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Average price of mid-sized apartments in Seoul exceeds 1.5 billion won

Published: 31 Mar. 2026, 14:02

Apartment complexes are seen near the Han River on March 8. [YONHAP]

The average price of a mid-sized apartment in Seoul has exceeded 1.5 billion won ($977,000) for the first time, with homebuyers focusing on properties eligible for the maximum 600 million won mortgage loan following last year’s Oct. 15 policy changes.

The average transaction price of such apartments — defined as units between 60 and 85 square meters (646 to 915 square feet) — reached 1.51 billion won this month, up 17 million won from February, based on data from KB Land, a Korean real estate platform, on Monday. Prices have continued to rise since March 2024.

The data show that prices for mid-sized apartments in Seoul are increasingly clustering around the 1.5 billion won level. This trend became more noticeable after the government introduced new lending rules on Oct. 15 last year. The policy sets different mortgage limits depending on a home’s price.

Under the policy, mortgage loans are capped at 600 million won for homes priced at or below 1.5 billion won, 400 million won for homes between 1.5 billion won and 2.5 billion won, and 200 million won for homes above 2.5 billion won.

Demand has since concentrated on homes eligible for the maximum loan amount.

Homes priced at or below 1.5 billion won accounted for 81.3 percent of Seoul’s 13,666 apartment transactions between Jan. 1 and Monday, up from around 60 percent during the same period last year, according to the real estate disclosure system operated by the Ministry of Land, Infrastructure and Transport.

Apartments in southern Seoul are seen on Jan. 26. [NEWS1]

Prices of smaller apartments in Seoul — those under 59 square meters — have also continued to rise since April 2024, reaching 995.66 million won, the highest level on record. It is expected to surpass 1 billion won next month.

Record-high transactions have also continued in areas with relatively lower-priced housing. An 84-square-meter unit at Samho Hansoop in Yeongdeungpo District, western Seoul, sold for 1.32 billion won on Feb. 5, up 205 million won from its previous high of 1.12 billion won recorded on June 13 last year.

A 59-square-meter unit at Seonghyeon Dong-A in Gwanak District, southern Seoul, sold for 1.09 billion won on March 12, up 115 million won from its previous high of 975 million won recorded on Feb. 28.

Despite an increase in listings across Seoul ahead of the expiration of a capital-gains tax relief measure for owners of multiple homes on May 9, prices in outer districts have continued to rise.

Weekly apartment price data show cumulative increases since Jan. 5 through March 23 were highest in Gwanak District, southern Seoul, at 3.12 percent, followed by Seongbuk District, central Seoul, at 3.1 percent and Gangseo District, western Seoul, at 2.9 percent, according to the Korea Real Estate Board.

By apartment size, mid-sized and smaller units have shown stronger price growth. Compared to September last year, before the Oct. 15 policy, prices of large apartments — those over 135 square meters — rose by 4.8 percent, while mid-sized units increased by 8.6 percent and smaller units by 12.2 percent. Lower-priced apartments have risen faster, highlighting the unintended effect of regulations.

A pedestrian passes by a real estate agency with listings for nearby apartments in Seoul on Nov. 24, 2025. [NEWS1]

“The upward trend in mid- and lower-priced apartments is likely to continue,” Seo Jin-hyung, a professor of real estate law at Kwangwoon University, said. “Following strong regulations introduced last year, younger buyers have developed a sense of urgency to enter the market where they can afford, and the government has continued to signal additional measures such as property tax reforms."

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.
BY KIM JUN-YOUNG [[email protected]]