---
title: "Why Seoul New Town Presale Prices Are Soaring: Noryangjin and Heukseok Cases and Application Criteria"
locale: en
category: report
category_name: "Report"
translation_status: reviewed
license: cc_by
author: "Injoys Editorial Team"
source_url: https://injoys.com/en/articles/seoul-newtown-apartment-presale-price-analysis
published_at: 2026-08-12T09:34:37+09:00
---

# Why Seoul New Town Presale Prices Are Soaring: Noryangjin and Heukseok Cases and Application Criteria

> This explains why presale prices for 84㎡ units in Seoul New Town areas such as Noryangjin and Heukseok have risen to the upper 2 billion-won range, examining limited supply, construction costs, and differences in price-cap regulations. It also outlines total costs and financing risks to prevent high application competition rates from being mistaken for investment safety.

## Key Points

- According to the provided materials, presale prices for 84㎡ units in Heukseok New Town Zone 11 were listed at 2.7194 billion to 2.9782 billion won.
- The phenomenon of redevelopment complexes outside Gangnam appearing more expensive than price-capped complexes in Gangnam results not only from location but also from differences in price-cap regulations and unit types.
- Redevelopment projects with limited units available for general sale can record high application competition rates and close in the first-priority round even without a large number of applicants.
- Presale prices may exclude optional items, taxes, and financing costs, so they are not necessarily the same as the actual acquisition cost.
- Sale schedules and prices should be verified through the latest official housing recruitment notices and disclosed transaction data rather than preliminary information.

As presale prices for new apartments in Seoul’s new towns rise rapidly, some complexes outside Gangnam appear more expensive than certain complexes in the Gangnam area. However, rather than a simple reversal of the hierarchy among neighborhoods, this phenomenon should be understood as the combined result of differences in whether the presale price ceiling applies, housing types, the number of units offered to the general public, construction costs, and product configurations.

The prices and schedules of individual complexes in this article were compiled based on materials provided by the operator. Presale prices, complex names, and supply dates may change as projects progress, so the latest tenant recruitment notice posted on CheongyakHome should serve as the final basis for decisions.

## Changes in New Town Presale Prices Based on the Provided Materials

The following table summarizes representative cases in the provided materials, focusing on the highest presale price for an exclusive area of 84㎡. Even with the same exclusive area, simple comparisons have limitations because the floor, orientation, supply area, land ownership share, paid options, and balcony expansion costs may differ.

| Area·Project | Supply date in the materials | Price for exclusive 84㎡ | Characteristics identified in the materials |
|---|---:|---:|---|
| Jangwi New Town District 4, Jangwi Xi Radiant | Late 2022 | Mid-KRW 900 million range to low-KRW 1 billion range | Some buyers initially abandoned their contracts, but the original presale price was reassessed after prices rose at subsequent complexes |
| Gwangmyeong District 1R, Gwangmyeong Xi The Sharp Forena | May 2023 | Up to KRW 1.0455 billion | Presented as a case in Gwangmyeong New Town that exceeded KRW 1 billion |
| Gwangmyeong District 4R, Gwangmyeong Central IPARK | July 2023 | More than KRW 1.2 billion | A case that surpassed the preceding supply price in about two months |
| Gwangmyeong District 11R, Hillstate Gwangmyeong | Last year according to the materials | Up to KRW 1.641 billion | An example of successive presale price increases in Gwangmyeong New Town |
| Banghwa New Town District 6, Raemian Ellavine | Year not specified | Up to KRW 1.848 billion | Average first-priority subscription ratio of 25.01 to 1 according to the materials |
| Noryangjin New Town District 6 | Early April according to the materials | Around KRW 2.5 billion | Presented as the first presale case in Noryangjin New Town |
| Heukseok New Town District 11, Summit The Hill | Recently announced according to the materials | KRW 2.7194 billion–KRW 2.9782 billion | Approximately KRW 80.36 million–KRW 86.22 million per 3.3㎡ according to the materials |

For Heukseok New Town, the provided materials explain that an exclusive 84㎡ unit at Heukseok Riverpark Xi, supplied in 2020, was priced at approximately KRW 1 billion. A simple comparison with Summit The Hill’s KRW 2.7194 billion–KRW 2.9782 billion indicates a nominal presale price approximately 2.7–3 times higher. However, because the exact housing types, floors, options, and supply conditions of the two complexes are not the same, this should not be interpreted directly as the price increase rate for an identical home.

