Seoul Apartment Prices See Biggest Rise Since Oct. 15 Policy... "Gap Narrowing" Trend Evident [Real Estate AtoZ]

Dongjak District Tops Seoul for Three Consecutive Weeks (0.51%)
"Leveling" Trend Accelerates in Southwest Region
Suji in Yongin Ranks First Nationwide for Six Weeks (0.68%)
Southern Gyeonggi Sees a Boom Centered on the Shinbundang Line
Distinct "Gap Narrowing" as Buyers Move into Alternative Preferred Areas

Seoul apartment prices have recorded the highest weekly increase since the announcement of the October 15 real estate policy, marking 50 consecutive weeks of growth. In Gyeonggi Province, Suji District in Yongin has ranked first nationwide in price growth for six consecutive weeks, and Bundang has seen a sharp rise, indicating a surge centered around the Shinbundang Line. As buyers, burdened by the high prices in key Han River Belt areas such as the three Gangnam districts (Gangnam, Seocho, Songpa) and "Ma-Yong-Seong" (Mapo, Yongsan, Seongdong), are rapidly shifting to alternative preferred areas in the southwestern part of Seoul, such as Dongjak District, and southern Gyeonggi Province, the "gap narrowing" trend is spreading across the Seoul metropolitan area, reducing the price differences between regions.

Dongjak District Ranks First in Seoul for Three Consecutive Weeks... Southwest Region Shows Strong Performance

Seoul's Dongjak District ranked first in apartment price increase rate among Seoul's autonomous districts for three consecutive weeks in the weekly survey by the Korea Real Estate Board. The photo shows Acro Riverheim in Heukseong-dong, considered the "leading apartment" of Dongjak District. Photo by [Photographer's Name]

According to the "Weekly Apartment Price Trend for the Third Week of January" released by the Korea Real Estate Board on January 22, the apartment sale price growth rate in Seoul reached 0.29%, up from 0.21% the previous week. This is the highest rate among the 13 weekly surveys conducted since the announcement of the October 15 policy. It also marks 50 consecutive weeks of increases since the first week of February last year. After maintaining a growth rate of around 0.2% following the policy announcement, Seoul appears to be entering an overheated phase once again.

The most notable feature of this week's survey is the remarkable rise of Dongjak District, which had previously attracted less attention within the Han River Belt. Dongjak District posted a 0.51% increase this week, taking the top spot in Seoul for weekly price growth for the third consecutive time since the start of the new year. A weekly increase of 0.5% translates to an annualized rate of 26.0%, indicating a sharp surge.

The heat in Dongjak has spread to neighboring southwestern districts. Key areas in the southwest, such as Gwanak (0.44%), Yangcheon (0.43%), Gangseo (0.31%), and Guro (0.31%), all recorded growth rates above 0.30%, leading the gap-narrowing trend. The seven districts of Dongjak, Gwanak, Yeongdeungpo, Geumcheon, Guro, Gangseo, and Yangcheon are classified as "Southwest Seoul" by the Korea Real Estate Board. Last year, the annual growth rate in the southwest region was 7.61%, which was below the overall Seoul average of 8.71%. In addition, areas north of the Han River, such as Jung (0.35%), Seongbuk (0.33%), and Gwangjin (0.32%) also surpassed the 0.3% mark, joining the effort to close the gap.

The core Han River Belt regions that led the market last year, including the three Gangnam districts (Gangnam 0.20%, Seocho 0.29%, Songpa 0.33%) and Ma-Yong-Seong (Mapo 0.29%, Yongsan 0.27%, Seongdong 0.34%), continued to show steady growth in the 0.2% to 0.3% range. Unlike last year, when these areas dominated the highest growth rates, the atmosphere appears quieter on the surface, but they still provide a solid foundation for the market.

Southern Gyeonggi Sees "Suji-Bundang" Boom... Alternative Preferred Areas Also Strong

The enthusiasm in Gyeonggi Province, centered around the Shinbundang Line, is also notable. Suji District in Yongin rose by 0.68% this week, maintaining the highest growth rate nationwide among 178 cities, counties, and districts tracked by the Korea Real Estate Board for six consecutive weeks. The neighboring Giheung District in Yongin (0.39%) also saw a jump, while Bundang District (0.59%) and Sujeong District (0.46%) in Seongnam showed strong growth around 0.5%.

Gwacheon (0.30%), a traditionally strong area, is also rebounding, and alternative preferred areas in Gyeonggi Province, such as Dongan District in Anyang (0.48%), Gwangmyeong (0.39%), and Hanam (0.38%), all recorded growth rates above 0.30%. Following the tightening of loan regulations under the October 15 policy, buyers who felt burdened by high prices in core areas are rapidly moving to adjacent alternative preferred regions, leading the price "leveling" trend.

Meanwhile, regional areas outside the Seoul metropolitan area recorded a moderate weekly increase of 0.02%. In Ulsan (0.14%), growth was centered on Hakseong and Ujeong-dong, while in Busan (0.06%), large complexes in Haeundae District (0.20%) and Dongnae District (0.18%) led the rise. In North Jeolla Province (0.06%), Deokjin District in Jeonju (0.24%) and Namwon (0.22%) showed strong performance, while in Sejong (0.03%), increased buying interest in Jochiwon-eup shifted the market from flat to rising. On the other hand, Daegu (-0.04%), Jeju (-0.03%), and North Gyeongsang (-0.02%) saw declines.