The I-Park Samsung penthouse in Samseong-dong, Gangnam-gu, Seoul, was sold at auction for 13,043,520,000 won, setting a new record for the highest price ever paid for an apartment at auction in South Korea.
According to real estate auction data specialist GG Auction on May 8, the 269-square-meter I-Park Samsung penthouse was sold for a final price of 13,043,520,000 won in the second round of auction held at the Seoul Central District Court.
This surpasses the previous record set in June of last year by the Nine One Hannam (244 square meters, 11,370,000,000 won) in Yongsan-gu, and also breaks the record set about three months ago by Hannam The Hill (240 square meters, 12,500,000,000 won), which was sold at auction in February.
The penthouse, located on the top floor of the building, is a luxury property that went to auction in December of last year with an appraised value of 14,400,000,000 won, the highest ever for an apartment. The first auction failed to attract any bidders, but in the second auction, which started at 11,520,000,000 won?about 20% lower than the appraised value?two bidders participated. The second-highest bid was reportedly 12,730,000,000 won.
Such ultra-high-priced properties typically take a long time to sell due to limited demand. Analysts say that the faster-than-expected sale was largely influenced by the sharp rise in home prices in the Gangnam area following the lifting of the land transaction permit zone designation. In addition, some point out that buying through auction allows buyers to avoid the regulations of the land transaction permit zone, which also played a role.
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