## Why Presale Prices Outside Gangnam Appear Higher Than Those in Gangnam

### Application of the Presale Price Ceiling Differs

For homes subject to the presale price ceiling, presale prices are calculated based on factors such as land costs, standard construction costs, and recognized additional costs. By contrast, in redevelopment and reconstruction projects not subject to the ceiling, project costs, association decisions, construction terms, and the market’s ability to accept the price may have a greater impact.

The provided materials assume that Gangnam’s three districts and Yongsan-gu are areas subject to the ceiling. Regulated areas and the scope of application may change, and conditions may differ by project even within the same area. Actual applicability should therefore be checked in the relevant tenant recruitment notice and materials from the relevant authorities.

### Comparing Different Housing Types Exaggerates the Price Reversal

The prices mentioned in the materials for Acro de Seocho and Hauterre Banpo in Seocho-gu are in the KRW 1.8 billion range and KRW 2 billion range, respectively, based on an exclusive area of 59㎡. Heukseok New Town’s KRW 2.7 billion–KRW 2.9 billion range is based on an exclusive area of 84㎡. It is therefore inappropriate to conclude that Heukseok is more expensive than Gangnam based solely on the total prices of 59㎡ and 84㎡ homes.

The following conditions must be aligned to determine whether prices have reversed.

- The same exclusive area or price per unit of exclusive area
- Tenant recruitment notices issued at the same time
- Homes with similar floors and orientations
- Whether balcony expansion costs and paid options are included
- Whether the presale price ceiling applies
- Expected move-in date and whether the project is sold after construction

### The Price per 3.3㎡ Differs From the Total Price

Prices per 3.3㎡ used in the presale market are generally presented based on the supply area. Even for an apartment with an exclusive area of 84㎡, the supply area and contract area, which include common areas, vary by complex. Therefore, calculating the total presale price by multiplying the price per 3.3㎡ only by the exclusive area may produce a figure that differs from the actual amount in the notice.

## Key Factors Driving Up Presale Prices

### Scarcity of General-Presale Units in Redevelopment and Reconstruction Projects

Redevelopment and reconstruction complexes offer only some of their total units to the general public after excluding units allocated to association members, rental housing, and other categories. When few units are offered to the general public, even a limited number of applicants can generate a high subscription ratio. A large complex does not necessarily have a large number of general-presale units.

### Limited Supply of Newly Built Homes in Seoul

In areas where existing homes account for a large share of the housing stock, large newly built complexes are regarded as scarce products. When access to the Han River, proximity to central business districts, subway lines, school districts, and living infrastructure are combined, expectations for a new-build premium may increase further.

### Rising Construction and Financing Costs

Presale prices for redevelopment and reconstruction projects may reflect not only material and labor costs but also financing costs resulting from project delays, demolition and relocation costs, specialized design, and community facility expenses. Disputes over construction costs between contractors and associations, as well as project delays, can increase the final project cost.

### Premium Brands and Product Differentiation

High-end brands, distinctive exterior designs, landscaping, community facilities, and premium finishing materials are used to justify higher presale prices. However, there is no guarantee that the brand premium will be reflected in future resale home prices at the same rate.

### Learning Effect From Rising Prices at Subsequent Presales

When complexes previously considered expensive repeatedly appear inexpensive compared with subsequent complexes, prospective applicants may feel burdened by waiting for prices to fall. Caution is needed because the perception that “today is the cheapest day” relies more on the possibility of future price increases than on whether the current price is reasonable.

## How to Interpret High Subscription Ratios

A first-priority sellout or high average subscription ratio only demonstrates demand at the application stage. It does not guarantee completed contracts, higher market prices after move-in, or investment returns.

