Authored by the expert who managed and guided the team behind the South Korea Property Pack
Yes, the analysis of Busan's property market is included in our pack
Busan's housing market in 2026 is a tale of two cities: premium coastal districts hold firm while outer areas remain price-sensitive.
This article breaks down current housing prices in Busan, where prices are heading, and which neighborhoods offer the best opportunities for buyers and investors.
We constantly update this blog post to reflect the latest data and trends in Busan's property market.
And if you're planning to buy a property in this place, you may want to download our pack covering the real estate market in Busan.
Insights
- Busan property prices rose roughly 1% over the past 12 months, signaling the end of the slide but not yet a citywide boom.
- The typical apartment in Busan costs around KRW 500 to 550 million (about USD 385,000 to 425,000), while all property types combined average closer to KRW 430 million.
- Premium coastal neighborhoods like Haeundae and Suyeong can post positive weeks even when the rest of Busan stays flat, because buyers treat them as lifestyle assets.
- The Bank of Korea's base rate sits at 2.50%, and whether cuts arrive in early 2026 could swing Busan prices by several percentage points either way.
- Marine City in Haeundae and Gwangalli in Suyeong remain the most sought-after micro-locations, commanding price premiums that local incomes and rents struggle to justify.
- Newer apartments in prime districts consistently outperform older villas and low-rise stock, which tend to lag unless a redevelopment story is in play.
- Over the next 5 years, Busan residential prices could rise between 15% and 25% cumulatively, translating to roughly 3% to 4.5% per year.
- Demographics are a quiet but powerful force: Korea's aging population and low fertility rate will cap long-run demand growth outside Busan's top districts.
- The North Port Redevelopment project is expected to lift nearby neighborhoods through new jobs, improved public spaces, and a stronger city image.
- Gadeokdo New Airport, now targeting 2035 completion, is a long-burn catalyst whose near-term price impact is more muted than headlines suggest.
What are the current property price trends in Busan as of 2026?
What is the average house price in Busan as of 2026?
As of January 2026, the average home purchase price in Busan across all common residential types sits around KRW 430 million (approximately USD 330,000 or EUR 307,000), though apartments specifically tend to trade higher at roughly KRW 500 to 550 million (USD 385,000 to 425,000 or EUR 357,000 to 393,000) because of the quality premium that comes with managed complexes and school zone access.
To put that in perspective, the typical price per square meter for homes in Busan in 2026 is about KRW 5.8 million (around USD 4,450 or EUR 4,140 per square meter), which means an 84-square-meter apartment, the most common family-sized unit, would cost roughly KRW 490 million.
The realistic price range that covers roughly 80% of property purchases in Busan in 2026 runs from about KRW 250 million to KRW 700 million (USD 190,000 to 540,000 or EUR 179,000 to 500,000), with the wide spread reflecting everything from older low-rise villas on the city's edges to newer apartments in premium coastal zones.
How much have property prices increased in Busan over the past 12 months?
Busan residential prices have risen approximately 1% over the past 12 months, meaning the market is no longer sliding but is not exactly booming either.
The realistic range of price changes across different property types in Busan over the past year stretches from roughly flat for older villas and outer-district stock to gains of 2% to 4% in premium coastal neighborhoods like Haeundae and Suyeong.
The single biggest factor behind this modest price movement is the interest rate environment, because the Bank of Korea held rates at 2.50% and buyers have been waiting to see whether cuts will arrive in early 2026 before committing.
Which neighborhoods have the fastest rising property prices in Busan as of 2026?
As of January 2026, the neighborhoods with the fastest rising property prices in Busan are Marine City and Centum City in Haeundae-gu, Gwangalli and Namcheon-dong in Suyeong-gu, and the Seomyeon area in Busanjin-gu.
These top-performing neighborhoods are seeing annual price growth of roughly 3% to 5%, compared to the citywide average of about 1%, with Haeundae's beachfront zones often leading the pack.
The main demand driver is a combination of coastal lifestyle appeal, newer high-quality apartment supply, and strong transit access, which together create persistent scarcity value that keeps buyers competing even when the broader market is soft.
By the way, you will find much more detailed price ranges across neighborhoods in our property pack covering the real estate market in Busan.
