In 2024, the residential property price index in Seoul, the capital of South Korea, increased to around three percent year-on-year. 2022 had seen a significant drop in residential property prices in Seoul. 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 90 percent, rebounding from a decline in 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. Seoul boasted the highest mean purchase price for housing among all provinces of South Korea, with a gap of over 300 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 and 2023 following years of exponential growth before. While the housing transaction volume in Korea saw a significant decrease in 2022, it recovered slightly in 2024. Given the high housing prices, many citizens believe that property prices will continue to fall in the coming year.

Housing Index in South Korea decreased to 93 points in February from 93.10 points in January of 2025. This dataset provides - South Korea House Price Index - actual values, historical data, forecast, chart, statistics, economic calendar and news.

Key information about House Prices Growth

• South Korea house prices dropped 0.2% YoY in Jan 2025, following a decrease of 0.2% YoY in the previous month.
• YoY growth data is updated monthly, available from Jan 1987 to Jan 2025, with an average growth rate of 2.2%.
• House price data reached an all-time high of 21.9% in Aug 1988 and a record low of -13.1% in Nov 1998.

The South Korean luxury real estate market, valued at $43.56 billion in 2025, is poised for robust growth, projected to achieve a Compound Annual Growth Rate (CAGR) of 10% from 2025 to 2033. This expansion is driven by several key factors. Firstly, a rising high-net-worth individual (HNWI) population in South Korea, fueled by economic growth and a thriving tech sector, is increasing demand for premium properties. Secondly, the increasing preference for larger, more luxurious homes, particularly in prime locations like Seoul and Busan, is a significant driver. Finally, government policies aimed at stimulating the economy, though potentially impacting affordability in some segments, indirectly support the luxury market by bolstering overall economic confidence. The market is segmented by property type (apartments & condominiums, villas & landed houses) and city (Seoul, Busan, other cities), with Seoul and Busan consistently commanding the highest prices due to their central location and established infrastructure. Major players like Samsung C&T Corporation, Bando Engineering & Construction, and Ssangyong Engineering & Construction are shaping the market through high-end development projects. While the market shows strong potential, challenges like fluctuating interest rates and potential government regulations aimed at controlling property prices could pose some restraints to growth in the coming years. However, the long-term outlook for the South Korean luxury real estate market remains positive due to the continued growth of the affluent population and sustained demand for upscale properties. The international influence on South Korea's luxury real estate market is noticeable, but currently secondary to domestic demand. While data on specific regional contributions isn't provided, it's reasonable to assume that Asia-Pacific regions, particularly those with strong economic ties to South Korea, contribute significantly to foreign investment in luxury properties. North American and European investors also likely play a role, though potentially to a lesser degree compared to other Asian markets. The presence of established global developers also highlights the international appeal of the market. Further research would be needed to quantify the precise influence of each region, but the trend towards globalization points to a gradual increase in international investment over the forecast period. Future analysis may consider factors like exchange rate fluctuations and global economic conditions, as they impact foreign investors' participation. Unlocking the Potential: A Deep Dive into South Korea's Luxury Real Estate Market (2019-2033) This comprehensive report provides an in-depth analysis of South Korea's burgeoning luxury real estate market, covering the period from 2019 to 2033. With a base year of 2025 and an estimated year of 2025, the report offers valuable insights for investors, developers, and industry professionals seeking to navigate this dynamic sector. High-search-volume keywords such as South Korea luxury apartments, Seoul luxury real estate, Busan luxury villas, and Korean luxury property investment are strategically integrated throughout the report to maximize search engine optimization (SEO). Key drivers for this market are: 4., South Korea's status as a global business hub can attract expatriates and foreign executives seeking high-end accommodation options4.; Incorporating advanced technology and smart home features making luxury properties more appealing to tech-savvy buyers. Potential restraints include: 4., Lack of foreign investment4.; Stricter government regulation inhibiting the growth. Notable trends are: Reduction in prices creating demand for low-priced luxury real estate.

As of December 2024, the mean purchase price of housing in Seoul, South Korea, amounted to around 866 million South Korean won. The average price of detached houses amounted to around 1.14 billion won while the price of apartments was about 1.13 billion South Korean won. Apartments in South Korea Among all housing types, apartments are the most expensive, costing more than one billion South Korean won on average. Living in apartments is typical for Seoul, as an increasing number of citizens move towards the city, causing high population density. As of 2022, more than 40 percent of all households were living in apartments, excluding alternative housing, such as officetels or goshiwons. Gangnam Style Based on the average selling price of apartments in Seoul, Gangnam is the most expensive area in Seoul to live in, with an average sales price of around 2.38 billion South Korean won. The area became internationally known due to the viral YouTube hit Gangnam Style by South Korean artist PSY. Since Gangnam is known for its wealthy citizens, the song was inspired by their mannerisms.

