Seoul real estate sees urgent sales following tax reform announcement

Following the announcement of the 2026 tax reform plan, urgent sale listings are appearing in major Seoul residential areas, including the Gangnam districts and the Han River belt. The reform aims to increase the tax burden on owners of non-residential or ultra-high-priced homes, particularly through changes to long-term holding special deductions.

In response, owners are listing properties at prices several hundred million won below market value to mitigate future tax liabilities. Notable examples include an 84㎡ unit at Olympic Park Foreon listed for 2.85 billion won, and a unit at DH Firstier IPARK priced 400 million won lower than its April transaction price. Other high-end listings have appeared in Banpo and Apgujeong.

Despite the influx of cheaper listings and increased inventory in districts like Seocho, Gangnam, and Songpa, actual transactions remain low. A standoff has emerged between sellers attempting to exit before tax changes take effect and buyers who are adopting a wait-and-see approach, anticipating further market shifts during the grace period through 2027.