Seoul Apartment Sale Prices Stable for 10 Consecutive Weeks
Jeonse Prices Show Predominant Upward Trend
Announcement of 1st Generation New Town Leading District Selection Plan
Project Feasibility by Complex Is Key Factor
The number of apartment sales transactions in Seoul exceeded 4,100 in April. According to the 'May Fourth Week Metropolitan Area Apartment Market Report' released by Real Estate R114 on the 26th, despite the contract reporting deadline still remaining, the transaction volume has already surpassed that of March (4,067 transactions), and it is expected to record over 4,000 transactions for two consecutive months.
In areas such as Sanggye-dong in Nowon-gu and Guro-dong in Guro-gu, transactions under 600 million KRW were active, while in Shingil-dong in Yeongdeungpo-gu, Bongcheon-dong in Gwanak-gu, and Chang-dong in Dobong-gu, transactions mainly involved the 84㎡ exclusive area, known as the standard size for public housing. The rise in jeonse prices has led to increased demand for jeonse in mid-to-low price concentrated areas, which in turn has actively driven purchases, resulting in increased transaction volume.
Seoul apartment sale prices remained flat (0.00%) for 10 consecutive weeks. There were no significant price changes in both reconstruction and general apartments, and new towns also recorded flat prices (0.00%). Gyeonggi and Incheon have shown stagnant movement for four months since the end of January this year (0.00%).
In Seoul, areas such as Songpa (0.03%), Gwangjin (0.02%), Gangdong (0.02%), Yongsan (0.01%), and Dongdaemun (0.01%) saw price increases, while Gangbuk (-0.04%), Guro (-0.01%), Seongbuk (-0.01%), and Yeongdeungpo (-0.01%) experienced declines, indicating a tense balance between rising and falling areas. In new towns, Pyeongchon rose by 0.02%, while other areas remained flat (0.00%). In Gyeonggi and Incheon, Uijeongbu (-0.04%), Osan (-0.04%), and Incheon (-0.01%) declined, and the only
Suwon saw a 0.01% increase, with areas such as Homaesil-dong's Homaesil Gyeongnam Honorsville and Homaesil Kumho Eoullim Edufore rising by about 5 million KRW.
The jeonse market has maintained a rising trend within a 0.01% to 0.02% box range for seven consecutive weeks since mid-April (April 12, 0.01%). This week, Seoul and Gyeonggi-Incheon each rose by 0.01%, while new towns remained flat (0.00%). In Seoul, jeonse prices increased in 14 out of 25 districts, accounting for more than half, showing a dominant upward trend.
Notable increases were seen mainly in the southwest and northeast areas such as Dobong (0.06%), Geumcheon (0.05%), Gwanak (0.04%), Yeongdeungpo (0.03%), Yangcheon (0.03%), Dongjak (0.03%), Dongdaemun (0.03%), Nowon (0.03%), and Guro (0.02%). Conversely, Jungnang fell by 0.01%, with areas like Muk-dong's Geukdong Neulpureun dropping by about 10 million KRW. In new towns, Pangyo (0.01%) and Dongtan (0.01%) saw increases.
In Gyeonggi and Incheon, there have been no declining areas for three consecutive weeks since the second week of May. Individual areas such as Osan (0.08%), Siheung (0.04%), Uijeongbu (0.03%), Hwaseong (0.02%), Goyang (0.02%), and Incheon (0.02%) experienced increases.
A representative from Real Estate R114 stated, "On the 22nd, the Ministry of Land, Infrastructure and Transport announced the '1st Generation New Town Redevelopment Leading District Selection Plan,' outlining the scope, scale, and selection criteria for the leading districts." He added, "Starting with a public contest at the end of June, if selected as a leading district by November, the project aims to begin construction in 2027 and complete occupancy by 2030."
He continued, "Leading districts will receive benefits such as simplified procedures, increased floor area ratios, and changes in zoning, raising expectations among local residents, but there are many challenges to overcome. Due to the downturn in the construction market and rising construction costs, the project's feasibility is uncertain, so the progress speed may vary depending on the viability of each complex. The active consent of association members and their capacity to bear the financial burden will also be key factors for the project's smooth progress."
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