'Transactions aren't going through': Real estate skyrocketing in Sejong

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'Transactions aren't going through': Real estate skyrocketing in Sejong

Published: 17 Apr. 2025, 15:56

Audio report: written by reporters, read by AI

An apartment complex in Sejong is seen on Sept. 21, 2022. [YONHAP]

Apartment prices in Sejong rose for the first time in 27 weeks, reversing a prolonged decline amid growing expectations surrounding an early presidential election and the possible relocation of the presidential office.

Sejong, which was officially launched as a special self-governing city on July 1 2012, was conceived as Korea’s new administrative capital to alleviate congestion in Seoul and promote more balanced national development. While initial plans to relocate the national capital from Seoul to Sejong were ruled unconstitutional in 2004, successive former presidents, including Roh Moo-hyun, Lee Myung-bak, and Moon Jae-in, pushed to decentralize administrative functions by moving key ministries and public institutions to the city. Sejong hosts the majority of Korea’s government ministries and agencies including a government complex.

Apartment sale prices in Sejong rose by 0.04 percent in the second week of April compared to the previous week, according to the Korea Real Estate Board’s weekly apartment price trends released on Thursday. Until then, Sejong’s apartment prices had fallen for 26 consecutive weeks, starting from the fourth week of September last year through last week, when prices dropped by 0.07 percent.

“The price increase in Sejong was centered on major complexes in Dajeong-dong and Saerom-dong,” the Korea Real Estate Board explained.

The price rebound had been anticipated due to a sharp uptick in transactions last month. A total of 687 transactions in Sejong were reported to the Ministry of Land, Infrastructure and Transport by Friday for the month of March, according to real estate platform Zigbang. That figure is up 158 percent from the 266 transactions recorded in January.

The rate of increase outpaces the national average of 70 percent and even Seoul’s 129 percent jump. As reporting deadlines remain for the latter half of March, the final tally may be even higher.

“Most listings within reasonable price ranges were already sold before the impeachment ruling in March,” said a real estate agent in Sejong. “Recently, homeowners are refusing to share their account numbers unless the offer exceeds their original asking price, so transactions aren’t going through.”

An apartment complex in Seoul is seen on April 16. [NEWS1]

“Listings in neighborhoods near the areas mentioned as candidates for the relocation of the presidential office and National Assembly have virtually disappeared,” said another real estate agent. “Homeowners are generally waiting to see how things develop, hoping to sell at higher prices.”

The uptick in Sejong’s apartment prices is closely tied to development pledges from political circles.

Lee Jae-myung, former leader of the Democratic Party, who had previously raised the idea of relocating the presidential office to Sejong, formally pledged on Thursday to build both the Sejong office of the president and the Sejong branch of the National Assembly within his term.

When the capital relocation debate was previously raised in 2020, apartment prices in Sejong jumped by 44.93 percent.

Translated from the JoongAng Ilbo using generative AI and edited by Korea JoongAng Daily staff.

BY LEE HYUN [[email protected]]