Seoul Apartment Prices in Outer Districts Rise 11.15% Year-On-Year
Apartment prices in ten outer Seoul districts rose 11.15% year-on-year, nearly double the increase in Gangnam.
Key points
- Apartment prices in ten outer Seoul districts rose 11.15% year-on-year, outpacing Gangnam's 5.21% increase.
- Jeonse deposits in these areas grew 10.10%, pushing many 84 square meter units above the 1 billion won mark.
- Regulations on high-end housing have redirected buyer demand to less regulated, lower-priced districts in Seoul.
Apartment prices in ten outer Seoul districts increased 11.15% year-on-year as of last month. This growth rate is nearly twice the 5.21% rise recorded in Gangnam district.
President Lee Jae Myung described this trend as a flattening of the market. However, the data shows a significant price shift rather than a uniform stabilization.
Outer district prices outpace Gangnam
Jeonse deposit prices in these ten districts rose 10.10% over the same period. Many 84 square meter units in non-Gangnam areas now exceed 1 billion won.
Seocho district prices grew by 6.61% during the same timeframe. The divergence highlights a structural shift in Seoul real estate valuations.
Regulation drives demand to cheaper zones
Tighter loan limits and tax rules target high-priced housing in Gangnam. Buyers have moved toward less regulated areas with lower entry prices.
This migration creates a balloon effect spreading to districts like Nowon. It raises entry costs for first-time buyers without reducing overall market strain.
Policy focus shifts to supply
The Blue House stated the president's remarks explained price fluctuation trends. Officials acknowledged that rising prices outside Gangnam increase public housing burdens.
Addressing supply shortages is critical to stabilizing the market. Regulations must prevent demand from simply shifting to more affordable districts.
