No sign of a decline... Seoul apartment prices rise for 89 consecutive weeks, setting a record

[Financial News] Seoul apartment prices have risen for 89 consecutive weeks, extending their record-long streak. Although prices in the three Gangnam districts continued to fall, increases in outlying areas such as Seongbuk District and Seodaemun District are driving the overall rise. Southern Gyeonggi Province has also remained strong, with apartment prices in Byeongjeom District, Hwaseong, recording the highest rate of increase.
According to the Korea Real Estate Board on the 22nd, Seoul apartment prices rose 0.13% in the third week of October (as of the 19th), compared with 0.16% the previous week. The pace of growth slowed, but prices are still rising sharply.
By district, Seongbuk District and Seodaemun District saw the largest increases. Seongbuk District rose 0.36%, with apartments near stations in Jeongneung Market and Hawolgok-dong driving the increase. In Seodaemun District, prices rose mainly in Hong-eun and Hongje-dong, where large apartment complexes are concentrated. In Jung District (0.35%), prices rose mainly for small- and medium-sized apartments in Jungnim and Sindang-dong; in Dobong District (0.33%), the increases were concentrated in Chang-dong and Ssangmun-dong. Gwanak District (0.27%) and Geumcheon District (0.26%) followed.
The decline in the three Gangnam districts continues. Seocho District recorded a change of -0.32%, as prices fell mainly in large apartment complexes in Seocho-dong and Jamwon-dong. Weakness in Gangnam District has persisted. After prices turned downward in the second week of August, they fell for 11 consecutive weeks through this latest survey. 
Ko Jun-seok, a professor at Yonsei University, said, "Although prices continue to fall in some areas, including the three Gangnam districts, Seoul apartment prices are rising, led by outlying areas and small- and medium-sized apartments."
Outlying areas are also showing strength in cumulative price gains.  Seongbuk District took the top spot for cumulative growth, climbing from 2.46% last year to 16.10% this year. Seodaemun District (13.67%), Gangseo District (12.89%), Guro District (12.74%) and Nowon District (12.57%) followed.
The southern part of the capital region has also remained strong. The biggest increase nationwide was in Byeongjeom District, Hwaseong, at 0.65%, followed by Dongtan District, Hwaseong (0.57%), and Dongan District, Anyang (0.56%). This appears to reflect the liquidity impact of Samsung Electronics' performance bonuses and employee loans, among other factors.
Nam Hyuk-woo, a real estate researcher at Woori Bank, said, "The strong price trend in Seoul appears to be spreading in earnest to Gyeonggi Province," and added, "We expect prices in Gyeonggi Province to remain strong for the time being, regardless of whether areas are designated as regulated zones."

[email protected] Jeong Gyeong-su Reporter