"In Mapo District, apartment prices have surged frighteningly compared with the beginning of the year, so we expected regulations such as designating land transaction permit zones, but we didn't think they would be strong enough to regulate all of Seoul. Sellers and buyers in the Mapo area already anticipated loan restrictions would come, so they wrapped up transactions around the Chuseok holiday." (Employee at real estate brokerage A in Ahyeon-dong, Mapo District, Seoul)
With all of Seoul designated as a land transaction permit zone (land permit system), a designated adjustment area, and an overheated speculation district, attention is focusing on how the real estate markets along the Han River—such as Mapo District, Seongdong District, and Gwangjin District, where apartment prices have recently jumped in the short term—will react. Apartment prices in Mapo District rose 8.71% from January to September this year, while Gwangjin District climbed 9.70% and Seongdong District gained 11.98%, outpacing the citywide average increase of 6.49%.
On the afternoon of the 15th, when the government announced the "housing market stabilization measures" (10-15 measures), the real estate brokerages the reporter visited in Mapo District and Seongdong District were quiet, with no customers or phone calls.
Real estate brokerage employees in these areas said in unison that, given how steep the price increases were compared with the beginning of the year, the anticipated regulations had arrived.
B, who runs a real estate brokerage in Ahyeon-dong, Mapo District, Seoul, said, "Unless you sign a sales contract today (the 15th) or tomorrow, buyers won't be able to get loans," adding, "With the government measures out, buyers and sellers are inclined to wait and see for the time being, and inquiries have suddenly stopped."
B said, "Those who were considering buying apartments in Mapo already snapped up listings that seemed cheap between September and early October this year," adding, "For Mapo Raemian Prugio (Marepu), regarded as a flagship apartment in the area, listings in the mid-2.5 billion won range for 84 square meters were sold as soon as they hit the market, and only some higher-asking listings in the 2.6–2.7 billion won range remain."
An employee at real estate brokerage C in Oksu-dong, Seongdong District, Seoul, also said, "Since Yongsan District, where home prices rose quickly in a short period in March this year, was designated a land transaction permit zone, we expected that places where prices have risen a lot lately—such as Seongdong District, Mapo District, and Gangdong District—would also see regulations applied after the Chuseok holiday," adding, "We figured that once measures came out, loans would be tightened compared with before, so when listings appeared, people lined up to view homes and sometimes signed contracts on a first-come, first-served basis."
He added, "Since the 10-15 measures were announced, sellers also feel there's no need to rush," and "After pulling their listings, the mood is to relist later with higher asking prices when market conditions improve."
D, who runs a real estate brokerage in Gayang-dong, Gangseo District, Seoul, said, "For Gayang Riverside Complex 3, regarded as a prime investment complex along the Han River in Gangseo District, transactions were in the high-500 million won range as recently as August this year, but prices have jumped to 650 million–700 million won in the past month or two, nearly a 200 million won increase," while adding, "Even with tighter regulations, there doesn't seem to be a particular rush to finalize sales contracts on the 15th–16th of this month."
Experts predicted that as buyers shift to a wait-and-see stance, the market is likely to enter a broad breather. Park Won-gap, chief real estate expert at KB Kookmin Bank, said, "Following the 6-27 measures, the 10-15 measures will also turn buyers toward a wait-and-see stance, pushing the overall market into a breather." Ham Young-jin, head of the real estate research lab at Woori Bank, also noted, "Transactions in the fourth quarter of this year are expected to drop significantly, and in the short term the real estate market is likely to stall temporarily."