"Sale Prices and Asking Prices Rise"
Gyeonggi Down 8%P, Incheon Up 9.6%P
Daejeon and Daegu Up, Gwangju and Busan Sharp Decline
As transaction prices continue to rise recently, the Seoul apartment auction success rate has reached its highest level in 2 years and 1 month. On the other hand, some regional apartments have seen a sharp decline, widening the gap between the metropolitan and non-metropolitan auction markets.
According to the auction trend report released on the 9th by Gigi Auction, a company specializing in auction and public sale data, the number of apartment auctions nationwide last month was recorded at 3,168 cases. The success rate rose by 5.6 percentage points from the previous month (37.2%) to 42.8%, while the auction price ratio fell by 1.1 percentage points from 87.3% to 86.2%.
The metropolitan apartment auction market showed an upward trend. Last month, the success rate for Seoul apartments was 47.3%, up 0.6 percentage points from the previous month (46.7%). The auction price ratio recorded 95.5%, an increase of 1.8 percentage points from 93.7% the previous month. This is the highest figure since July 2022 (96.6%). Apartments sold above the appraised value (100%) accounted for 30% (43 cases) of the total 140 successful auctions in Seoul. Gigi Auction analyzed that “the rise in actual transaction prices and asking prices in the sales market influenced this.” The average number of bidders was 7.0, down 0.8 from the previous month.
The success rate for Gyeonggi Province apartments was 43.3%, down 8.0 percentage points from 51.3% the previous month. The success rate declined due to a surge in new cases mainly in outer metropolitan areas such as Namyangju and Siheung. The auction price ratio rose by 0.7 percentage points from 89.5% to 90.2%, entering the 90% range for the first time since July 2022 (92.6%). The average number of bidders was 10.5, down 1.3 from 11.8 the previous month.
The success rate for Incheon apartments rose by 9.6 percentage points from 32.9% to 42.5%, recovering to the 40% range for the first time in six months since February. The success rate rebounded as some apartments in Michuhol-gu, which had the highest number of auctions due to the impact of rental fraud, were sold at low prices. The auction price ratio recorded 80.8%, down 0.9 percentage points from 81.7% the previous month. The average number of bidders remained similar at 8.0.
Among the five major regional metropolitan cities, the auction price ratios for apartments in Daejeon and Daegu rose slightly. The auction price ratio for Daejeon apartments increased by 1.8 percentage points from 82.0% to 83.8%, and Daegu’s ratio rose by 0.7 percentage points from 82.2% to 82.9%, ending a three-month decline. In contrast, the auction price ratio for Gwangju apartments fell by 10.2 percentage points from 94.4% to 84.2%. Busan’s ratio dropped by 4.7 percentage points from 78.4% to 73.7%, hitting the lowest level in 13 months, and Ulsan’s ratio fell by 4.1 percentage points to 81.7%.
Among the eight provinces, the auction price ratio for apartments in Jeonnam rose by 5.5 percentage points to 85.9%. Jeonbuk’s ratio increased by 4.2 percentage points to 88.4%, marking the highest auction price ratio in 21 months. Gyeongbuk and Chungnam rose by 3.2 percentage points and 1.9 percentage points to 83.1% and 87.0%, respectively. Meanwhile, Gangwon’s apartment auction price ratio dropped by 15 percentage points from 86.7% to 71.7%, recording the lowest level this year. Gyeongnam and Chungbuk also fell by 4.1 percentage points and 1.4 percentage points to 76.0% and 82.4%, respectively. Jeju’s apartment auction price ratio hit 69.5%, marking the lowest point in about four years since July 2020 (63.5%). The auction price ratio for five apartments sold in Sejong was 77.2%, the lowest this year.
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