate as the week prior. In the four major metropolitan cities, apartment prices rose by 0.01%, while Sejong fell by 0.02%. South Jeolla and Gwangju climbed by 0.03%, and the seven provinces rose by 0.01% each.

Across the nation, apartment sales prices rose by 0.08%, a 0.01 percentage point decrease from the previous week’s rate.

Apartment Jeonse Price Index Change Rate by City/Province for the First Week of September (7th). Korea Real Estate Board

In the jeonse rental market, the upward trend in the northern part of Seoul and some parts of Gyeonggi Province was especially noticeable. Nationwide apartment jeonse prices rose by 0.10%, the same as the previous week.

Seoul’s jeonse growth rate slowed from 0.21% last week to 0.19% this week. Seocho district (-0.21%) and Gangnam district (-0.03%) experienced declines due to an increase in new supply and renovation activities. In contrast, northern districts such as Nowon (0.38%), Jungnang (0.37%), Seodaemun (0.32%), and both Seongdong and Gangbuk (0.31% each) saw jeonse prices rise, particularly near subway stations and in large complexes. Nowon district recorded the highest jeonse growth rate in Seoul.

In Gyeonggi Province, Gwangju had the highest growth at 0.38%, with small to mid-sized units in Yangbeol-dong and Chowol-eup driving the price increase. Gwangmyeong city (0.37%), Jungwon district in Seongnam (0.33%), and Uiwang city (0.33%) followed.

Incheon’s jeonse prices rose by 0.17% this week, easing from the previous week’s 0.19%. In Seohae district (0.32%), large complexes in Cheongna and Gajwa-dong posted increases; Yeongjong district (0.29%) saw growth centered on Jungsan and Unnam-dong, and Yeonsu district (0.25%) saw increases in Songdo and Okryeon-dong.

In the greater capital region, jeonse prices rose by 0.16% this week, down from 0.18% the week before. Gyeonggi Province’s rate also slowed to 0.14%, from 0.16% previously.

The nationwide apartment jeonse price growth rate was 0.10%, the same as the previous week. In non-capital regions (0.04%), all major sub-regions saw increases: the four major metropolitan cities by 0.04%, South Jeolla and Gwangju by 0.01%, and the seven provinces by 0.03%.

In Sejong, although sales prices have been declining for three weeks, jeonse prices doubled from 0.06% to 0.12%, primarily driven by smaller complexes in Jongchon and Goun-dong.

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