Nodogang and Geumgwan Districts, 0.18% Increase in February... Rise After 3 Months

After 9 to 11 Weeks, Decline Halts Following Lifting of Land Transaction Permit System

Following the lifting of land transaction permit zones in Seoul, housing prices in the Gangnam area have risen, and signs of recovery are also emerging in Nodogang (Nowon, Dobong, Gangbuk) and Geumgwan-gu (Geumcheon, Gwanak, Guro).

According to Real Estate R114 on the 16th, the average apartment sale price per household in Seoul last month was 1,396.69 million KRW. This represents a 0.76% increase from the previous month and an 8.7% increase compared to the same period last year.

Last month, as Seoul lifted the land transaction permit system, the average sale prices in the three Gangnam districts (Gangnam, Seocho, Songpa) rose, surpassing the average increase rate of Seoul, with all areas seeing price increases. Gangdong, adjacent to these three districts, showed similar trends.

Although there remains a temperature gap between the Gangnam and non-Gangnam areas within Seoul, an upward trend was detected in the representative weak areas of Nowon, Dobong, Gangbuk, Geumcheon, Gwanak, and Guro. The average sale price in these six districts last month (699.26 million KRW) rose by 0.18% compared to the previous month, marking a turnaround to an increase after three months. Among them, Gwanak District (809.72 million KRW) saw the largest increase of 0.69%, followed by Gangbuk (671.10 million KRW) at 0.48%, Dobong (605.45 million KRW) at 0.23%, and Guro (789.16 million KRW) at 0.16%. However, Geumcheon (659.87 million KRW) and Nowon (660.27 million KRW) decreased by 0.06% and 0.13%, respectively. All six districts showed an average increase of 2.68% compared to the same period last year.

This trend aligns with the apartment price fluctuation rates announced weekly by the Korea Real Estate Board. As of the second week of March, Gangbuk (0.03%) and Dobong (0.01%) returned to an increase compared to the previous week. Nowon shifted from a decline (-0.03%) to stable (0.00%). Gwanak (0.00% to 0.02%), Guro (0.01% to 0.02%), and Geumcheon (0.00% to 0.01%) expanded their gains. Notably, since the fourth week of December last year, Gangbuk and Nowon have stopped their decline after 11 weeks.

The market interprets this as the heat from the Gangnam market, sparked by the lifting of land transaction permit zones, gradually spreading to the non-Gangnam areas.