"Rising Prices in Seoul Don't Reflect the Whole Country... Kim Yoonduk Must Address Regional Housing Markets"

Park Yonggap of the National Assembly's Land, Infrastructure and Transport Committee:
"Serious Decline in Regional Housing Prices and Increase in Unsold Homes"
"Need for Housing Policies Reflecting Regional Realities"

Amid the prolonged stagnation of the regional real estate market, there are criticisms that government policies remain focused on Seoul.

On July 29, Park Yonggap, a member of the National Assembly's Land, Infrastructure and Transport Committee from the Democratic Party of Korea, stated, "The decline in housing prices and the increase in unsold homes in regional areas are reaching a serious level," and added, "Kim Yoonduk, the nominee for Minister of Land, Infrastructure and Transport, must establish housing policies that reflect the realities of each region."

According to Park's analysis of the 'June 2025 National Housing Price Trend Survey' published by the Korea Real Estate Board, there were only five regions where housing prices rose by more than 0.05% compared to the previous month: Seoul (0.95%), Sejong (0.39%), Gyeonggi·Jeonbuk (0.11%), and Chungbuk (0.07%). In contrast, housing prices fell in nine regions: Gwangju (-0.23%), Daegu (-0.20%), Daejeon (-0.17%), Busan (-0.16%), Jeju (-0.15%), Gyeongbuk (-0.14%), and Gyeongnam·Chungnam·Incheon (-0.08%).

A sales notice is posted at an apartment complex. Photo by Yonhap News

By city and district, many areas experienced significant declines. Notable decreases were seen in Pyeongtaek, Gyeonggi (-0.67%), Dong-gu, Gwangju (-0.65%), Nam-gu, Pohang, Gyeongbuk (-0.56%), as well as Seo-gu, Daegu (-0.48%), Sasang-gu, Busan (-0.54%), and Geoje, Gyeongnam (-0.53%). Even in the Seoul metropolitan area, there were many regions with clear downward trends, such as Yeonsu-gu, Incheon (-0.35%), Icheon, Gyeonggi (-0.37%), and Ilsandong-gu, Goyang (-0.44%).

Unsold apartments were concentrated in regional areas. According to Park's analysis of the 'May 2025 Unsold Housing Status' from the Ministry of Land, Infrastructure and Transport, more than 1,000 unsold units were accumulated in 15 provinces and cities, including Gyeonggi (12,155 units), Daegu (8,586 units), Gyeongbuk (5,732 units), Busan (5,420 units), Gyeongnam (5,363 units), and Chungnam (4,724 units). This applies to most regions nationwide except for Seoul (989 units) and Sejong (58 units).

Park stated, "Just because housing prices are rising in some parts of Seoul does not mean the entire country is experiencing the same trend." He added, "If Kim Yoonduk becomes minister, he should not implement uniform housing policies based solely on the select areas of Seoul where prices are increasing. Instead, he must fully consider the depressed market conditions in regional cities and some areas of Gyeonggi and Incheon, and promote housing supply, real estate finance, and tax policies accordingly."