The Seoul city government has lifted the designation of 'Jamsamdaechung' (Jamsil, Samsung, Daechi, and Cheongdam) as a land transaction permit area, leading to more than a threefold increase in apartment transactions in the area.
According to the real estate information platform Zigbang, from February 13, the day after the lifting of the land transaction permit area, to March 23, just before its reassignment, the total transaction volume in Seoul was 9,665 cases (as of April 4). This is about 2.1 times higher compared to the same period before the announcement of the lift (January 4 to February 11, 39 days), which had a transaction volume of 4,559 cases.
During the 39 days after the lifting of the land transaction permit area, the total apartment transaction volume in the regulated area reached 353 cases, more than 3.6 times higher than before the lift (99 cases). The number of record-breaking transactions also increased. The record-breaking transactions in 'Jamsamdaechung' rose from 13 cases in the 39 days before the lift to 84 cases after the lift, an increase of about 6.5 times. This is notable compared to the entire record-breaking transactions in Seoul, which increased from 362 cases to 839 cases, about 2.3 times.
In the regulated area, transactions in Jamsil-dong were the most numerous. During the 39 days, a total of 135 apartments were traded in Jamsil-dong. By complex, the most notable were the apartments known as L·R·T (Jamsil Els, Licent, and Trigium), with Licent having 38 cases, Jamsil Els with 34 cases, and Trigium with 30 cases. Following this, Samsung-dong had 86 cases, Daechi-dong had 71 cases, and Cheongdam-dong had 61 cases.
A representative from Zigbang noted, 'Two weeks have passed since the land transaction permit area was reassigned, but the real estate market in the metropolitan area is expected to see a shrinkage in transactions in the short term due to the reassignment of the regulated area.' They further explained that 'as lending regulations and tax measures are applied again, buyers' wait-and-see sentiment has deepened, and the market is exhibiting a cautious tone.'
They added, 'In the short term, there is a high possibility that the wait-and-see stance will continue, but there may also be room for selective upward trends centered around prime locations. It remains to be seen whether this adjustment will be a temporary pause or lead to a trend reversal.'