2023.12 Comprehensive housing price index
Note
The comprehensive housing sales price index shifted from rising to falling in all regions. The upward trend has continued since last July, but the upward trend slowed down after 6 months, and all of Seoul, the metropolitan area, the five major metropolitan cities, and the provinces turned downward. As the wait-and-see attitude toward buying deepens due to concerns about a slowdown in the real estate economy and uncertainty in the real estate market, listing prices are being adjusted downward due to transactions focusing on urgent sales nationwide. Incheon turned downward due to the impact of supply volume and the impact of transactions shifting to low-priced properties. Busan's decline was mainly due to construction, and Daegu's continues to decline due to the influence of the amount of units scheduled to be moved in.
The comprehensive housing rental price index has decreased in all regions compared to the previous month, but continues to rise. Due to the prolonged high interest rates, the increase in rental demand from those waiting to buy due to the wait-and-see attitude in the sales market continues to rise, mainly in areas with high residential convenience, but the increase has been reduced due to higher prices and seasonal effects. In Seoul, the rise was centered on areas near train stations, large complexes, and excellent school districts, while in the metropolitan area, five major metropolitan cities, and regional areas, the rise was centered on areas with good residential conditions. Gyeongbuk and Busan had an impact on the decline of the jeonse price index mainly due to construction.
2023.12 Monthly Sales Price Index
2023.12 Monthly jeonse price index
2023.12 Office Price Index
Note
The office vacancy rate in the fourth quarter of 2023 decreased by 0.6% compared to the previous year due to the lack of new supply of prime-class offices and increased rental demand due to face-to-face work due to the pandemic, while showing stable rental demand overall. The office vacancy rate in the fourth quarter of 2023 was lower than the national average in all areas and all types of offices in Seoul. In particular, in Seoul, stable rental demand was maintained centered around the CBD and GBD, traditional office districts, and decreased by 0.7% compared to the previous year. In the case of YBD, the elimination of large vacancies played a significant role in lowering the vacancy rate. In the case of GBD, this appears to be the result of large vacancies resulting from the eviction of large tenants.
Note
The office rental price index in the fourth quarter of 2023 showed an increase in all regions. In particular, the increase was significant in the CBD and GBD areas. Due to the reduction in telecommuting and the absence of new office supply, there continues to be a supply shortage compared to increased demand, and office renewals increase due to increased relocation costs, leading to an increase in the rental price index by 1.17% compared to the previous year. In addition, the increase in operating expenses was passed on to rent, leading to an increase in the rental price index compared to the previous quarter and the previous year. Due to high demand for rentals centered on central business districts such as Dosan-daero, Gwanghwamun, and Yongsan Station, the Seoul office rental price index showed an increase of 1.76% compared to the previous year.
