Apartment prices in Seoul have fallen for two consecutive weeks, with the decline widening. Nationwide, sales prices have dropped for three consecutive weeks. Jeonse prices continued to rise, but the rate of increase slightly decreased.
According to the "Weekly Apartment Price Trends" released by the Korea Real Estate Board on the 14th, the nationwide apartment sales price change rate for the second week of December (as of the 11th) recorded -0.04%. This marks a decline for three consecutive weeks. The drop widened by 0.03 percentage points compared to the previous week (-0.01%).
Seoul apartment prices fell by 0.03% compared to last week (-0.01%), increasing the rate of decline. The drop was relatively large in Guro (-0.10%) and Dongjak (-0.06%). In Gangbuk, Gangbuk (-0.07%), Nowon (-0.05%), Mapo (-0.05%), and Dobong-gu (-0.04%) also experienced declines.
The Real Estate Board explained, “With a large gap between desired transaction prices and market prices, uncertainty in the housing market has led to a further decrease in buyer inquiries,” adding, “There have been listings with downward price adjustments and intermittent transactions mainly involving urgent sales, resulting in an expanded rate of decline.”
In Gyeonggi Province, prices fell by 0.05%, widening the decline compared to the previous week (-0.01%). Except for some areas such as Anyang Dongan-gu (0.04%), Suwon Yeongtong-gu (0.04%), and Gwangmyeong-si (0.04%), most regions showed a downward trend. In Incheon (-0.06%), the decline slightly increased compared to last week (-0.05%), centered around Michuhol-gu (-0.18%), Jung-gu (-0.14%), Bupyeong-gu (-0.10%), Yeonsu-gu (-0.07%), and Gyeyang-gu (-0.06%).
The apartment price change rate in provincial areas also widened to -0.03% from -0.02% last week. The five major metropolitan cities fell by 0.04%, and Sejong City’s decline deepened from -0.09% to -0.12%.
Meanwhile, nationwide apartment jeonse prices rose by 0.05%, continuing an upward trend for the 21st consecutive week. Seoul increased by 0.11%, and the metropolitan area rose by 0.10%. However, the overall rate of increase narrowed, with nationwide and Seoul rising 0.02 percentage points and 0.03 percentage points less than the previous week, respectively.
The Korea Real Estate Board stated, “As the sales market remains cautious, sales demand is shifting to jeonse demand, sustaining the rise in jeonse prices,” and explained, “Recently, high-priced properties that had been continuously rising have been adjusted downward and traded, leading to a reduction in the rate of increase.”
Jeonse prices in Gyeonggi rose by 0.12%, while provincial areas increased by 0.01%. Incheon saw a 0.02% decrease.
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
