Apartment prices have been rising this year in major complexes in Irwon-dong, Jagok-dong, and Suseo-dong in Gangnam-gu, Seoul. In Suseo-dong, a roughly 20-pyeong apartment saw its sale price climb by more than 800 million won in less than a year, surpassing 2 billion won for the first time. The area falls under Gangnam-gu, Seoul, administratively. But prices had been relatively low because access to major business districts and transportation was not favorable.
According to the apartment actual transaction price analysis site Asil and the Ministry of Land, Infrastructure and Transport on the 13th, a 49.5㎡ (21-pyeong) unit in Kkachi Maeul at 746 Suseo-dong, Gangnam-gu, sold for 2.07 billion won on Jan. 8. Two days earlier, on Jan. 6, the same layout sold for 2 billion won. This is the first time a unit of this layout in Kkachi Maeul has broken 2 billion won. It traded for 1.87 billion won on Dec. 14 last year, but rose 200 million won in less than a month. Compared with the sale price of 1.25 billion won on Feb. 20 last year, 11 months earlier, it is up 820 million won (65.6%).
A smaller 34.44㎡ (14-pyeong) unit also changed hands for 1.54 billion won on the 6th. As recently as Dec. 30 last year, it transacted at 1.435 billion won, but has moved into the mid-1.5 billion won range this year.
Apartment prices have also been rising this year in Jagok-dong, Gangnam-gu. An 84.96㎡ unit at Jagok I-Park, 602 Jagok-dong, sold for 2.32 billion won on Jan. 24. The same layout traded for 2.15 billion won on Nov. 2 last year, up 170 million won in two months. At 686 Jagok-dong, Gangnam Hanyang Susain transacted for 2.2 billion won (114.46㎡) on Jan. 6. It had traded for 1.95 billion won on Nov. 3 last year.
In Irwon-dong, Pruen Maeul (59.76㎡ exclusive) (Jan. 8 · 2.3 billion won) and Hansol Maeul (84.73㎡ exclusive) (Jan. 9 · 3.2 billion won) also set record-high sale prices.
Shim Hyeong-seok, head of Udabang Research Institute (professor at IAU, U.S.), said, "Due to last year's lending regulations, some previously undervalued parts of Gangnam appear to be undergoing so-called 'leveling up,' narrowing the gap with other areas of Gangnam."
Ham Young-jin, head of Woori Bank Real Estate Research Lab, also said, "Some parts of Gangnam that were cheaper in the past are seeing a gap-narrowing phenomenon with other Gangnam areas," adding, "Suseo-dong, which has a high-speed rail SRT station, also seems to reflect expectations from the integration of SRT and KTX."