"Not Even Gangnam, But 100 Million Won per Pyeong?"... Noticeable House Price Surge in 'Igot'

Songpa Apartment Prices Rise 0.72% from Previous Week
Largest Increase in 7 Years and 1 Month
Jamsil Els Sold for 3 Billion KRW... Sets All-Time High

Since the lifting of the Land Transaction Permission System (Toheoje), housing prices in Songpa-gu have recorded the largest increase in 7 years and 1 month.

According to the Korea Real Estate Board's 'Weekly Apartment Price Trends Nationwide for the Second Week of March (as of the 10th),' Seoul's Songpa-gu rose by 0.72% compared to the previous week, marking the largest increase since the first week of February 2018 (0.76%). This year, apartment prices in Songpa-gu have increased by 2.82%, the highest growth rate among the 25 autonomous districts in Seoul.

Jamsil 5-danji Apartment

In particular, at the end of last month, an 84㎡ unit in Jamsil Els was traded at a record high of 3 billion KRW (26th floor), fueling predictions that Jamsil will soon see cases of prices reaching 100 million KRW per pyeong.

In the southeastern region, which includes the Gangnam 3 districts, the weekly sales price increase rate was below 0.10% before the announcement of the lifting of Toheoje, but after the announcement, it has sharply risen: 0.24% in the third week of February → 0.36% in the fourth week of February → 0.48% in the first week of March → 0.58% in the second week of March. Gangnam-gu showed a 0.69% increase, the highest since the fourth week of January 2018 (0.93%), and Seocho-gu also showed a 0.62% increase, the highest since the fifth week of January 2018 (0.69%).

Apartment transaction volumes are also on the rise. Since September last year, the average monthly transaction volume of apartments in Seoul was around 3,000 cases, but last month's volume (as of the 12th) recorded 4,350 cases. This is a 36% increase compared to January (3,194 cases, excluding cancellations), and real estate experts believe that a significant portion of these transactions are in the Gangnam 3 districts and surrounding areas.

After Seoul City lifted the land transaction permission zone regulations for 291 apartments in Jamsil-dong, Songpa-gu, and Samsung, Daechi, and Cheongdam-dong, Gangnam-gu last month, housing prices in these areas rose by an average of 2.7%. From February 13, when the land transaction permission zone regulations were lifted, to March 14, the average apartment price in Jamsil, Samsung, Daechi, and Cheongdam-dong was 2.82 billion KRW, a 3.7% increase compared to the average price of 2.72 billion KRW during the 30 days before the lifting (January 14 to February 12).