March 17, 2023 12:25
Apartment prices in Seoul rose again for the first time in seven months in January as the government removed the entire city except Yongsan and the Gangnam districts from a list of real-estate speculation zones.
According to the Korea Real Estate Board on Thursday, apartment prices in the capital increased 0.81 percent in January, the first time since June last year. Over the whole of last year apartment prices plummeted 22.18 percent, the biggest drop on record.
The biggest increases were in the relatively affordable neighborhoods of Dobong, Gangbuk and Nowon at 1.69 percent, where prices had plunged 24.5 percent last year. They also rose 1.61 percent in Eunpyeong, Mapo and Seodaemun and 1.15 percent in Gangdong, Gangnam, Seocho and Songpa.
Koh Jong-wan at the Korea Asset Management Institute said, "Prices rose because the government eased property regulations as the spring moving season when rental contracts run out had just started, people bought houses in areas where prices had fallen dramatically."
"It's too early to say whether the tide has turned, but most people seem to think that home prices won't fall any further," he added.
But outside of Seoul prices are still falling. They dropped 1.35 percent in Gyeonggi Province and 1.08 percent in Incheon. Prices across the country fell 0.79 percent.
Yeo Kyung-hee at Real Estate 114 said, "Apartment sales are rising due to eased regulations, but the trend is likely to be limited to certain areas."
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