Rate of change in residential housing price index Seoul, South Korea 2014-2023

In 2023, the residential property price index in Seoul, the capital of South Korea, declined by around two percent year-on-year. Before 2022, residential property prices in Seoul had risen uninterrupted for around a decade. 

How much is a house in Seoul?

Housing prices in Seoul have experienced significant fluctuations in recent years. Auction bid price rate for apartments surged to reach over 80 percent, rebounding from a decline in April 2022. Similarly, the success rate of apartment auction bids showed dynamic trends, dropping to 14.2 percent in late 2022 before recovering to over 40 percent in early 2023. Seoul boasted the highest mean purchase price for housing among all provinces of South Korea, with a gap of over 400 million South Korean won between Seoul and Gyeonggi. 

Property prices in South Korea

South Korea's real estate market demonstrates dynamic trends shaped by numerous factors. Economic growth, urbanization, government policies, interest rates, and foreign investment all contribute significantly to fluctuations in housing prices. Notably, the mean purchase price for apartments sharply declined in 2022 following years of exponential growth before. Additionally, the housing transaction volume in Korea saw a significant decrease, dropping to under one million transactions in 2022. Given the high housing prices, many citizens believe that property prices will continue to fall in the coming year.