[Asia Economy Reporter Ryu Tae-min] The decline in Seoul apartment prices has slightly decreased. However, the downward trend continues as 24 autonomous districts, excluding Seocho-gu, still recorded declines. The jeonse prices in Seoul and the metropolitan area also showed a similar rate of decline compared to the previous week.
According to the weekly apartment price trend for the first week of March announced by the Korea Real Estate Board on the 10th, as of the 7th, apartment sale prices in Seoul fell by 0.02%. This is a slight decrease in the rate of decline compared to the previous week (-0.03%).
In Seoul, 24 out of 25 autonomous districts, except Seocho-gu, recorded declines. Seodaemun-gu (-0.07%), Jongno-gu (-0.07%), and Seongbuk-gu (-0.07%) showed high rates of decline. Among the Gangnam 3 districts, which had shown high growth rates, Gangnam-gu continued to decline by 0.01% following last week, and Songpa-gu (-0.01%) also continued to fall. Seocho-gu maintained a flat trend at 0.00%, the only district in Seoul to do so.
Incheon (0.00%→-0.02%) shifted from flat to a downward trend. Yeonsu-gu (-0.10%) saw a significant decline, and except for Jung-gu (0.00%) and Michuhol-gu (0.00%), all other areas recorded a 0.01% decline.
Gyeonggi-do (-0.02%→-0.04%) saw a slight expansion in the rate of decline. Icheon-si (0.25%) and Anseong-si (0.12%) showed high growth rates. On the other hand, areas such as Siheung (-0.28%), Anyang Dongan-gu (-0.12%), and Hwaseong (-0.15%) experienced increased declines due to weakened buyer sentiment and reduced transaction activity.
Sejong saw apartment prices fall by 0.24% last week, a larger decline compared to the previous week (-0.13%).
A real estate agency in a densely populated apartment complex in Seoul. Photo by Hyunmin Kim kimhyun81@
The apartment jeonse market maintained the rate of decline last week in the metropolitan area (-0.04%) and Seoul (-0.03%). In Seoul, due to the demand shift to monthly rent following interest rate hikes and the use of renewal contracts, jeonse demand decreased. Generally, prices fell mainly in older buildings, with transactions focused on urgent sales, continuing the downward trend.
South of the Han River, Gangnam-gu (-0.03%) declined mainly in reconstruction and older buildings in Gaepo and Daechi-dong, while Songpa-gu (-0.03%) declined mainly in new buildings in Jangji-dong and older buildings in Munjeong and Pungnap-dong. Seocho-gu (-0.01%) continued to decline as high-priced properties in Seocho and Banpo-dong accumulated on the market.
In other metropolitan areas, Incheon recorded -0.09%, a smaller decline compared to the previous week (-0.12%). Seo-gu (-0.22%) declined mainly in Geomdan New Town and Gajeong-dong, Yeonsu-gu (-0.23%) mainly in high-priced complexes in Songdo-dong, and Jung-gu (-0.14%) mainly in large complexes in Jungsan and Unseo-dong.
Gyeonggi-do recorded -0.04%, a larger decline compared to the previous week (-0.03%). Anseong-si (0.16%) rose mainly in Gongdo-eup and Jungri-dong, which have favorable living conditions. Anyang Dongan-gu (-0.25%) declined mainly in new and older buildings in Hogye and Pyeongchon-dong, Uiwang-si (-0.23%) mainly in major complexes in Ojeon and Naeson-dong, and Hwaseong-si (-0.12%) mainly in Osan-dong. The downward trend continued in 29 cities and districts, expanding the overall decline in Gyeonggi-do.
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