Graph and download economic data for Residential Property Prices for Republic of Korea (QKRN628BIS) from Q1 1975 to Q3 2024 about Korea, residential, HPI, housing, price index, indexes, and price.

The most expensive area in Seoul, South Korea as of December 2024 was Gangnam-gu with an average apartment selling price of around 2.4 billion South Korean won. The Gangnam area, which includes Gangnam-gu, Seocho-gu, Yongsan-gu, and Songpa-gu, is one of the richest neighborhoods in South Korea. What is Gangnam Style?Gangnam has developed greatly since the 1960s with intensive government investment. It literally means 'south of the Han River' and is one of the busiest entertainment districts including Hongdae and Itaewon. Gangnam is also known as a place where people with a high level of education or wealth live. These backgrounds motivated Psy, the well-known Korean singer, rapper, and songwriter, to write his internationally popular song “Gangnam Style”. Luxury apartments in South KoreaThe average purchasing price of apartments in the country has almost doubled in the last 10 years. Part of the reason for this are the multiple luxury-branded apartment complexes in Seoul. Located in Gangnam-gu in Seoul, The Penthouse Cheongdam was the most expensive, with a transaction amount of around 16.4 billion South Korean won.

In September 2024, the average purchase price for apartments over 135 square meters in South Korea amounted to around 7.6 million South Korean won per square meter. This was a decrease of almost two million won per square meter from the previous month for apartments of this size.

Apartment price trends In recent years, apartment prices in Korea have experienced a steady rise, driven by factors such as urbanization and economic growth. Seoul, the capital city, documented the highest average apartment price at about 13.4 million won per square meter. The most expensive area to live in Seoul was Gangnam, with an average apartment selling price of around 2.4 billion won. As of 2024, The Penthouse Cheongdam apartment located in Gangnam was considered the most expensive apartment in South Korea. Its transaction value exceeded 16 billion won, setting it apart from the second-most expensive apartment by more than three billion won. Living in luxury Exclusive districts like Gangnam showcase high-end residences with panoramic city views, luxurious designs, and premium facilities. Over the past five years, there has been a notable increase in the share of luxury apartments in Seoul. More than 60 percent of apartments in Seoul with more than one kitchen and room were valued at over 900 million won. According to a survey, Hyundai's "Hillstate" merged as the most preferred brand for apartments, followed by Samsung C&T’s "Raemian" as the second-most popular choice.

As of the third quarter of 2024, the housing affordability index in South Korea stood at around 61 points. The third quarter of 2022 saw the first drop in figures since 2020. The lower the index value, the more affordable a home is for a median-income household. Apartments in South Korea Average apartment prices in South Korea had risen for almost a decade before 2022. The country's popularity worldwide helped it become an economic powerhouse, attracting young workers from the countryside to large cities in hopes of taking part in or benefiting from this growth. As such, apartments are an attractive option for cities, optimizing space as they become more crowded. In terms of financing a new home, the leasehold deposit system exists as an alternative to traditional monthly rentals in Korea. Jeonse and leasehold deposits Jeonse is a leasehold deposit system in Korea where, instead of paying rent monthly, people pay a large deposit equivalent to a share of a property's value. In exchange, the person receives the right to reside in the property as a tenant for a limited amount of time. Granted, the up-front cost is high, and it is common to receive loans from banks to pay for the leasehold deposit. It had traditionally been a popular method as you could live in a housing unit without worrying about rent for one or two years. However, this system is slowly being phased out as interest rates, the large up-front cost, and cases of jeonse fraud have turned people away.

Korea KHPI: Apt: Non Seoul Metropolitan Area: 5 to 10 years data was reported at 101.067 Jun2015=100 in Nov 2017. This records an increase from the previous number of 101.066 Jun2015=100 for Oct 2017. Korea KHPI: Apt: Non Seoul Metropolitan Area: 5 to 10 years data is updated monthly, averaging 97.988 Jun2015=100 from Jan 2012 (Median) to Nov 2017, with 71 observations. The data reached an all-time high of 101.731 Jun2015=100 in Dec 2015 and a record low of 93.507 Jun2015=100 in Feb 2013. Korea KHPI: Apt: Non Seoul Metropolitan Area: 5 to 10 years data remains active status in CEIC and is reported by Korea Appraisal Board. The data is categorized under Global Database’s Korea – Table KR.EB019: Housing Price Index: Korea Appraisal Board: Jun 2015=100: By Building Age.

According to a survey conducted in South Korea in July 2024, around 55 percent of respondents held a negative opinion on housing policies of the current government. This was around 10 percentage points higher than in the previous year.

