Busan City Individual Official Land Prices Down 5.38% Compared to Previous Year

As of 2023.1.1., Decision Based on Nationwide Average Reduction Rate (5.73%)

House Price Decline and Economic Conditions, Government Revises Public Price Realization Plan

Busan City announced that as of January 1, 2023, the individual publicly announced land prices for 705,438 individual land parcels across 16 districts and counties within the jurisdiction were surveyed and calculated, resulting in an average land price increase rate of -5.38% compared to the previous year.

Yearly Individual Official Land Price Change Rate (%).

'Individual publicly announced land price' refers to the price per unit area (KRW/㎡) of individual land parcels within the jurisdiction as of the public announcement reference date each year, determined and announced by the mayor, county governor, or district head for the purpose of levying various taxes such as national and local taxes related to land, as well as other purposes prescribed by law.

This represents a 5.38% decrease from the previous year's average land price increase rate of 10.48%. The national average land price increase rate was -5.73%, with Seoul at -5.56%, Daegu at -5.67%, Incheon at -5.69%, Ulsan at -6.66%, and Gyeongnam at -7.06%. Busan City generally saw a downward adjustment for 95% of the surveyed parcels compared to the previous year, reflecting recent declines in housing prices, difficult economic conditions, and the government's 'Public Price Realization Adjustment Plan.'

Status of individual publicly announced land price change rates by district and county compared to the previous year.

The total land price amount in Busan was surveyed at KRW 346.8975 trillion, down KRW 16.8305 trillion (4.8% decrease) from KRW 363.728 trillion the previous year. Areas with favorable residential locations and many development issues such as redevelopment and reconstruction, including Haeundae-gu (-4.15%), Nam-gu (-4.46%), Gijang-gun (-4.46%), Busanjin-gu (-4.73%), and Suyeong-gu (-4.81%), experienced decreases lower than the Busan average (-5.38%). In contrast, old downtown areas without special development prospects such as Jung-gu (-7.38%), Dong-gu (-6.84%), Buk-gu (-6.68%), and Yeongdo-gu (-6.53%) showed higher rates of decline than the average.

Notably, some individual land prices slightly increased in areas with development prospects such as the Centum 2 District Urban High-Tech Industrial Complex (land use zone plan facility change), Dongbusan Tourism Complex, Citizen Park Redevelopment Promotion, Seogeumsa Redevelopment Promotion, Eco Delta City development, and Osiria Tourism Complex.

Conversely, old downtown areas without special development prospects and with shrinking local commercial districts, such as Jung-gu (-7.38%), Dong-gu (-6.84%), and Buk-gu (-6.68%), experienced sharper declines than the average.

The highest individual publicly announced land price in Busan remains the same as last year, located in Bujeon-dong, Busanjin-gu (LG Uplus Seomyeon 1st Street branch), at KRW 44.6 million per square meter (a 3.8% decrease from the previous year). The lowest price was found in Oryun-dong, Geumjeong-gu (near Hoedong Reservoir forest area), a development-restricted zone, at KRW 969 per square meter (a 5.3% decrease from the previous year).

Individual publicly announced land prices can be viewed at the civil service offices of the respective districts and counties or through the Real Estate Public Price Information System. If there are objections to the announced prices, from April 28 to May 30, objections can be submitted online via the Ilsa Pyeonri Real Estate Integrated Civil Service or by submitting objection forms in writing, by mail, or fax to the individual publicly announced land price departments of the respective districts and counties.

Submitted objections will be re-investigated to ensure fairness and accuracy, undergoing verification by certified appraisers and review by the district or county Real Estate Price Public Announcement Committee to decide whether price adjustments are necessary. The adjusted individual publicly announced land prices will be re-announced on June 27 and notified to the objectors.