Oh Se-hun’s ‘Together Team’ Gangnam 3-gu 1Q Apartment Prices Nationwide
Gangnam apartment Values Soar After Land Transaction Permit Release
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Seoul Mayor Oh Se-hoon at a press conference in Yeouido, Seoul.”>SEOUL, South korea (AP) — Apartment values in Seoul’s Gangnam area, encompassing the districts of Songpa, Gangnam, and Seocho, experienced the highest growth rate nationwide in the first quarter of 2025 following the relaxation of land transaction permits.
Songpa-gu Leads Apartment Price Surge
According to the Korea Real Estate center’s National Housing Price Trend Survey released today, apartment prices in Songpa-gu, Seoul, surged by 4.28% during the first quarter.this increase is more then four times the average growth rate of 1.06% observed across Seoul, making it the highest among all apartments nationwide. Gangnam-gu and Seocho-gu followed closely, with both districts recording a 3.52% increase, placing them second highest in the nation.
mayor’s Announcement Preceded Price Increase
Seoul Mayor Oh Se-hoon had previously hinted at the possibility of lifting the Gangnam land Transaction Licensing Area on Jan. 14. Later, on Feb. 13, restrictions were entirely lifted in the ‘Jamsam Daecheong‘ area of Gangnam, which includes Jamsil, samsung, Daecheong, and Cheongdam-dong.
Price Polarization Evident Across Seoul Districts
Other districts in Seoul also saw gains in the first quarter, though less dramatic. Seongdong-gu rose by 1.34%, while Yongsan-gu (1.27%), Yangcheon-gu (1.13%), Mapo-gu (1.09%), and Gangdong-gu (1.07%) each saw increases exceeding 1%. Conversely, districts with a higher concentration of mid-priced apartments experienced declines. Nowon saw a decrease of 0.23%, Dobong fell by 0.17%, and Gangbuk-gu dropped by 0.11%. Similarly, Jungnang-gu (-0.12%),geumcheon-gu (-0.11%), Dongdaemun-gu (-0.09%), Guro-gu (-0.07%), and Eunpyeong-gu (-0.05%) also experienced price decreases. This has lead to a more pronounced polarization of house prices between the Gangnam area and other parts of Seoul.
Tohe Zone Extension Slows Growth
However, the extension of the Tohe Zone to Gangnam 3-gu and Yongsan-gu on march 24 appears to be moderating apartment price increases in those areas. According to a comparison of apartment price growth rates in the second week of March and April by the Seoul Metropolitan Government, Gangnam-gu decreased from 0.83% to 0.16%, Seocho-gu from 0.69% to 0.16%, Songpa-gu from 0.79% to 0.08%, and Yongsan-gu from 0.34% to 0.14%. Mapo-gu (0.29% to 0.13%), Seongdong-gu (0.37% to 0.23%),and Gangdong-gu (0.28% to 0.09%) also saw reduced growth. The Seoul Metropolitan Government stated that there is no “balloon effect” from the Tomoje.
Speculative Demand Concerns Addressed
To further curb speculative demand, the Seoul Metropolitan Government has decided to extend the designation period for Apgujeong, Yeouido, Mok-dong, and Seongsu. The designation, which was set to expire on April 26, will be extended for another year. The targeted areas include Apgujeong Apartment District, Yeouido Apartment district, 16 neighborhood complexes, 14 complexes of Mokdong housing progress projects, and Seongsu Strategic Maintenance Area (Districts 1-4).
Gangnam Apartment Prices: Your Questions Answered
Q: What’s driving the recent surge in Gangnam apartment values?
A: The primary catalyst for the increase in Gangnam apartment values in early 2025 was the relaxation of land transaction permits. This policy shift, as reported by the AP, allowed for greater adaptability in property dealings, immediately impacting the market.
Q: Which Gangnam districts saw the biggest price jumps?
A: Songpa-gu led the charge, experiencing a significant surge of 4.28% in the first quarter of 2025, according too the Korea Real Estate Centre’s National Housing Price Trend Survey.Gangnam-gu and Seocho-gu followed closely behind, each recording a substantial 3.52% increase.
Q: How does the growth rate in Gangnam compare to the rest of Seoul?
A: The price increases in Gangnam considerably outpaced the rest of Seoul. The average growth rate across seoul was 1.06% during the first quarter. Songpa-gu’s 4.28% increase was more than four times the Seoul average, highlighting the concentrated impact of the policy changes in the Gangnam area.
Q: What role did the Seoul Mayor play in this market shift?
A: Seoul Mayor Oh Se-hoon played a direct role in the policy changes. Prior to the surge, the mayor hinted at the possibility of lifting restrictions in the Gangnam area on January 14th, 2025. Restrictions were entirely lifted on February 13th in the ’Jamsam Daecheong’ area, which includes Jamsil, Samsung, daecheong, and Cheongdam-dong. This declaration likely generated anticipation and influenced market activity.
Q: Did other districts in Seoul see similar price increases?
A: While the Gangnam area led the way, other districts in Seoul also experienced growth. seongdong-gu saw a 1.34% increase,Yongsan-gu rose by 1.27%, Yangcheon-gu by 1.13%, Mapo-gu by 1.09%, and Gangdong-gu by 1.07%. However, the gains were less dramatic than those seen in Gangnam-gu, Songpa-gu, and Seocho-gu.
Q: Were there any districts where prices decreased?
A: Yes, certain districts saw price decreases during the same period. Districts with a higher concentration of mid-priced apartments experienced declines. Nowon decreased by 0.23%, Dobong fell by 0.17%, and Gangbuk-gu dropped by 0.11%. Other districts like Jungnang-gu, geumcheon-gu, Dongdaemun-gu, Guro-gu, and Eunpyeong-gu also saw price decreases.
Q: How is the Seoul government addressing potential speculative demand?
A: The Seoul Metropolitan Government is taking several steps to mitigate speculative demand. One measure is extending the designation period for areas like Apgujeong, Yeouido, Mok-dong, and Seongsu. The plan is to extend the designation for another year. The affected areas include Apgujeong Apartment District, Yeouido Apartment district, 16 neighborhood complexes, 14 complexes of Mokdong housing progress projects, and Seongsu Strategic Maintenance Area (Districts 1-4).
Q: Has the extension of the Tohe Zone impacted growth in Gangnam?
A: Yes, the extension of the Tohe Zone appears to be moderating apartment price increases in some areas of Gangnam and Yongsan-gu.A comparison of data from the Seoul Metropolitan Government shows a slowdown in price growth in Gangnam-gu, Seocho-gu, Songpa-gu, and Yongsan-gu after the extension on March 24th. Mapo-gu, Seongdong-gu, and Gangdong-gu also saw reduced growth. The Seoul Metropolitan Government maintains there is no “balloon effect” from the Tomoje.
Q: Can you summarize the key changes in apartment price growth rates?
A: The following table summarizes the apartment price growth rate changes from the second week of March to April following the extension of the Tohe Zone:
| District | Growth Rate (Second Week of March) | Growth Rate (April) |
| ————– | ———————————- | ——————- |
| Gangnam-gu | 0.83% | 0.16% |
| Seocho-gu | 0.69% | 0.16% |
| Songpa-gu | 0.79% | 0.08% |
| Yongsan-gu | 0.34% | 0.14% |
| Mapo-gu | 0.29% | 0.13% |
| Seongdong-gu | 0.37% | 0.23% |
| Gangdong-gu | 0.28% | 0.09% |
Remember, this data comes directly from the Korea Real Estate Center’s National Housing Price Trend Survey and the Seoul Metropolitan Government as provided in the original article.