Korea Average: AH: 30~39: Real Estate data was reported at 167,150.000 KRW th in 2017. This records an increase from the previous number of 145,300.000 KRW th for 2016. Korea Average: AH: 30~39: Real Estate data is updated yearly, averaging 125,595.000 KRW th from Mar 2010 (Median) to 2017, with 8 observations. The data reached an all-time high of 167,150.000 KRW th in 2017 and a record low of 119,260.000 KRW th in 2013. Korea Average: AH: 30~39: Real Estate data remains active status in CEIC and is reported by Statistics Korea. The data is categorized under Global Database’s Korea – Table KR.H078: SHFLC: Household Assets, Liabilities & Income By Age Groups of Households Head (10Age).

In 2024, there were over 70,000 unsold housing units in South Korea, the highest in the last 10 years. 2022 saw a dramatic increase in the number of unsold homes in the country.

Home Ownership Rate in South Korea increased to 56.40 percent in 2023 from 56.20 percent in 2022. This dataset provides the latest reported value for - South Korea Home Ownership Rate - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news.

The housing purchase price index in South Korea amounted to approximately 96 index points as of December 2024, similar to that of the same month in the previous year. The purchase price index for apartments stood at around 93 in the same period.

Korea KHPI: Apt: Seoul: 5 to 10 years data was reported at 109.433 Jun2015=100 in Nov 2017. This records an increase from the previous number of 108.817 Jun2015=100 for Oct 2017. Korea KHPI: Apt: Seoul: 5 to 10 years data is updated monthly, averaging 100.375 Jun2015=100 from Jan 2012 (Median) to Nov 2017, with 71 observations. The data reached an all-time high of 109.433 Jun2015=100 in Nov 2017 and a record low of 96.148 Jun2015=100 in Aug 2013. Korea KHPI: Apt: Seoul: 5 to 10 years data remains active status in CEIC and is reported by Korea Appraisal Board. The data is categorized under Global Database’s Korea – Table KR.EB019: Housing Price Index: Korea Appraisal Board: Jun 2015=100: By Building Age.

Korea Median: AH: 30~39: Real Estate data was reported at 230,000.000 KRW th in 2017. This records an increase from the previous number of 200,750.000 KRW th for 2016. Korea Median: AH: 30~39: Real Estate data is updated yearly, averaging 180,000.000 KRW th from Mar 2010 (Median) to 2017, with 8 observations. The data reached an all-time high of 230,000.000 KRW th in 2017 and a record low of 165,000.000 KRW th in 2010. Korea Median: AH: 30~39: Real Estate data remains active status in CEIC and is reported by Statistics Korea. The data is categorized under Global Database’s Korea – Table KR.H078: SHFLC: Household Assets, Liabilities & Income By Age Groups of Households Head (10Age).

Korea KHPI: Apt: Seoul: Northern: 5 to 10 years data was reported at 106.867 Jun2015=100 in Nov 2017. This records an increase from the previous number of 106.583 Jun2015=100 for Oct 2017. Korea KHPI: Apt: Seoul: Northern: 5 to 10 years data is updated monthly, averaging 100.658 Jun2015=100 from Jan 2012 (Median) to Nov 2017, with 71 observations. The data reached an all-time high of 106.867 Jun2015=100 in Nov 2017 and a record low of 96.089 Jun2015=100 in Sep 2013. Korea KHPI: Apt: Seoul: Northern: 5 to 10 years data remains active status in CEIC and is reported by Korea Appraisal Board. The data is categorized under Global Database’s Korea – Table KR.EB019: Housing Price Index: Korea Appraisal Board: Jun 2015=100: By Building Age.

In 2024, the total value of household loans in South Korea stood at around 1,807 trillion South Korean won. Both household debt and loans have doubled during the last 10 years. In particular, the increase in household loans in early 2020 was extremely high, due to the large increase in mortgage loans for housing investment ahead of the government's real estate regulations.

According to a survey conducted on the officetel real estate market in South Korea for the third quarter of 2024, the sales price index of officetels stood at 98.72 as of September 2024. Figures have seen a continuous decline in the past 10 months. Officetels are typically categorized as commercial units that can be used for commercial and residential purposes in South Korea. Regional price variation in South Korea Rising interest rates have impacted declining real estate prices. However, prices of officetels and office buildings vary greatly based on region. For example, rental prices of office buildings in Seoul were almost double that of the second-highest province, Gyeonggi, in the second quarter of 2023. Smaller households and officetels in South Korea Over a third of a million households lived in non-residential buildings, under which officetels are categorized, in South Korea as of 2021. These units are commonly used by those requiring fewer amenities than the average household, such as single-person households or students looking for accommodation near university campuses. For some, officetels offer a practical solution for long commutes that span different cities, preferring to stay near the office at an officetel on weekdays and returning home on the weekends.