We have made this infographic to give you a quick and clear snapshot of the property market in South Korea. It highlights key facts like rental prices, yields, and property costs both in city centers and outside, so you can easily compare opportunities. We’ve done some research and also included useful insights about the country’s economy, like GDP, population, and interest rates, to help you understand the bigger picture.
Which property types are increasing faster in value in Busan as of 2026?
As of January 2026, the ranking of property types by value appreciation in Busan goes: newer apartments in prime districts first, then well-located family-sized apartments in school and transit zones, followed by residential officetels in job hubs, then low-rise villas, and finally detached houses (which only outperform in very specific micro-locations).
Newer apartments in coastal and high-demand districts are appreciating at roughly 3% to 5% per year, outpacing the citywide average by two to four percentage points.
The main reason apartments outperform is their liquidity, meaning they attract the widest pool of buyers, respond most quickly to rate relief, and carry the strongest neighborhood brand effect in Busan's status-conscious market.
Finally, if you're interested in a specific property type, you will find our latest analyses here:
- How much do properties cost in Busan?
- How much should you pay for an apartment in Busan?
- How much should you pay for a studio in Busan?
What is driving property prices up or down in Busan as of 2026?
As of January 2026, the top three factors driving property prices in Busan are interest rates and mortgage affordability, local "premium coastal" demand in districts like Haeundae and Suyeong, and supply pressure from unsold inventory in some submarkets.
The single factor with the strongest upward pressure on Busan property prices is the persistent scarcity of ocean-view and brand-name apartment complexes in prime districts, because buyers treat these homes as lifestyle and status assets rather than pure financial investments.
If you want to understand these factors at a deeper level, you can read our latest property market analysis about Busan here.
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What is the property price forecast for Busan in 2026?
How much are property prices expected to increase in Busan in 2026?
As of January 2026, Busan residential property prices are expected to rise by roughly 2% to 4% over the course of the year under the base-case scenario.
The realistic range of forecasts from different scenarios runs from about negative 1% to positive 1% if rates stay higher for longer and demand weakens, up to 5% to 7% if cuts arrive earlier and sentiment improves.
The main assumption underlying most price increase forecasts is that the Bank of Korea will deliver modest rate relief in 2026, which would improve mortgage affordability and nudge "wait and see" buyers into action.
We go deeper and try to understand how solid are these forecasts in our pack covering the property market in Busan.
Which neighborhoods will see the highest price growth in Busan in 2026?
As of January 2026, the neighborhoods expected to see the highest price growth in Busan are Marine City and Centum City in Haeundae-gu, Namcheon-dong and Gwangalli in Suyeong-gu, and the Oncheon-dong and Myeongnyun-dong areas in Dongnae-gu.
These top neighborhoods could see price growth of 4% to 6% in 2026, roughly double the citywide average, thanks to their combination of scarcity, lifestyle appeal, and strong buyer demand.
The primary catalyst driving expected growth is the "flight to quality" behavior where buyers concentrate in proven, brand-name districts whenever rate relief arrives or sentiment improves.
One emerging neighborhood that could surprise with higher-than-expected growth is Myeongji in Gangseo-gu, a new-town development that is attracting families and office tenants seeking modern amenities at lower price points than coastal Haeundae.
By the way, we've written a blog article detailing what are the current best areas to invest in property in Busan.
What property types will appreciate the most in Busan in 2026?
As of January 2026, newer apartments in prime locations and family-sized units in strong school and transit zones are expected to appreciate the most in Busan this year.
The top-performing property type, newer apartments in coastal and well-connected districts, could appreciate by roughly 4% to 6% in 2026, compared to the 2% to 4% citywide base case.
The main demand trend driving this outperformance is buyer preference for liquid, easily resalable apartments that respond quickly to rate relief and carry strong neighborhood brand value.
Older villas and low-rise multi-family stock are expected to underperform in 2026 because they lack the amenities, management quality, and resale liquidity that buyers increasingly prioritize, unless a concrete redevelopment project is in play.
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.
How will interest rates affect property prices in Busan in 2026?
As of January 2026, interest rate trends are positioned to provide mild support to Busan property prices if the Bank of Korea delivers the rate cuts the market expects, but continued flatness if rates stay on hold.
