Will Home Prices Rise Even More?
Growing Interest in Post-Completion Special Sales at Hillstate Suwon Park Foret and Other Complexes
The pace of apartment price increases in the Seoul metropolitan area is spreading rapidly. Analysts attribute the continued rise in home prices to expectations of a revitalized market following the inauguration of the new government and to stronger buying sentiment driven by a cut in the base interest rate.
According to the nationwide housing price trend survey for May 2025 released by the Korea Real Estate Board, the comprehensive sales price of homes in Seoul (including apartments, multiplex housing, and detached houses) rose by 0.38% last month, accelerating from the previous month's increase of 0.25%. Notably, all 25 districts of Seoul recorded price gains.
Elsewhere in the Gyeonggi region, the price increases were most pronounced in major southern metropolitan cities such as Gwacheon (1.21%), Seongnam (0.54%), Yongin (0.16%), and Suwon (0.065%).
That's not all. In key areas, home prices are recovering to previous peaks, and record-high transactions are continuing. For example, in Yeomni-dong, Mapo-gu, Seoul, a 114-square-meter unit (18th floor) at Mapo Prestige Xi was sold for 2.81 billion won on the 17th of last month, while in Mok-dong, Yangcheon-gu, a 65-square-meter unit (6th floor) at Mok-dong New Town Complex 5 was sold for 2.25 billion won on the 28th of last month, both setting new record highs.
Will prices rise further... Growing interest in post-completion special sales at Hillstate Suwon Park Foret and others
Given this situation, anxiety among buyers is mounting, with sentiments such as "This is the lowest price," and "If not now, it will be too late," becoming more widespread. As a result, more people are actively seeking out complexes offering reasonable prices.
In particular, there is growing interest in pre-sale complexes or post-completion special sales where units are being offered at previously established prices. This is because, compared to the ongoing upward trend in prices, these offerings are regaining their competitive edge.
In Suwon, for example, Hillstate Suwon Park Foret, which received its completion permit in December last year and began special post-completion sales, is reportedly attracting strong interest from this segment of buyers.
A representative from Hillstate Suwon Park Foret stated, "This special sale in particular is receiving an even greater response because it reduces the burden on buyers by offering a 5% down payment, partial deferred balance payments, balcony expansion, and system air conditioning, among other benefits. The advantage of immediate occupancy is also prompting inquiries and contracts not only from Suwon, but also from the greater metropolitan area and Seoul."
Meanwhile, industry experts expect that the trend of buyers securing homes through pre-sale complexes or post-completion special sales will continue for some time. This is because even those who had been sidelined by the rapid surge in home prices, such as the so-called "Yeongkkeuljok" (those who stretch their finances to the limit) and buyers in their 30s, are returning to the market.
An industry insider commented, "With the persistent rise in home prices, the sentiment that 'if not now, you won't be able to buy a home' is spreading throughout the market, prompting the Yeongkkeuljok and younger buyers in their 30s to hurry back into real estate. Unlike in the past, the 30-something buyers returning to the market now are primarily motivated by the desire for actual occupancy, so purchase activity in existing complexes led by this group is expected to become even more active."
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