Seoul Apartment Record-High Transactions Hit 3-Year High at 23.6% in July [Real Estate AtoZ]

Record-High Transactions Account for Over Half of Sales in Seocho, Gangnam, and Yongsan Districts

In July, the proportion of apartment sales in Seoul that set new record-high prices reached 23.6%, marking the highest level in the past three years. In particular, more than half of such transactions occurred in Seocho, Gangnam, and Yongsan districts.

On the 27th, apartment prices in Mapo and Seongdong districts in Seoul rose the most sharply since related statistics began to be published in 2013. The expectation that Seoul apartment prices will continue to rise is projected to sustain the upward trend for the time being. The photo shows the view of apartment complexes in downtown Seoul from Namsan. 2025.06.27 Photo by Dongjoo Yoon

According to an analysis by Zigbang (CEO Sungwoo Ahn) of the Ministry of Land, Infrastructure and Transport's actual apartment sales price data, there were a total of 3,946 transactions in July, of which 932 (23.6%) set new record-high prices. This figure is higher than in June, which was dubbed a "hot market" at 22.9%, and is the highest since July 2022 (27.9%).

Due to strong regulations implemented through the June 27 measures-such as limiting mortgage loans to 600 million won and prohibiting jeonse loans before the transfer of ownership-the number of transactions in July (3,946) fell to 36% of the June figure (10,935). In land transaction permit zones, contracts must go through a permit process, which also affected the July transaction statistics. Despite the overall sharp decline in transaction volume, some deals continued to set new record-high prices, maintaining strong price momentum.

Notably, there were many cases of new record-high prices among apartments priced between 1.2 billion and 2 billion won in districts such as Dongjak, Seongdong, and Mapo. This trend is attributed to active purchases by high-income dual-income households and those with the financial capacity to upgrade their homes. Transactions exceeding 3 billion won also accounted for 20% of all deals. The combination of scarcity in prime locations, limited new supply, and unstable alternative investment options contributed to the continued buying trend.

In contrast, the share of record-high transactions among apartments priced at 900 million won or less was only 18%, indicating a relatively lower proportion. This price range is more heavily affected by lending regulations, resulting in subdued transactions and more price adjustments due to the gap between buyers’ and sellers’ expectations.

By district, the proportion of record-high transactions was over half in Seocho (61.5%), Yongsan (59.5%), and Gangnam (51.6%). After the June 27 measures, contracts made under the land transaction permit system were reflected in July’s statistics, which is interpreted as further increasing the share of record-high transactions, especially in the Gangnam area.

In Seocho District, 118 out of 192 transactions set new record-high prices, with 44% (52 cases) in the over-3-billion-won range, the highest by price segment. By neighborhood, Seocho-dong (40 cases), Jamwon-dong (22 cases), Bangbae-dong (22 cases), and Banpo-dong (17 cases) led the list. In July, a 84.5-square-meter unit at Seocho Gran Xi sold for 4.19 billion won, while a 92-square-meter unit at Sinbanpo 2nd Complex sold for 4.55 billion won.

In Yongsan District, record-high transactions were also concentrated in mid- to large-sized older complexes. Of 111 transactions, 66 set new record-high prices. A 134-square-meter unit at Ichon-dong LG Hangang Xi sold for 4.2 billion won, and an 87-square-meter unit at Ichon-dong Hangang Mansion sold for 4.2 billion won. In Gangnam District, an 84.7-square-meter unit at Gaepo-dong Gaepo Xi Residence sold for 4 billion won, and an 84.8-square-meter unit at Gaepo-dong Gaepo Raemian Forest sold for 3.3 billion won. In other districts, the proportion of record-high transactions was 38.2% in Gwangjin, 36.8% in Songpa, 35.8% in Yangcheon, 34.2% in Mapo, 32.1% in Jongno, and 31.1% in Dongjak.

On the other hand, Jungnang (4.3%), Guro (3.6%), Seongbuk (3.6%), Nowon (3.2%), and Dobong (3.1%) districts showed a much lower proportion of record-high transactions, highlighting clear regional disparities. This is interpreted as a result of higher dependence on loans among mid- to low-priced real demand buyers with relatively less financial capacity, leading to subdued transactions and price adjustments following the regulations.

In the two months following the June 27 measures, polarization between high-priced and mid- to low-priced apartments in the Seoul market has become more pronounced. Minyoung Kim, manager of Zigbang’s Big Data Lab, explained, "While demand continues and record-high prices are being set for high-priced apartments in areas like Gangnam and Yongsan, transactions in mid- to low-priced complexes have shrunk, resulting in a significant market gap. The housing supply expansion plan announced on September 7 could, in the short term, reaffirm the government's intention to increase supply and serve as a signal to ease market anxiety. However, the stabilizing effect will depend on the pace of supply and the strength of demand management going forward."