What is the average property price in Busan?

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Yes, the analysis of Busan's property market is included in our pack

Who is the author of this content?

BAMBOOROUTES

A team specialized in real estate investing in APAC countries (Japan, Thailand, Indonesia, Australia, etc.).

We are a team of financial experts, legal professionals, developers, and local real estate specialists dedicated to helping people like you avoid mistakes when investing in real estate in a foreign place, particularly in Busan. If you'd like to learn more about us, you can check our presentation page.

How this content was created 🔎📝

At BambooRoutes, we explore the South Korean real estate market every day. Our team doesn't just analyze data from a distance—we're actively engaging with local realtors, investors, and property managers in cities like Seoul, Busan, and Incheon. This hands-on approach allows us to gain a deep understanding of the market from the inside out.

These observations are originally based on what we've learned through these conversations and our observations. But it was not enough. To back them up, we also needed to rely on trusted resources

We prioritize accuracy and authority. Trends lacking solid data or expert validation were excluded.

Trustworthiness is central to our work. Every source and citation is clearly listed, ensuring transparency. A writing AI-powered tool was used solely to refine readability and engagement.

To make the information accessible, our team designed custom infographics that clarify key points. We hope you will like them! All illustrations and media were created in-house and added manually.

What's the current average property price in Busan?

As of September 2025, the average apartment price in Busan ranges between 422 and 500 million KRW ($295,000 to $350,000).

This represents a standard 84-square-meter unit, which equals approximately 25.45 pyeong in Korean measurement. The price per square meter averages 6.69 million KRW ($4,630), significantly down from the 2022-2023 peak of 23.56 million KRW per pyeong.

The Busan residential market has experienced notable corrections over the past two years, making current prices attractive for buyers compared to the previous cycle highs. Most transactions involve apartments, as they represent the dominant housing type in the city.

Compared to Seoul's average of 13.4 million KRW per square meter, Busan offers approximately 50% savings while maintaining strong infrastructure and coastal lifestyle benefits.

It's something we develop in our South Korea property pack.

How do prices differ between apartments, villas, and houses?

Apartments dominate Busan's housing market and represent the most standardized pricing category, ranging from 422-500 million KRW for typical units.

Detached houses show the broadest price variation, starting below 200 million KRW for entry-level suburban properties and exceeding 1 billion KRW for luxury homes in premium districts like Haeundae. The wide range reflects significant differences in land value, size, and location quality.

Villas and low-rise homes typically cost less than apartments in premium locations but remain less common as new development options. These properties often appeal to buyers seeking more space or traditional living arrangements.

Luxury properties in coastal areas like Haeundae and Marine City command premium prices, with top-tier apartments averaging 29.7 million KRW per 3.3 square meters compared to 6.68 million KRW for lower-tier units in the same district.

The pricing hierarchy generally follows: luxury coastal apartments > premium detached houses > standard apartments > suburban houses > villas in non-central areas.

Which districts are most expensive and which are budget-friendly?

Haeundae-gu stands as Busan's most expensive district, featuring premier coastal luxury towers like LCT and Marine City developments.

District Category	Examples	Price Characteristics
Most Expensive	Haeundae-gu, Suyeong-gu	Ultra-high-end exceeding 30 million KRW per 3.3㎡
Premium Mid-tier	Nam-gu, Gijang-gun	Upscale pockets with infrastructure investment
Value Districts	Geumjeong-gu	Large-scale developments, affordable modern options
Budget-Friendly	Sasang-gu, Saha-gu	Furthest from coast, oversupply situations
Lowest Prices	Gangseo-gu	Best value per ㎡, new complexes deeply discounted

Budget-friendly districts like Sasang-gu, Saha-gu, and Gangseo-gu offer the lowest average prices in the city due to their distance from the coast and city center, plus current oversupply conditions creating buyer opportunities.

What upcoming areas are attracting buyers and showing growth potential?

The Bukhang Port Redevelopment and Bujeon-dong Innovation Park represent the most significant upcoming development projects stimulating new buyer demand.

