Provinces far from a ‘supply-at-all-costs’ drive ... Apartment starts in five regions hit a five-year low

[Financial News] As the government emphasizes expanding housing supply, particularly in the Seoul metropolitan area, apartment construction starts in some provincial regions have fallen to their lowest level in five years, worsening the supply slump.
An analysis by real estate research firm RealToday of housing construction statistics from the Ministry of Land, Infrastructure and Transport on the 11th found that a total of 26,180 apartment units were started in five regions—Gangwon, North Chungcheong, North Jeolla, Busan and Ulsan—over the past year, from October 2025 to September 2026. That was down 44.8% from 47,427 units in the preceding 12-month period, the lowest figure in the past five years.
By comparison, nationwide apartment construction starts over the same period edged down just 2.0% year over year, to 244,533 units, while starts in the Seoul metropolitan area actually rose 4.0%, to 147,261 units, making the decline in provincial areas especially pronounced. The drop in these five regions was also far steeper than the 9.8% decline across provincial areas as a whole.
The impact was greatest in Gangwon (1,812 units), North Chungcheong (5,216 units) and North Jeolla (2,486 units). Starts in all three regions plunged by at least 60% from the same period a year earlier, suggesting the supply pipeline had ground to a halt. Among metropolitan cities, Busan (13,355 units) and Ulsan (3,311 units) also set five-year lows, with starts falling 12.3% and 40.5%, respectively, year over year.
Industry insiders warn that such a sharp drop in construction starts could lead to a serious shortage and greater scarcity of new apartments available for occupancy several years from now. Because apartments take considerable time to complete after construction begins, they advise buyers to take a selective approach to home purchases, especially in areas where a supply drought is expected.
Meanwhile, prime new developments are set to come onto the market in key areas where declining construction starts have made new homes scarcer, drawing buyers’ attention.
In Busan, Hoban Construction will launch sales in November for Hoban Summit Choryang, in the Choryang-dong area of Dong-gu. The development will have units with exclusive areas of 59, 70 and 84 sq. m; 236 of its 432 units will be offered for general sale. It is near the Busan North Port redevelopment district and within walking distance of Busan Station (KTX) and Choryang Station on Subway Line 1. In North Jeolla, Doosan Engineering & Construction will introduce Doosan We've Treziem Iksan in November, in the Dongsan-dong area of Iksan-si, as part of the redevelopment of Sekyung 1st Apartment. Of its 591 units, 251 will be offered for general sale, with exclusive areas of 59 and 84 sq. m. It will be the first We've-branded development in Iksan’s emerging residential district and is close to KTX Iksan Station and Madong Park.
In Ulsan, Hyundai Engineering Co., Ltd. will launch sales in November for the mixed-use development Hillstate Ulsan Station River Foret in the complex district around KTX Ulsan Station. It will comprise 436 apartments with exclusive areas of 84 sq. m and 298 officetel units. Dongwon Development is also preparing to offer the 1,506-unit Taehwagang Vista Dongwon 1·2·3 in the Ujeong-dong area of Jung-gu by the end of the year. In Block B9 of Chungbuk Innovation City in Eumseong County, North Chungcheong Province, the Korea Land and Housing Corporation (LH) plans to offer 998 public-sale apartment units with exclusive areas of 84 sq. m in December.

[email protected] Jeon Min-gyeong Reporter