Seoul first-time homebuyers reach record high

The proportion of first-time homebuyers in Seoul reached a record high in August, accounting for 53.8% of all collective building transactions (apartments, villas, and officetels). According to data from the Supreme Court Registry Information Plaza, this marks the highest percentage since the registry data began being disclosed in January 2010.

This surge is largely attributed to the intensifying 'jeonse' (lump-sum deposit) and monthly rent crisis. As rental costs rise—with Seoul apartment monthly rents reaching an average of 1.62 million won in July—many residents are opting to purchase homes to avoid rising housing costs. The 30s age group is driving this trend, representing 52% of all first-time purchases in August.

Economic factors also play a role. While general mortgage regulations have tightened, first-time buyers can still access policy loans with higher loan-to-value (LTV) ratios of up to 70-80%. Additionally, a perceived shortage in housing supply and the rising prices of mid-to-low-priced apartments in Seoul's outskirts are encouraging young buyers to enter the market to secure residence.