Management fees rise 14.3% in one year... Monthly rent up 5.7%
Management fees near Sogang University surge 53% to over 100,000 won
Management fees for one-room apartments near major universities in Seoul have risen by more than 10% over the past year.
On the 23rd, Station3, the operator of the real estate information platform 'Dabang,' analyzed the average monthly rent and management fees of one-room apartments (exclusive area under 33㎡, based on a deposit of 10 million KRW) registered last month on Dabang near 10 major universities in Seoul (Seoul National University, Yonsei University, Korea University, Sogang University, Sungkyunkwan University, Hanyang University, Chung-Ang University, Kyung Hee University, Hankuk University of Foreign Studies, Ewha Womans University). The average monthly rent for one-room apartments was 590,000 KRW, and the average monthly management fee was in the 80,000 KRW range. Compared to the same month last year, the monthly rent increased by 5.72% from 560,000 KRW, while the average monthly management fee rose sharply by 14.31% from the 70,000 KRW range last year.
As rent for one-room apartments near universities rises amid high inflation, more students are seeking more affordable housing options such as boarding houses and dormitories. In February, a flyer related to boarding houses was posted on a community bulletin board near Chung-Ang University in Dongjak-gu, Seoul. Photo by Jinhyung Kang aymsdream@
The area near Sogang University saw the largest increase in average management fees over the past year, soaring by more than 30,000 KRW (53.16%) from the 70,000 KRW range last year to the 100,000 KRW range this year. Additionally, the area near Ewha Womans University increased from the 80,000 KRW range to the 90,000 KRW range; Chung-Ang University area rose from the 70,000 KRW range to the 80,000 KRW range; areas near Kyung Hee University (Seoul Campus), Korea University, Yonsei University, and Hankuk University of Foreign Studies (Seoul Campus) increased from the 60,000 KRW range to the 70,000 KRW range; and the area near Hanyang University went up from the 50,000 KRW range to the 60,000 KRW range, each rising by about 10,000 KRW.
The average management fee near Seoul National University remained steady in the 90,000 KRW range both last year and this year, while the area near Sungkyunkwan University was the only one to see a decrease, dropping from the 70,000 KRW range to the 50,000 KRW range.
Regarding this, a Dabang representative said, "In addition to the rise in monthly rent, the increase in management fees, often called the 'second rent,' has likely significantly increased the housing cost burden felt by university students and local residents."
As of last month, the areas near Sogang University and Ewha Womans University had the highest average monthly rents, both at 730,000 KRW. The area with the lowest rent was near Seoul National University, at 470,000 KRW per month.
Meanwhile, Dabang has revamped its management fee detail disclosure service within the Dabang app to reflect the Ministry of Land, Infrastructure and Transport's revised 'Detailed Standards for Display and Advertisement of Brokerage Objects,' which mandates the disclosure of detailed management fee breakdowns. Accordingly, Dabang app users can now check detailed management fee items including ▲common area management fees (cleaning, security, elevator maintenance, etc.), ▲electricity charges, ▲water charges, ▲gas charges, ▲heating fees, and ▲internet usage fees.
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