These multi-trillion KRW government-backed initiatives are transforming entire districts and creating new residential opportunities. Yeonje-gu benefits from urban renewal programs and the relocation of government ministry functions, driving selective price increases despite citywide market softness.

Parts of Gijang-gun are experiencing renewed interest due to major infrastructure investments and improved connectivity to central Busan. Government urban renewal projects in these areas often signal future value appreciation.

Analysts specifically highlight pockets within these districts where prices are rising even as the broader market remains soft, indicating strong underlying demand fundamentals.

Early buyers in these redevelopment zones typically benefit from lower entry prices before major project completions drive broader market recognition.

Can you provide example purchase prices for different city areas?

Actual property transactions in Busan show dramatic price variations depending on location and property quality.

1. **Budget Options**: Lowest assessed property in U-dong, Haeundae-gu costs 1.26 million KRW for 16.53 square meters (extremely small unit)2. **Luxury Extreme**: Highest-priced property in Seo-gu reaches 5.377 billion KRW for 1,644 square meters (premium large estate)3. **Standard Apartments**: Typical 84㎡ units in central districts range 422-500 million KRW4. **Premium Coastal**: High-end Haeundae apartments commonly exceed 1 billion KRW for luxury units5. **Suburban Houses**: Entry-level detached homes in outer districts start below 200 million KRW

Mid-range areas like certain parts of Gijang-gun typically offer better value than premium district apartments while providing more space and newer construction quality.

The price gap between premium and budget options demonstrates Busan's sharp internal market polarization, with quintile ratios among the highest in South Korea.

How have prices changed over the past five years and one year?

Busan property prices experienced dramatic growth from 2021-2023, surging 54% to peak at 23.56 million KRW per pyeong.

The market then corrected approximately 5% in 2024 and a further 1.94% through 2025, with the most significant declines occurring outside premium coastal segments. Compared to five years ago, current prices remain higher overall despite the recent corrections.

Year-over-year data shows the market down roughly 2% as of September 2025, with signs of stabilization emerging across most districts. Luxury areas have demonstrated less volatility throughout both the surge and correction phases.

The correction has been particularly pronounced in districts that experienced the most speculative activity during the 2021-2023 boom period. Premium coastal properties in Haeundae have shown more resilience compared to suburban and mid-tier locations.

Current pricing represents a significant opportunity compared to the previous peak, offering buyers entry points similar to early 2022 levels.

What's the forecast for prices over the next 1, 5, and 10 years?

The one-year outlook through 2026 anticipates continued market softness with citywide stagnation, though selective growth is expected in luxury and development-driven districts.

Five-year projections suggest market stabilization and gradual upward trajectory resumption as new supply gets absorbed and major redevelopment projects reach completion. Premium coastal areas and core redevelopment zones are likely to outperform the broader market during this period.

Ten-year forecasts remain optimistic based on Busan's strong economic fundamentals, tourism growth, and status as a regional hub city. However, citywide disparities will persist, with high-end coastal projects retaining premium valuations.

Major infrastructure projects like the Bukhang Port redevelopment are expected to drive long-term value creation, particularly benefiting properties in adjacent districts.

It's something we develop in our South Korea property pack.

How does cost per square meter vary across property types and locations?

Busan's overall average of 6.69 million KRW per square meter masks significant variations between districts and property categories.

Location/Type	Price per ㎡ (KRW)	Price per 3.3㎡/pyeong (KRW)
Busan Overall Average	6.69 million	22.08 million
Haeundae Premium	9-10+ million	30+ million
Budget Districts	4-5 million	13-16.5 million
Seoul (Comparison)	13.4 million	42.5 million
Mid-tier Areas	5-7 million	16.5-23 million

Central coastal apartments command clear premiums over suburban locations due to proximity to beaches, business districts, and transportation hubs. Houses may cost more per meter in prime districts due to land value, while villas and older houses typically price below apartment averages except in top-tier neighborhoods.

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 fees, taxes, and charges should buyers expect for total purchase cost?

Acquisition tax represents the largest additional cost, ranging from 1-12% of the purchase price depending on property value and type.

