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Daegu's property market offers significant value compared to Seoul, with average prices around ₩6.7 million ($4,650) per square meter as of September 2025.
The city's residential market shows clear district-based pricing patterns, from luxury Suseong-gu apartments reaching ₩9.9 million per square meter to budget-friendly Dong-gu options, while recent market adjustments have created opportunities for both investors and residents looking for quality properties at competitive prices.
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Daegu's property prices average ₩6.7 million ($4,650) per square meter, with luxury districts like Suseong-gu commanding premium rates while emerging areas like Dong-gu offer excellent value for money.
The market experienced a 3.9% decline in 2024 due to oversupply, but forecasts show modest recovery with 3-5% growth expected in 2026 as inventory stabilizes and infrastructure projects boost demand.
| Property Type | Average Price Range (USD) | Best Districts |
|---|---|---|
| Studio/1-bedroom (25-35m²) | $100,000 | Dong-gu, Outskirts |
| Mid-sized 2-3BR (45-85m²) | $200,000-$300,000 | Jung-gu, Nam-gu, Buk-gu |
| Luxury apartments (90m²+) | $400,000-$500,000+ | Suseong-gu |
| Suburban houses/villas | Varies by size | Dalseong-gun |
What's the current average price per square meter in Daegu?
As of September 2025, Daegu's average property price stands at ₩6.7 million ($4,650) per square meter.
City center apartments command the highest prices, reaching up to ₩9.9 million ($7,200) per square meter in premium locations. These central properties offer the best access to business districts, shopping centers, and transportation hubs.
Outside the city center, prices typically range from ₩6.7 to ₩8.3 million per square meter depending on the specific district and property amenities. Suburban areas and emerging neighborhoods offer more affordable options while still providing good connectivity to the city center.
The Daegu residential market shows consistent pricing patterns based on location, with clear premiums for central locations and luxury districts. This pricing structure makes Daegu significantly more affordable than Seoul while maintaining strong infrastructure and urban amenities.
How do prices differ depending on the type of property, like apartments, villas, or houses?
Apartments dominate Daegu's property market and command the highest demand across all price segments.
Studio and 1-bedroom apartments (25-35m²) typically cost around $100,000, mostly located on the city outskirts and ideal for entry-level buyers or young professionals. Mid-sized 2-3 bedroom apartments (45-85m²) range from $200,000 to $300,000, available in both emerging and central districts like Jung-gu and Nam-gu.
Luxury apartments and townhouses (90m²+) start from $400,000 to $500,000 and beyond, primarily concentrated in Suseong-gu, Daegu's most prestigious residential area. These properties offer premium amenities, better build quality, and access to top-rated schools.
Villas and standalone houses in suburban areas like Dalseong-gun provide more space and often include land, appealing to families seeking long-term appreciation potential. These properties typically offer better value per square meter but require longer commutes to the city center.
Which neighborhoods are the most expensive, which ones are considered up-and-coming, and which ones are more budget-friendly?
| Neighborhood Category | Districts | Key Characteristics |
|---|---|---|
| Most Expensive | Suseong-gu | Luxury apartments, excellent schools, premium amenities, highest demand |
| Up-and-Coming/Balanced | Nam-gu, Jung-gu, Buk-gu | Vibrant centers, growing amenities, professional appeal, rising prices |
| Budget-Friendly | Dong-gu | Affordable entry point, new developments, growing popularity |
| Suburban Value | Dalseong-gun | More land, expansion potential, family-oriented |
How have prices changed compared to one year ago and compared to five years ago?
Daegu's property market experienced a 3.9% price decline in 2024 compared to 2023, primarily due to oversupply conditions and reduced buyer demand.
This recent correction reflects market adjustments after several years of growth, with some reports indicating mixed performance ranging from -3.87% declines to modest 2% growth depending on specific locations and property types. The variation highlights the importance of district-specific analysis when evaluating Daegu properties.
Over the five-year period from 2019 to 2025, Daegu property prices increased by approximately 27%, rising from around ₩5-6 million per square meter to current levels. This represents solid long-term appreciation despite recent market volatility.
The five-year growth trajectory demonstrates Daegu's underlying market strength and continued urbanization trends. Despite the recent dip, the overall trend remains positive, suggesting current conditions may present buying opportunities for informed investors.
What's the forecast for property prices in Daegu over the next one year, five years, and ten years?
Property prices in Daegu are expected to recover with 3-5% growth in 2026 as current inventory levels stabilize and new infrastructure projects support buyer demand.
The next five years through 2030 should see steady annual growth of 1-3% as the market returns to more predictable patterns. Regional investment in transportation and business development will support property values, though Korea's broader demographic trends may moderate returns.
Over the ten-year horizon, continued slow but steady growth is anticipated due to ongoing urbanization and infrastructure improvements. Daegu's position as a major regional center should maintain property demand, though Korea's aging population could limit explosive growth.
Investors should note that oversupply risks exist in certain areas, making location selection crucial for long-term returns. It's something we develop in our South Korea property pack.
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How does the price per square meter in Daegu compare with other major cities of similar size in Korea?
