Seoul apartment prices, which had been slowing after the Oct. 15 measures to stabilize the dwellings market, slightly widened their weekly gain. With the expansion of land transaction permit zones reducing listings and transactions, some higher-priced transactions were reflected in prices.
According to the Korea Real Estate Board (REB) on the 11th, Seoul apartment prices rose 0.18% this week, widening from 0.17% last week. Seoul apartment prices had climbed as high as 0.54% right before the Oct. 15 measures, then slowed for four straight weeks after the announcement, but recently have repeated a pattern of widening and narrowing gains.
In particular, gains widened again in the three Gangnam districts and the Han River belt. Seocho rose from 0.21% last week to 0.23% this week, Gangnam from 0.19% to 0.23%, and Songpa from 0.33% to 0.34%.
Gains also increased from last week in the Han River belt districts of Seongdong (0.27%), Mapo (0.19%), and Gwangjin (0.18%), and in the northern districts including Dongdaemun (0.20%), Seodaemun (0.12%), Seongbuk (0.11%), Eunpyeong (0.09%), and Dobong (0.04%).
An official at the REB said, "Even amid a wait-and-see mood in the market, higher-priced contracts were signed mainly at complexes pushing for reconstruction and at highly favored complexes such as those near subway stations, in strong school districts, and large-scale estates, which widened the overall gain in Seoul apartment prices."
Gyeonggi Province apartment prices widened their gain from 0.07% last week to 0.09% this week. Hwaseong, which was excluded from regulated areas, had maintained a high rate of increase after the Oct. 15 measures on expectations of a balloon effect, then its gain shrank sharply to 0.01% last week, only to widen again to 0.10% this week.
In regulated areas, Bundang in Seongnam (0.38%), Hanam (0.32%), and Suji in Yongin (0.44%) saw wider gains than last week, while Gwacheon rose 0.45%, the same as last week, extending its strength.
Incheon apartment prices slowed somewhat, with gains easing from 0.06% last week to 0.04% this week, while provincial and nationwide apartment prices held at last week's levels of 0.02% and 0.06%, respectively. By city and province, Ulsan (0.15%), South Jeolla (0.08%), Busan (0.03%), and Sejong (0.02%) rose. Jeju (-0.04%), North Chungcheong (-0.03%), South Chungcheong (-0.01%), Daejeon (-0.01%), and Daegu (-0.01%) fell.
Jeonse prices widened their gains, centered on the Seoul metropolitan area, ahead of the school vacation moving season. Nationwide apartment jeonse prices rose from 0.08% last week to 0.09% this week, with a notable widening in the metropolitan area (0.11→0.13%). Seoul (0.14→0.15%), Gyeonggi (0.10→0.12%), and Incheon (0.09→0.11%) all saw wider jeonse price gains than last week.