1. **Acquisition (Transfer) Tax**: 1-12% of purchase price (varies by value and type)2. **Legal Fees**: 0.5-1% of transaction value for documentation and processing3. **Real Estate Agent Fees**: 0.4-0.6% for buyers (0.3-0.5% from sellers)4. **Registration and Miscellaneous**: Up to 1.5% including notarization for foreign buyers5. **Annual Property Taxes**: 0.07-5% based on assessed valuation (most homes 0.15-0.5%)

The Comprehensive Real Estate Holding Tax (CRET) applies at 0.5-2% for most properties, potentially reaching 5% for high-value luxury or speculative holdings. Total round-trip costs (buying and selling combined) typically range 2-14% including all taxes and agent fees.

Foreign buyers may face additional documentation requirements and translation costs, adding to the miscellaneous expense category.

What mortgage options are available and what do they mean for monthly payments?

Korean banks offer mortgages to foreign buyers, typically capped at 40-60% loan-to-value for non-residents, while local buyers may access up to 70% LTV in some cases.

Current interest rates in 2025 average 3-5% depending on the lender, loan-to-value ratio, and borrower creditworthiness. Most banks provide variable, fixed, or balloon payment amortization options with potential early payment penalties.

For a typical 500 million KRW apartment with 50% LTV financing, the loan principal would be 250 million KRW, resulting in monthly payments of approximately 1.2-1.7 million KRW over a 30-year term (including principal and interest).

Foreign buyers should prepare for more stringent documentation requirements and potentially higher interest rates compared to local borrowers. Down payment requirements are typically higher for non-residents.

It's something we develop in our South Korea property pack.

What are the smartest investment choices based on your intended use?

For personal residence, focus on Haeundae, Suyeong, Nam-gu, or emerging redevelopment districts to access amenities, lifestyle benefits, and stable property values.

1. **Short-term Rental Strategy**: Target prime tourist areas (Haeundae, Gwangan, Marine City) for strong occupancy rates despite lower overall yields under 2%2. **Long-term Rental Investment**: Choose family-oriented neighborhoods like Geumjeong or budget districts for better price-to-rent ratios3. **Capital Appreciation Focus**: Prioritize properties near major redevelopment projects (North Port, Beomcheon Innovation Park, Yeonje)4. **Quick Resale Strategy**: Avoid oversupply zones in western suburbs; focus on established resilience areas5. **Balanced Approach**: Consider mid-tier districts with upcoming infrastructure improvements

Current market conditions favor buyers who can identify properties in development zones before major project completions drive broader recognition and price increases.

How do Busan's prices compare with other major coastal cities in the region?

Busan apartments cost approximately half as much as Seoul properties, with average per-square-meter prices of 6.69 million KRW versus Seoul's 13.4 million KRW.

Within South Korea, Busan's pricing structure resembles Daegu, Incheon, and Gwangju for non-premium units, though Busan's luxury segment commands higher premiums due to coastal location advantages.

The city's property price spread between top and bottom quintiles (ratio 6.3) exceeds Ulsan, Daegu, and Gwangju, indicating sharp internal market polarization unique among major Korean cities.

Compared to international coastal cities, Busan offers significantly more affordability than Tokyo, Singapore, and Hong Kong while remaining comparable to Bangkok pricing levels. It prices well below Sydney and Shanghai for similar coastal urban apartments.

This positioning makes Busan attractive for regional investors seeking Korean market exposure without Seoul's premium pricing, particularly given the city's strong tourism and port economy fundamentals.

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.

Sources

1. Global Property Guide - South Korea Price History
2. BambooRoutes - Busan Property Analysis
3. BambooRoutes - South Korea Apartment Prices
4. Agoda - Busan Villas
5. BambooRoutes - Busan Price Forecasts
6. Busan Metropolitan City Official
7. InvestAsian - Busan Property Investment
8. Expatistan - Busan Cost of Living
9. Korea Bizwire - Busan Price Gap Analysis
10. Maeil Business - Real Estate Analysis