In the fourth quarter of last year, the nationwide officetel prices fell compared to the previous quarter. While sales and jeonse saw an expanded decline, monthly rents increased.
On the 15th, according to a survey by the Korea Real Estate Board on officetel price trends for the fourth quarter of last year, the nationwide officetel sales price decreased by 0.40% compared to the previous quarter. The decline was larger than the previous quarter's decline of -0.35%.
In Seoul (0.05%→0.02%), the increase slowed down. The Korea Real Estate Board noted, "In Seoul, demand for newly built officetels near subway stations has maintained an upward trend," adding that, "Due to a decline in demand from lending regulations, inquiries for purchases decreased, resulting in a smaller increase compared to the previous quarter."
In Incheon (-0.63%→-0.81%), the continuous supply of new officetels, along with the impact of lending regulations, has led to a decrease in both actual residential demand and investment demand, causing an expanded decline compared to the previous quarter. In Gyeonggi Province (-0.36%→-0.38%), demand decreased due to the influence of lending regulations and interest rate burdens, and in areas with abundant supply, both actual transaction prices and listings fell, also expanding the decline compared to the previous quarter.
In the provinces (-0.83%→-0.86%), areas like Daegu and Gwangju, which have a high volume of new completions, are experiencing a backlog of listings and a drop in offering prices, leading to an overall increase in the decline compared to the previous quarter.
The average sales prices are 223.71 million won nationwide, 276.30 million won in Seoul, 240.20 million won in the metropolitan area, and 159.20 million won in the provinces.
By size, nationwide prices fell by 0.49% for those under 40 square meters, 0.47% for those over 40 square meters but under 60 square meters, 0.42% for those over 60 square meters but under 85 square meters, and 0.26% for those over 85 square meters.
The jeonse prices for officetels fell by 0.25% nationwide, resulting in an expanded decline (-0.20%→-0.25%). In the metropolitan area, the decline remained steady (-0.13%→-0.13%), while in Seoul the increase was reduced (0.07%→0.02%), and in the provinces, the decline expanded (-0.48%→-0.68%).
Monthly rents increased by 0.40% nationwide, with the increase expanding (0.34%→0.40%). In the metropolitan area, the increase expanded (0.45%→0.51%), while in Seoul the increase was reduced (0.49%→0.35%), and in the provinces, the decline was reduced (-0.10%→-0.02%).
Using actual transaction information reported as of December, the conversion rate for nationwide officetels was reported at 6.19%, with 6.14% in the metropolitan area, 6.75% in the provinces, and 5.76% in Seoul.
Regionally, Sejong had the highest rate at 8.47%, followed by Daegu at 6.65% and Ulsan at 6.60%, while Seoul recorded the lowest at 5.76%.
The overall revenue yield for nationwide officetels was 5.45%, with 5.35% in the metropolitan area, 5.86% in the provinces, and 4.90% in Seoul.
The ratio of jeonse prices to sales prices for nationwide officetels was reported at 84.91%, which includes 85.29% in the metropolitan area, 83.43% in the provinces, and 84.50% in Seoul.