A policy push aimed at squeezing multiple-home owners is beginning to flush out listings in some of the most expensive neighborhoods in the country. The question now is whether it will be enough to cool prices that have long defied gravity.
“An owner with several properties said he needed to move fast and put the apartment up as a fire sale, cutting about 100 million won,” said an agent in Seoul’s affluent Apgujeong district. “Buyers immediately started circling.”
President Lee Jae-myung has repeatedly vowed to curb speculation and tighten the screws on investors who hold more than one home. The tougher tone is already producing visible ripples, even in Gangnam, a market many believed would remain insulated from forced selling.
Data from real-estate analytics platform Asil show listings in Apgujeong’s Hyundai No. 3 complex climbed to 52 as of this week, up 57.5% from the start of the year. One mid-floor unit of 82 square meters re-entered the market at 5.5 billion won after the asking price was cut by 100 million won, now advertised as the lowest available.
Similar patterns are emerging in other marquee neighborhoods. In Songpa district, listings at the large Jamsil Els and Jamsil Ricenz developments have jumped by more than 60% in roughly a month. Helio City in nearby Garak has seen inventory swell by more than 200 homes. A smaller unit in Ricenz recently cut its price by 50 million won to 1.75 billion won.
In Seocho, supply has risen across Jamsil-adjacent neighborhoods such as Jamwon and Banpo. At Jamwon’s Dong-A complex, listings nearly doubled in a month.
Local brokers say a significant share of the new supply is tied to owners with multiple properties. Facing political pressure and uncertainty over future holding taxes, many older landlords appear to be deciding that waiting carries more risk than selling.
“They have deadlines in mind,” said Shin Man-ho, head of Jungang Realty in Apgujeong. “Prices have already risen a lot. When they consider the possibility of higher taxes later, they feel there isn’t much benefit in holding out.”
The appearance of discounted homes is also activating buyers who had been waiting on the sidelines. Agents in the southeastern districts say inquiries from cash-ready clients have increased as soon as rumors of urgency spread.
Yet few analysts are ready to call a turn in the cycle.
Even with the recent jump, the total number of apartments for sale in Seoul remains far below historical levels. Listings shrank sharply last year following tighter lending rules and earlier policy interventions. Current inventory, while recovering, is still roughly 30% lower than a year ago, Asil data show.
“Yes, supply has increased,” said one broker in Mapo. “But that’s because it had fallen to an unusually low base.”
There are also structural frictions. Because most of Seoul is designated a land-transaction permission zone, buyers are typically required to move in themselves. If a tenant is already living in the property, a purchaser must secure confirmation that the lease will end before a sale can proceed—an obstacle that can slow deals and limit the pool of eligible buyers.
For markets accustomed to chronic undersupply, the dynamic creates an unusual mix: more listings, selective discounts and still-intense competition for apartments that can actually change hands quickly.
To supporters of the government’s tougher line, the early rise in inventory shows that pressure works. Skeptics counter that unless a far larger volume reaches the market, price expectations may prove sticky, particularly in districts tied to elite schools, transport links and scarce redevelopment opportunities.
In the meantime, Gangnam is offering a test of how far rhetoric can travel in a city where real estate has long been both investment vehicle and social marker.
The boom may be wobbling. Whether it breaks is another matter.
