'Nodogang' Gangbuk Area Sees Highest 1.69% Increase
February Trading Rises, Seoul and Other Regions Also Expected to Increase
Due to the impact of the real estate regulation easing announced by the government at the beginning of the year, the Seoul apartment actual transaction price index, which had been showing a weak trend, has turned to an increase for the first time in seven months.
According to the Korea Real Estate Board on the 16th, the Seoul apartment actual transaction price index in January rose by 0.81% compared to the previous month, marking the first increase since June last year (0.23%).
Among the Seoul regions, the northeastern area, which includes Nowon, Dobong, and Gangbuk districts, showed the largest increase. In January this year, the northeastern area rose by 1.69%, followed by the northwestern area, including Mapo and Eunpyeong districts, which increased by 1.61%. The southeastern area, which includes the Gangnam 4 districts, also rose by 1.61%.
On the other hand, the central area, including Jongno and Yongsan districts, fell by 1.34%, and the southwestern area, including Yeongdeungpo, Yangcheon, Gangseo, and Guro districts, decreased by 0.20% respectively.
Recently, the volume of apartment transactions in Seoul has shown some recovery. Although the transaction cliff deepened due to the interest rate hikes that began in earnest in the second half of last year, various regulatory relaxations, such as lifting the regulation status for all areas except the Gangnam 3 districts and Yongsan district in January this year, led to an increase in transactions mainly for quick sales. According to the Seoul Real Estate Information Plaza, the number of apartment transactions in Seoul in January this year was 1,419, exceeding 1,000 transactions per month for the first time since June last year (1,066 transactions). As of the 16th of this month, 2,223 transactions have been reported in February.
In contrast, regions such as Gyeonggi-do are still unable to escape the downward trend. The actual transaction price index for apartments in Gyeonggi-do in January fell by 1.35% compared to December last year, and Incheon also dropped by 1.08%, resulting in a 0.58% decrease across the entire metropolitan area.
The nationwide apartment index also fell by 0.79%, with the local apartment actual transaction price index declining by 1.00%.
Among the local metropolitan cities and provinces in January, the actual transaction price index rose in three places: Gwangju Metropolitan City (0.84%), Ulsan (0.18%), and Jeju (0.45%).
The provisional actual transaction price index for February, when quick sale transactions were active, is expected to rise compared to January. Seoul is projected to increase by 1.55%, nationwide by 0.91%, and the metropolitan area by 1.38%.
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