As home prices in Seoul continue to rise, the upward trend that was once centered in the Gangnam area is now spreading to northern and non-Gangnam regions. In Gyeonggi Province, the price increase that began in Dongtan is extending to major southern areas such as Yongin and Suwon, sustaining a strong market across the metropolitan area.
According to the Korea Real Estate Agency's report on the national weekly apartment price trends for the first week of July (as of July 6), Seoul's apartment sale prices increased by 0.30%, up from 0.27% the previous week. The agency noted, "While some areas are still in a wait-and-see mode, transactions are continuing in complexes with development potential and in well-located, large-scale projects near stations."
This survey highlighted a notable increase in the northern districts. The average increase in the 14 northern districts was 0.33%, surpassing the 0.28% rise in the 11 southern districts. Among individual districts, Seongbuk-gu recorded the highest increase at 0.51%, followed by Guro-gu (0.50%), Jungnang-gu (0.39%), Gwangjin-gu (0.38%), Gangbuk-gu (0.37%), and Dongdaemun-gu (0.36%). In the Gangnam area, Songpa-gu and Gangdong-gu both saw the highest increase at 0.34%, with Yeongdeungpo-gu (0.32%) and Gwanak-gu (0.31%) following.
The Korea Real Estate Agency explained that Seongbuk-gu's growth is driven by large complexes in Hawolgok and Jongam-dong, while Jungnang-gu's increase is centered around the Shinnae and Myeonmok-dong areas near stations. Gwangjin-gu's growth is attributed to small and medium-sized complexes in Guui and Jayang-dong. This trend reflects an influx of actual demand into relatively affordable areas, along with expectations for redevelopment.
In Gyeonggi Province, the southern region continues to show strength. Dongtan in Hwaseong recorded the highest increase in the country at 1.29%, followed by Yeongtong-gu in Suwon (1.19%), Guri (0.64%), Giheung-gu in Yongin (0.56%), and Bundang-gu in Seongnam (0.48%). In contrast, Pyeongtaek (-0.11%) and Icheon (-0.13%) experienced declines, indicating regional disparities.
Nam Hyuk-woo, a real estate researcher at Woori Bank, stated, "Although the price increase in Dongtan has somewhat slowed, demand is shifting to Giheung-gu in Yongin, maintaining the strength in southern Gyeonggi. We are also seeing a spread of demand for upgrading to areas like Yeongtong in Suwon and Bundang in Seongnam."
Nationally, there remains a temperature difference between the metropolitan area and other regions. Nationwide apartment sale prices rose by 0.11%, while the metropolitan area saw a 0.22% increase, compared to a mere 0.01% rise in other regions. Among the 181 cities and districts surveyed, 108 saw price increases, an increase from the previous week, while the number of areas experiencing declines dropped to 60.
The rental market also continued its upward trend. The average rent for apartments in Seoul increased from 0.30% to 0.31%. The Korea Real Estate Agency noted that areas like Seongdong-gu (0.46%), Nowon-gu (0.44%), Gangdong-gu (0.43%), and Songpa-gu (0.42%) are seeing sustained rental contracts due to preferences for school districts, proximity to stations, and large complexes.
* This article has been translated by AI.
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