Average Price of Gangnam Apartments 53.34 Million Won per 3.3㎡... Gap with Gangbuk Widens to 20.08 Million Won, 'Largest Ever'

The gap in apartment prices between the south and north of the Hangang River has widened to the largest level ever.

According to Real Estate R114 on the 27th, the average sale price per 3.3㎡ of apartments in 11 districts south of the Hangang River last month was 53.34 million won, which is 20.08 million won (60.4%) higher than the average price per pyeong (3.3㎡) of 33.26 million won in 14 districts north of the Hangang River. This is the largest gap on a monthly basis since Real Estate R114 began surveying apartment sale prices in 2000. Compared to the same period last year (April 2024), while the Gangbuk area rose 7.4% (from 30.97 million won to 33.26 million won) over a year, the Gangnam area rose 12.7% (from 47.35 million won to 53.34 million won).

Despite the fact that apartment prices in Yongsan-gu, a central area north of the Hangang River, exceeded 60 million won per 3.3㎡ and the sale price in Seongdong-gu rose by more than 5 million won in a year, Seocho and Gangnam districts south of the Hangang River showed an overwhelming price difference by soaring more than 10 million won per 3.3㎡ compared to the same period last year.

The rise in sale prices in the southern area is attributed to the combination of a policy of lowering the base interest rate, heavy taxation on multiple homeowners, and scarcity of supply, intensifying the phenomenon of concentrating on high-priced housing areas. The lifting of land transaction permit zones in areas such as Jamsil, Samsung, Daechi, and Cheongdam-dong (February 13th to March 23rd) acted as a catalyst for a rapid increase in house prices in a short period.

By district, compared to the same period last year, Seocho-gu rose by an average of 10.94 million won per 3.3㎡, Gangnam-gu by 10.11 million won, and Songpa-gu by 8.91 million won. Seocho-gu, with areas like Jamwon and Banpo-dong, Gangnam-gu with Apgujeong-dong, and Songpa-gu with Jamsil and Sincheon-dong, saw significant price increases as they were selectively purchased due to high expectations for redevelopment projects and the focus on newly built apartments less than 10 years old.

In the northern area of the Hangang River, the districts located in the Hangang Belt, such as △Seongdong-gu (5.37 million won) △Yongsan-gu (4.78 million won) △Gwangjin-gu (4.63 million won) △Mapo-gu (4.54 million won), showed significant price increases. Landmark complexes representing the area, such as 'Trimage (Seongdong-gu)', 'Nine One Hannam (Yongsan-gu)', 'Walkerhill (Gwangjin-gu)', and 'Mapo Raemian Prugio (Mapo-gu)', led the price increase, and these complexes continue to report record transactions in April and May.


ming@fnnews.com Jeon Min-kyung Reporter