South Korea housing market strain

In early July 2026, South Korea’s rental market faced mounting pressure as Seoul’s average jeonse deposit jumped 19% year‑on‑year to 6.58 billion won, pushing the share of monthly rent above 50% for the first time. Tighter loan rules and a sharp decline in new apartment completions prompted a tenant exodus to the surrounding Gyeonggi province, where inflows rose 13% and jeonse listings fell dramatically.

By late July, the market showed a contrasting surge in new supply: 3,540 apartment units were slated to move in during August, the highest monthly total for Seoul that year, with more than half concentrated in the Banpo Remian Triniwon complex. While this localized influx may ease pressure on nearby rents, analysts noted it does not represent a broad expansion of city‑wide housing stock. Government discussions of real‑estate tax reforms underscored ongoing policy attention to the strain on the rental sector.