The following indicators should be reviewed together when assessing subscription ratios.

| Indicator to check | Meaning |
|---|---|
| Number of general-presale units | The fewer units supplied, the higher the subscription ratio may appear |
| Applicants from the relevant area and other areas | Allows actual competition intensity to be distinguished by residency requirements |
| Subscription ratio by housing type | Reveals less-preferred housing types hidden by the average |
| Whether the waiting list was exhausted | Indirectly indicates the extent of contract withdrawals after the initial winners were selected |
| Whether unranked supply occurred | Indicates the existence of uncontracted units or canceled contracts |
| Nearby actual transaction prices | Enables comparison with actual contract prices rather than asking prices |

In particular, applicants for popular housing types may drive up the overall average subscription ratio. Contract conditions for lower floors, less-preferred orientations, or expensive housing types may differ from the average subscription ratio.

## Actual Costs to Calculate Before Applying

The home price stated in the presale notice may not represent all the funds ultimately required. Applicants should prepare a financing plan by adding the following items.

**Estimated total acquisition cost = Presale price + Balcony expansion cost + Paid options + Acquisition-related taxes·expenses + Loan interest and guarantee costs + Move-in-related expenses**

The main items to check are as follows.

- Amounts and payment dates for the down payment, interim payments, and final payment
- Whether interim-payment loans are available and how interest is borne
- Possible application of the individual loan-to-value ratio and debt service ratio
- Schedule for disposing of an existing home or returning a rental deposit
- Acquisition tax and registration costs
- Prices for balcony expansion and optional appliances·finishing materials
- Additional housing and financing costs in preparation for move-in delays

The higher the presale price, the more important the availability of a final-payment loan may become relative to securing the down payment. Financial regulations may vary depending on an individual’s income, debt, number of homes owned, and the timing of loan execution. The loan amount available at move-in should therefore not be assumed based only on current conditions.

## Planned Complexes Must Be Distinguished From Confirmed Supply

The provided materials mention Noryangjin New Town District 5, Summit The Tresia; Heukseok New Town District 9, THE H Kentro Nine; and Jangwi New Town District 10, Jangwi Prugio Mark One as major upcoming projects.

However, the complex name, number of general-presale units, presale timing, and price of a redevelopment or reconstruction project may change depending on management and disposition procedures, construction cost negotiations, presale guarantees, permits and approvals, and the association’s schedule. Estimated presale prices reported by the media or included in market forecasts should not be treated as confirmed prices.

The verification sequence is as follows.

1. Check the project stage and association notices on Seoul’s Jeongbi Saeop Jeongbo Mongttang.
2. Check CheongyakHome to see whether a tenant recruitment notice has been posted.
3. Review the notice for supply prices by housing type, options, payment terms, and subscription eligibility.
4. Compare actual transactions for nearby new homes and occupancy rights through the Ministry of Land, Infrastructure and Transport’s Actual Transaction Price Disclosure System.
5. If relying on loans, prepare a conservative financing plan subject to a financial institution’s review.

## Criteria for Deciding Whether to Wait or Apply

If the decision to apply is based only on the expectation that “the next presale will be more expensive,” applicants may overlook price corrections, changes in interest rates, and loan risks at the time of move-in. Conversely, automatically viewing the current presale price as excessive based only on past prices may fail to reflect supply scarcity and differences in location.

It is reasonable to consider applying only when all the following questions can be answered.

- What is the price difference compared with actual transaction prices for relatively new homes nearby?
- Is the cost affordable even after including interest incurred until move-in?
- Is there a willingness to live in the home even if home prices do not rise for a certain period?
- Can the down payment and final payment be secured without relying on other people’s funds or uncertain proceeds from a sale?
- Have the resale restriction, owner-occupancy obligation, and subscription restrictions been checked in the notice?
- Have the actual supply prices by building and unit been compared rather than the estimated general-presale price?

Seoul new town presale prices simultaneously reflect concerns about supply shortages, a preference for newly built homes, and rising costs. Downward price rigidity may be observed, but this does not mean prices will hold at every complex and at all times. The presale notice, total acquisition cost, nearby actual transaction prices, and the individual’s repayment capacity should take priority over the subscription ratio.