Daegu offers exceptional value compared to Seoul, where prestigious neighborhoods reach up to ₩20 million per square meter—almost double Daegu's most expensive areas.
When compared to Busan, Daegu maintains more affordable pricing across most segments while offering similar urban amenities and infrastructure. Gwangju shows comparable pricing to Daegu, positioning both cities as attractive alternatives to Seoul's premium market.
Among Korea's major regional cities, Daegu provides an attractive balance of urban sophistication and affordability. The city's well-developed transportation network, educational institutions, and business districts offer similar lifestyle benefits to more expensive markets.
This pricing advantage makes Daegu particularly appealing for both investors seeking better yields and residents looking for quality urban living without Seoul's premium costs.
What are the typical total purchase costs once you add in taxes, fees, and other charges?
Total purchase costs in Daegu typically add 4-7% to the property's base price when including all taxes, fees, and charges.
Acquisition tax usually ranges from 1.1% to 3.5% of the purchase price, depending on the property value and buyer's circumstances. Registration fees typically cost 0.2% to 0.3% of the property value, while agent commissions range from 0.5% to 1%.
Additional costs include legal fees, documentation charges, and various administrative expenses that can add several thousand dollars to the transaction. Buyers should budget conservatively for these additional expenses when calculating total investment requirements.
Foreign buyers may face additional documentation requirements and fees, making professional legal assistance particularly valuable for international property purchases in Daegu.
How do financing options and average mortgage rates affect the real total cost of buying in Daegu?
Mortgage rates in Korea average 2.5% as of September 2025, supporting buyer affordability and market demand in Daegu.
Most Korean mortgages cover 60-70% of the property value, requiring buyers to provide 30-40% as a down payment. These lower interest rates have helped stabilize property prices recently and make monthly payments more manageable for buyers.
The combination of competitive mortgage rates and reasonable property prices makes Daegu attractive for financed purchases. Lower borrowing costs effectively reduce the total cost of ownership over the loan term.
Foreign buyers may face different lending requirements and should verify their eligibility for Korean mortgage products early in their property search process. Our South Korea property pack provides detailed financing guidance.
We did some research and made this infographic to help you quickly compare rental yields of the major cities in South Korea versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you're planning to invest there.
What are some example purchase prices for different property sizes in different parts of the city?
| Property Size (m²) | Location (District) | Approximate Price (USD) |
|---|---|---|
| 25-35 | Dong-gu/Outskirts | $100,000 |
| 45-60 | Buk-gu/Dong-gu | $200,000 |
| 70-85 | Jung-gu/Nam-gu | $300,000 |
| 90-110 | Nam-gu/Suseong-gu | $400,000 |
| 120+ | Suseong-gu | $500,000+ |
What are the smartest property choices today if you want to live there, rent out short-term, rent out long-term, or buy to resell later?
For residents seeking quality of life, Suseong-gu offers the best amenities for families while Dong-gu and Nam-gu provide excellent value for budget-conscious buyers.
Short-term rental investors should focus on Jung-gu and Nam-gu properties, which attract expatriates and young professionals with their central locations and urban amenities. These areas offer strong occupancy rates and rental premiums.
Long-term rental investments perform well in affordable areas like Buk-gu and Dong-gu, where stable yields and consistent tenant demand create reliable income streams. These districts appeal to local families and long-term residents.
For resale appreciation, Suseong-gu properties offer luxury market upside while Buk-gu and Dong-gu present future growth potential as these districts undergo gentrification and infrastructure improvements.
Which property sizes or surfaces give the best value per square meter right now?
Mid-sized apartments ranging from 45-85 square meters in emerging neighborhoods currently offer the best value per square meter in Daegu.
These properties balance affordability with functionality, making them attractive to both owner-occupiers and rental tenants. They're large enough to accommodate families or professional roommates while remaining accessible to a broad buyer pool.
Properties in this size range located in developing districts like Buk-gu and Dong-gu provide particularly strong value propositions. They benefit from ongoing infrastructure improvements while maintaining affordable entry prices.
Smaller studio units may offer lower absolute prices but often show higher per-square-meter costs, while very large luxury properties command premiums that may not justify the additional space for most buyers.
What are the best options today if you're looking at investment potential versus quality of life?
For investment-focused buyers, Buk-gu and Dong-gu offer the strongest upside potential with ongoing infrastructure projects and new developments driving future appreciation.
Quality of life seekers should prioritize Suseong-gu for luxury amenities and top-rated schools, or Nam-gu for a balanced urban lifestyle with good access to entertainment, dining, and business districts.
Investment properties in emerging areas benefit from lower entry costs and higher growth potential, while established luxury districts provide stability and premium lifestyle benefits. The choice depends on whether you prioritize potential returns or immediate living quality.
Our detailed market analysis in the South Korea property pack can help you evaluate specific properties based on your investment goals and lifestyle preferences.
Conclusion
This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.
Daegu's property market in September 2025 presents a compelling opportunity for both investors and residents, with recent price adjustments creating attractive entry points across multiple districts.
The combination of affordable pricing, solid infrastructure, and growth potential makes Daegu an excellent alternative to Seoul's premium market while maintaining urban amenities and investment upside.