Starting price for Seoul's top 1% of apartments reaches 4.7 billion won
A new Zigbang analysis shows Seoul’s top-tier apartment entry price far outpaces Gyeonggi and other regions, even as luxury home prices edged down from a year earlier.
High-rise apartment complexes are seen in Gangnam District, southern Seoul, on July 19.YONHAP
The starting price for Seoul's top one percent of apartments was 4.65 billion won ($3.14 million) in the first half of the year, compared to the 1.85 billion won threshold in the surrounding province, Gyeonggi, according to real estate platform Zigbang.
The gap in starting prices between Seoul and Gyeonggi is nearly 2.8 billion won.
The figures are based on the platform’s analysis of apartment transactions recorded in the Ministry of Land, Infrastructure and Transport’s disclosure system between January and last Tuesday.
Outside the greater Seoul area, Daegu's starting price sat at 1.58 billion won, Busan at 1.53 billion won, Sejong at 1.28 billion won and Daejeon at 1.16 billion won. Incheon had the lowest starting price among the capital region's three jurisdictions at 1.12 billion won.
Gwangju, North Chungcheong and South Gyeongsang recorded starting prices ranging from 700 million won to 900 million won, while Gangwon and North Gyeongsang had the lowest levels at between 500 million won and 600 million won.
The average transaction price among the top one percent of apartment sales was even higher in Seoul.
Seoul topped with an average transaction price of 6.30 billion won, followed by Gyeonggi at 2.23 billion won, Busan at 2.19 billion won, Daegu at 1.90 billion won, Daejeon at 1.56 billion won, Sejong at 1.54 billion won and Incheon at 1.37 billion won.
"Seoul continued to see high-end transactions centered on apartments along the Han River, redevelopment projects in the Gangnam area and newly built luxury complexes," said Kim Eun-sun, head of the big data lab at Zigbang.
"In Gyeonggi, top-tier transactions were concentrated in areas close to Seoul or with strong self-sustaining economies, including Gwacheon, Bundang, Pangyo, Gwanggyo and Dongtan."
Approximately 85 square-meter (914 square-foot) apartment housing in southern Seoul for jeonse (long-term housing rental deposit) is priced at 1 billion won ($675,900) in a notice posted on the window of a real estate office on July 19.NEWS1
Still, starting prices for the top one percent of apartment transactions edged down from a year earlier. The trend appeared to result from stringent mortgage regulations introduced in the second half of last year and the reinstatement of higher taxes on owners of multiple residential properties this year.
Starting prices for Seoul's top one percent of apartment transactions reached a record 5 billion won in the first half of last year before easing to 4.7 billion won in this year’s January to June period.
The average transaction price for Seoul's top one percent of apartments also fell by about 500 million won, from 6.9 billion won in the first half of last year to 6.3 billion won this year.
Gyeonggi saw a similar adjustment, with its one percent housing starting price slipping from 2 billion won to 1.9 billion won.
"Outside the capital region, relatively high-priced apartment markets were concentrated in Busan and Daegu," Kim said. "Unlike the greater Seoul area, where multiple districts support an active luxury housing market, top one percent transactions in provincial cities were largely centered on landmark apartment complexes that represent their respective regions."
This article was originally written in Korean and translated by a bilingual reporter with the help of generative AI tools. It was then edited by a native English-speaking editor. All AI-assisted translations are reviewed and refined by our newsroom.