## FAQ

### Are presale prices in non-Gangnam new towns really higher than apartment prices in Gangnam?
The total presale price of some complexes may be higher than that of complexes subject to price caps in the Gangnam area. However, the price reversal may be exaggerated if different unit types, such as 59㎡ and 84㎡ of exclusive-use area, are compared or if the applicability of price caps and option costs are excluded, so comparisons should be made using the same area and conditions at the same point in time.

### Why are prices relatively lower when the presale price cap system applies?
The prices of homes subject to the presale price cap system are calculated based on land costs, standard construction costs, and recognized additional costs. Because it is difficult to fully reflect expected market prices, some are supplied below surrounding market prices, but actual prices vary depending on land costs and project conditions.

### Does the closing of first-priority subscription applications mean the presale price is reasonable?
No. Closing first-priority applications means that the number of applicants exceeded the number of homes supplied. If there are few units available for general sale, applications can easily close even at high prices, and contract cancellations or non-priority offerings may occur afterward.

### Can the total price of an apartment be calculated from the presale price per 3.3㎡?
It can be used for rough comparisons but is not suitable for calculating the exact total presale price. The price per 3.3㎡ is often presented based on the gross floor area and may not reflect floor-specific prices, balcony expansion costs, or optional items.

### What costs should I prepare for besides the presale price?
You should consider balcony expansion costs, paid options, acquisition-related taxes and registration costs, interest on interim-payment and final-payment loans, guarantee costs, and ancillary move-in expenses. To prevent an actual funding shortfall, you should also calculate cash flow for each payment date.

### Which should be used as the basis: the estimated presale price or the price in the tenant recruitment notice?
The supply price listed in the tenant recruitment notice for each building, unit, and housing type is the basis. The estimated presale price may change during project cost negotiations and the approval and permitting process, and the complex name and supply schedule may also change.

### Can the transaction price of a move-in right be directly compared with the general presale price?
Caution is required when making a direct comparison. The transaction amount for a move-in right may involve how association member contributions, amounts already paid, and premiums are handled, so it is difficult to determine the final acquisition cost based solely on the reported transaction amount.

### If the presale price of a subsequent complex rises, does the price of an earlier complex necessarily rise?
No. A subsequent presale price may raise price expectations for an existing complex, but actual price trends vary depending on market conditions at the time of move-in, interest rates, differences in the product, supply volume, and the conditions of individual buildings and units.

### Where can I check the presale schedule for Seoul new towns?
You can check the redevelopment project stage and association announcements on Seoul's Comprehensive Redevelopment Project Information portal. Subscription schedules, confirmed presale prices, and eligibility requirements should be checked based on the tenant recruitment notice posted on CheongyakHome.

## Sources

- [Subscription Home](https://www.applyhome.co.kr/)
- [Seoul Metropolitan Government All-in-One Information on Urban Renewal Projects](https://cleanup.seoul.go.kr/)
- [Ministry of Land, Infrastructure and Transport Real Estate Transaction Price Disclosure System](https://rt.molit.go.kr/)
- [Korean Law Information Center Housing Act](https://www.law.go.kr/법령/주택법)

## Images

![Seoul old neighborhoods and new towers with rising coins, construction icons, and apartments on a balance scale](https://injoys.com/rails/active_storage/blobs/proxy/eyJfcmFpbHMiOnsiZGF0YSI6NzEyOSwicHVyIjoiYmxvYl9pZCJ9fQ==--a1b22e5278386a72ad9c04513f866b78810134c8/ai-429bdae3.webp)
![Apartment towers, a funnel of applicants, property sheets under magnifiers, and a housing decision chart](https://injoys.com/rails/active_storage/blobs/proxy/eyJfcmFpbHMiOnsiZGF0YSI6NzEzNSwicHVyIjoiYmxvYl9pZCJ9fQ==--28507ce8881b57de456f3c881208132c871248c1/ai-4c76ab7a.webp)