Seoul apartment transactions plunged to their lowest level in two years in February as buyers stayed on the sidelines expecting further price declines.
According to the Seoul Real Estate Information Plaza, 2,717 apartment sales were recorded in Seoul last month, the lowest since 2,604 transactions in February 2024.
The figures are based on actual transaction price reports filed with the Ministry of Land, Infrastructure and Transport and do not include all contracts signed in February. While final numbers may change as additional filings come in, the data represents the lowest level in two years under consistent measurement standards.
The market freeze extended beyond the traditional Gangnam 3 districts—Gangnam, Seocho, and Songpa—to the "Mayongseong" areas of Mapo, Yongsan, and Seongdong along the Han River belt.
Gangnam recorded 63 transactions and Seocho logged 38, both marking four-year lows not seen since December 2022. Songpa saw 122 sales, its lowest since November 2023. Yongsan recorded just 27 transactions, the fewest in three years.
The slowdown comes as listings have increased ahead of the May 9 deadline for heavier capital gains taxes on multi-property owners. Sellers are rushing to offload properties to avoid the tax surcharge, but buyers are holding back in anticipation of additional price cuts.
Data from the Korea Real Estate Board showed Gangnam apartment prices fell 0.06% in the fourth week of February, ending a 100-week rising streak. Seocho and Songpa also turned negative after extended uptrends.
Transactions are now concentrated on deeply discounted "fire sale" properties priced well below market rates. Non-resident single-home owners with high-value properties have also begun listing units, concerned about potential tax reforms following June local elections.
Meanwhile, the rental market is contracting sharply as owner-occupied units flood the sales market. Jeonse transactions in school-district hotspots have plummeted. Nowon, home to the Junggye-dong private academy district, recorded 630 jeonse deals in February—the lowest since November 2017. Yangcheon, another private education hub, saw just 348 jeonse contracts, the fewest since September 2015.