The transaction volume of apartments in Nowon District, Seoul surpassed 1,100 in June and July, significantly exceeding that of Gangnam District. Numerous apartments in Nowon District also ranked high in sales. This is interpreted as a surge in demand for apartments in mid to low-priced areas following the announcement of the 6.27 measures, which significantly raised the threshold for loans.
According to the Seoul Real Estate Information Plaza on the 17th, the transaction volume of apartment sales in Nowon District as of the 14th was 862 in June and 309 in July, totaling 1,171 over the two months. Considering that the transaction volume for July is still being counted, it is possible that it may exceed 1,500.
In contrast, the transaction volume of apartment sales in Gangnam District was recorded at 561 in June and 304 in July. Combined over the two months, it amounts to 865, which is over 300 less than that of Nowon District. Nowon District's transaction volume began to surpass that of Gangnam District after the reassignment of land transaction approval zones (land approval system) in Seoul was expanded. Until February, the transaction volume in Gangnam District was 610, while Nowon District had 370. In March, the transaction volumes were 869 and 598, respectively, with Gangnam District being much higher.
Apartments in Nowon District also ranked high among the most sold in Seoul. As of the 14th of this month, based on the data since the announcement of the 6.27 measures, 'Junggye Mujigae' in Junggye-dong, Nowon District sold 20 units, 'Sangye Jubilee Complex 9' in Sangye-dong sold 18 units, 'Taegang' in Gongneung-dong sold 16 units, and 'Geukdong Gunyoung Biksan' in Hakgye-dong sold 15 units.
In addition to Nowon District, numerous apartments with transaction prices around 1 billion won have been sold in non-Gangnam areas. 'Nokbeon Station E-Pyeonan Universe Castle' in Eunpyeong District had 21 transactions during the same period, 'SK Bukhan Mountain City' in Mia-dong, Gangbuk District also had 21 transactions, and 'Gwanak Prugio' in Bongcheon-dong, Gwanak District had 21 transactions.
This trend is analyzed to be due to the loan limit of 600 million won imposed by the 6.27 measures, which concentrated demand on apartments priced around 1 billion won even within Seoul. Experts anticipate that the demand in areas neighboring Seoul, such as Gyeonggi Province and Incheon, as well as in the outskirts of Seoul, will continue for the time being.
Nam Hyuk-woo, a real estate researcher at Woori Bank's WM Sales Strategy Department, noted, 'The policy effects of the 600 million won loan restriction post the 6.27 measures and a sense of fatigue regarding price increases are being reflected.' He added, 'In Nowon District, there are many apartment complexes priced between 600 million to 1.2 billion won that are relatively free from loan regulations, and many areas have not recovered to previous peak price levels, resulting in a high degree of price satisfaction.'