There have been consecutive transportation benefits for Ansan City as it has been selected as a priority area for the government's railway underground project. However, the long duration required for railway underground construction and delays in the construction of the Gyeonggi Metropolitan Rapid Transit (GTX)-C line have led to a continued stagnation in the real estate market.
According to the Ministry of Land, Infrastructure, and Transport on the 8th, the section 'Chojigeo~Jungang Station' of the railway underground project site has been selected as one of the three sites on the 19th of last month. In addition, various transportation benefits are expected, including the Shinan Railway (scheduled to open in 2026) and the GTX-C line.
However, the real estate market has not been able to shake off the stagnation, and housing prices are continuing to decline. According to the Korea Real Estate Board's weekly apartment price trends, as of the 24th of last month, apartment prices in Ansan fell by 0.03%. This marks six consecutive weeks of decline since January 20.
The 59㎡ unit at Sa-dong Pureunmaeul 5 Complex, near Sangnoksu Station on the GTX-C line (planned), was traded for 375 million won on January 3 of last year, but last month it traded for 320 million won, down by 55 million won. The 84㎡ unit at Lotte Castle The First in Danwon-gu, Choji-dong was sold for 645 million won in April of last year but traded for 610 million won in February of this year, a decrease of 35 million won.
A local real estate agency noted that while it is true there are transportation benefits like the railway underground project, it is uncertain when the project will be completed, and due to delays in the GTX-C line project, there have not been many inquiries about transactions. Since the groundbreaking ceremony for the GTX-C line last year, issues with financing have delayed the project, with major contractors like Hyundai E&C expressing intentions to withdraw, pushing the expected opening date from April 2025 to a later time in 2027 (estimated).
An official from a real estate agency in Gojan-dong, Danwon-gu, Ansan, said, "When the talk of transportation benefits first arose, prices increased significantly. As the railway underground and GTX projects take years to complete, there is nothing tangible right now," and added that "inquiries about transactions have neither increased nor decreased significantly. It seems to have declined due to the stagnation in the real estate market nationwide."
The population of Ansan City continues to show a downward trend. According to the Ministry of the Interior and Safety's resident registration population status, as of February of this year, Ansan's population is 617,963. This is nearly a decrease of 100,000 from 713,571 in 2014. Analysis suggests that the influx of population due to housing developments in nearby cities, such as Dongtan New Town in Hwaseong and Baegot New Town in Siheung, has negatively influenced Ansan's population.
Im Min-keun, the mayor of Ansan, also noted at a New Year's press conference in January, "Hwaseong City is developing the area west of Songsan Green City into a city with a population of 150,000. It will not just include apartments but will contain many various contents," adding that "the current population of Saesol-dong in Hwaseong (Songsan Green City) is 27,000, and more than 80% of them are residents who have moved from Ansan. These individuals have turned their backs on Ansan."
Experts explained that transportation benefits have already been factored in. Additionally, newly constructed or semi-new apartment complexes arising from recent maintenance projects are in a challenging environment for demand because prices have increased. Yoon Soo-min, a real estate specialist at NH Nonghyup Bank, stated, "The Ansan area already had prices increase significantly when transportation benefits such as the GTX were announced, and especially in the outskirts of Gyeonggi Province, commuting to Seoul is not easy, so existing residents' demand predominates over demand flowing in from Seoul. Given that the already factored prices are high, the recovery of actual demand appears to be slow."
Song Seung-hyun, head of a city and economy firm, stated, "As Ansan is an old city, there is a tendency for the population to move in search of new infrastructure being established in new towns," adding that "if additional housing supply occurs through future maintenance projects, it may act as a factor for an increase in housing prices, closely linked with transportation benefits."