In August, apartment prices in Seoul are stirring again. According to statistics from the Korea Real Estate Board (REB), the average apartment price in Seoul rose by 0.14% in the first week of August. The increase is 0.02 percentage points (P) higher than the previous week (0.12%). In the Gangnam area, there are places where prices have risen by over 100 million won. Although the 6·27 measures, which restrict mortgage limits to 600 million won in the metropolitan area, were announced and the upward trend in Seoul apartment prices had slowed for five consecutive weeks, the increase has expanded again after six weeks.
According to the real estate industry and the Korea Real Estate Board (REB) on the 10th, apartment price increases in the 'Han River belt' are prominent, including Gangnam District (0.11% to 0.15%), Seongdong District (0.22% to 0.33%), Gwangjin District (0.17% to 0.24%), Yongsan District (0.17% to 0.22%), Mapo District (0.11% to 0.14%), and Gangdong District (0.07% to 0.14%).
The apartment with a dedicated area of 74.97㎡ at Gangnam Jagok I-Park in Jagok-dong, Gangnam District, was sold on the 2nd for 1.75 billion won (15th floor). Compared to a similar unit sold on June 6 for 1.62 billion won (14th floor), it increased by 130 million won in just under two months, surpassing the 1.7 billion won mark for the first time this year. The highest price ever recorded for a similar size in this complex was 1.85 billion won (11th floor) for a dedicated area of 74.89㎡ on October 9, 2021.
In Gangdong District, an apartment with a dedicated area of 64.53㎡ in Cheonho-dong was sold on the 4th for 900 million won (12th floor). While this amount is lower than the record high of 980 million won (9th floor) set in August 2021 when house prices surged, it has surpassed 900 million won for the first time this year. This complex, which was completed in 1985, is currently undergoing a reconstruction project, and is expected to receive management disposition approval by the end of this month or early next month, with relocation planned within the year.
In Seocho District, properties that are breaking record highs are emerging. The Hyundai Supervill apartment with a dedicated area of 216.16㎡ in Seocho-dong, Seoul, was sold on the 1st for 4.1 billion won (32nd floor), breaking the record for the highest price. This amount is 600 million won higher than the previous transaction of 3.5 billion won (19th floor) just three months ago.
Park Won-gap, the senior real estate expert at KB Kookmin Bank, said, "Despite the ultra-strict lending regulations, there is still an expectation that the currency supply will increase along with the anxiety over supply shortages," and noted, "In a situation where there are not many homeowners listing properties for urgent sales, some actual buyers are making purchases, leading to rising prices."