IMARC Group has recently released a new research study titled “South Korea Real Estate Market Size, Share, Trends and Forecast by Property, Business, Mode, and Region, 2025-2033” This report offers a detailed analysis of the market drivers, segmentation, growth opportunities, trends, and competitive landscape to understand the current and future market scenarios.

South Korea Real Estate Market Overview

The South Korea real estate market size was valued at USD 12.35 Trillion in 2024 and is expected to reach USD 14.90 Trillion by 2033, growing at a CAGR of 2.00% during the forecast period of 2025-2033. The growth is driven by rapid urbanization and increasing demand for residential and commercial spaces, especially in metropolitan areas such as Seoul. Supportive government policies, low-interest rates, and increasing foreign investment further boost the market.

Study Assumption Years

• Base Year: 2024
• Historical Year/Period: 2019-2024
• Forecast Year/Period: 2025-2033

South Korea Real Estate Market Key Takeaways

• Current Market Size: USD 12.35 Trillion in 2024
• CAGR: 2.00% (2025-2033)
• Forecast Period: 2025-2033
• The market is influenced by a robust economic growth, with real GDP growth expected at 2.2% in 2024.
• South Korea's disposable personal income was about USD 1,828.71 billion in 2023, supporting property investments.
• Rapid urbanization and population concentration in Seoul drive high demand for housing and office spaces.
• Low mortgage rates by the Bank of Korea reduce housing finance costs, incentivizing buyers.
• Growing elderly population (20% aged 65 and above) increases demand for specialized elderly living facilities.

Sample Request Link: https://www.imarcgroup.com/south-korea-real-estate-market/requestsample

Market Growth Factors

The South Korea real estate market is propelled by rapid urbanization and rising disposable incomes. The population concentration in major cities like Seoul increases demand for residential and commercial properties. According to industry reports, real GDP growth is expected to reach 2.2% in 2024, which supports economic expansion and raises purchasing power. In 2023, personal disposable income reached about USD 1,828.71 billion, fostering consumer expenditure on housing and real estate investments.

Supportive government policies play a critical role in market growth. The South Korean government has prioritized increasing housing supply by easing construction regulations in urban areas and initiating redevelopment projects. For instance, in January 2021, a plan was announced to develop 830,000 housing units nationwide, including 320,000 units in Seoul over two years. The government also developed the Green Standard for Energy and Environmental Design (G-SEED), promoting eco-friendly buildings and green certifications. These affordable housing initiatives and regulatory measures aim to stabilize the market and meet growing demand.

Technological innovation and demographic shifts contribute significantly to market dynamics. The growing elderly demographic, constituting 20% of the population (10.24 million), drives demand for elderly-friendly and accessible homes. Prop-tech innovations such as virtual reality tours, AI in property management, and blockchain solutions improve market efficiency. Mortgage rates have decreased from 4.73% in Q4 2022 to 4.31% in Q3 2023, lowering finance costs and stimulating residential purchases. Expanding infrastructure like transportation networks further catalyzes property demand.

Market Segmentation

The South Korea real estate market is segmented by property, business, and mode:

Analysis by Property:

• Residential: High demand in urban areas like Seoul, seen as secure investments. Policy measures impact demand management.
• Commercial: Includes office complexes, retail buildings, business parks; attracts domestic and foreign investors.
• Industrial: Key for manufacturing, warehousing, logistics; fueled by e-commerce and trade demands.
• Land: Not specifically detailed in the source.

Analysis by Business:

• Sales: Strong demand for new and old properties in residential and commercial sectors, influenced by urbanization and economic stability.
• Rental: Important for residential and commercial markets; offers affordable, flexible housing and office space.

Analysis by Mode:

• Online: Expanding rapidly with websites and apps offering property listings, virtual tours, and transactions; popular among younger demographics.
• Offline: Still significant, especially among older generations and for high-value or complex transactions requiring personalized service.

Ask For an Analyst-  https://www.imarcgroup.com/request?type=report&id=21009&flag=C

Regional Insights

The dominant region is the Seoul Capital Area (SCA), comprising Seoul, Incheon, and Gyeonggi Province. It holds a major share of residential and commercial property transactions due to its role as the nation's economic, political, and cultural center. High population density and ongoing urbanization fuel demand for apartments and commercial buildings. The region's strong infrastructure, transportation, and business opportunities attract both domestic and international investors.

Recent Developments & News

• March 2025: South Korea's government launched 'Binjibae', an online platform tracking vacant homes, providing vacancy data, redevelopment efforts, and sales/lease listings.
• March 2025: Madison International Realty opened its first office in South Korea, Seoul, to deepen relations with South Korean investors.
• March 2025: Warburg Pincus and Wide Creek Asset Management acquired a site in Anseong to develop a large dry warehouse, with 70% pre-leased to life sciences tenants.
• October 2024: Heitman expanded its portfolio with a distribution center in Anseong, near major hubs.
• October 2024: Nuveen Real Estate acquired Jeongdong Building in Seoul for USD 250 million, marking its first office investment in South Korea.
• October 2024: Blackstone, along with Blue Cove Investment and Travelodge, acquired a Gangnam office building for USD 86 million, planning hotel conversion.

Key Players

• CBRE Korea
• Cushman & Wakefield plc
• Jones Lang LaSalle Incorporated
• Knight Frank
• RE/MAX Korea

About Us

IMARC Group is a global management consulting firm that helps the world’s most ambitious changemakers to create a lasting impact. The company provide a comprehensive suite of market entry and expansion services. IMARC offerings include thorough market assessment, feasibility studies, company incorporation assistance, factory setup support, regulatory approvals and licensing navigation, branding, marketing and sales strategies, competitive landscape and benchmarking analyses, pricing and cost research, and procurement research.

Contact Us

IMARC Group,

134 N 4th St. Brooklyn, NY 11249, USA,

Email: sales@imarcgroup.com,

Tel No: (D) +91 120 433 0800,

United States: +1-201971-6302