The current Bank of Korea base rate is 2.50%, and market expectations lean toward one or two modest cuts over the course of 2026, which would gradually push mortgage rates lower.
A 1% drop in interest rates typically translates to roughly 10% to 12% more borrowing capacity for Busan homebuyers, which tends to push prices up as more buyers qualify for their target homes or can bid higher.
You can also read our latest update about mortgage and interest rates in South Korea.
What are the biggest risks for property prices in Busan in 2026?
As of January 2026, the three biggest risks for property prices in Busan are rates staying higher for longer than expected, a buildup of unsold inventory in specific submarkets, and a broader macroeconomic slowdown that weakens buyer confidence and transaction volumes.
The single risk with the highest probability of materializing is a "higher for longer" interest rate scenario, because currency weakness and inflation concerns could force the Bank of Korea to delay the cuts the market is pricing in.
We actually cover all these risks and their likelihoods in our pack about the real estate market in Busan.
Is it a good time to buy a rental property in Busan in 2026?
As of January 2026, buying a rental property in Busan makes sense only in specific pockets with realistic expectations, because ultra-premium coastal areas offer low yields while central transit-oriented neighborhoods provide more reliable tenant demand.
The strongest argument in favor of buying now is that prices have stabilized after their slide, rates may decline over the year, and selective neighborhoods near Seomyeon, universities, and hospitals offer steady occupancy and moderate appreciation potential.
The strongest argument for waiting is that if rate cuts get delayed or the macro environment weakens, prices in non-prime areas could soften further, giving patient buyers better entry points later in 2026.
If you want to know our latest analysis (results may differ from what you just read), you can read our assessment on whether now is a good time to buy a property in Busan.
You'll also find a dedicated document about this specific question in our pack about real estate in Busan.
Buying real estate in Busan can be risky
An increasing number of foreign investors are showing interest. However, 90% of them will make mistakes. Avoid the pitfalls with our comprehensive guide.
Where will property prices be in 5 years in Busan?
What is the 5-year property price forecast for Busan as of 2026?
As of January 2026, Busan residential property prices are expected to rise by roughly 15% to 25% cumulatively over the next five years, assuming no severe recession and gradual rate easing over time.
The range of 5-year forecasts stretches from about 10% cumulative growth under a conservative scenario with slower rate relief and weaker demand, to about 30% under an optimistic scenario with stronger cuts and improved sentiment.
The projected average annual appreciation rate over the next five years in Busan is roughly 3% to 4.5% per year compounded, with prime districts likely outperforming this average and weaker areas potentially lagging.
The key assumption most forecasters rely on is that Korea's interest rate cycle will turn accommodative over the next few years, supporting affordability and buyer confidence without triggering runaway inflation.
Which areas in Busan will have the best price growth over the next 5 years?
The top three areas in Busan expected to deliver the best price growth over the next five years are Haeundae-gu (especially Marine City, Centum City, and Jwa-dong), Suyeong-gu (Namcheon-dong and Gwangalli), and neighborhoods benefiting from the North Port Redevelopment in central Busan.
These top-performing areas could see cumulative price growth of 25% to 40% over five years, outperforming the citywide average by a meaningful margin thanks to scarcity, brand demand, and regeneration catalysts.
This outlook is broadly consistent with our shorter 2026 forecast, but the 5-year horizon allows infrastructure and redevelopment projects like North Port more time to translate into actual price gains, which is why regeneration-adjacent areas rank higher over this period.
A currently undervalued area with strong 5-year outperformance potential is the zones adjacent to North Port Redevelopment in old downtown Busan, where city-led regeneration should gradually lift prices through new jobs, improved public spaces, and a refreshed city image.
What property type will give the best return in Busan over 5 years as of 2026?
As of January 2026, the property type expected to deliver the best total return over five years in Busan is mainstream, liquid apartments sized around 59 to 84 square meters in top or near-top districts.
The projected 5-year total return for this top-performing property type, combining appreciation and rental income, could reach roughly 30% to 50% cumulative in the best locations, though rental yields in premium zones tend to be modest.
The main structural trend favoring apartments is that they attract the widest buyer pool, respond most quickly to rate changes, and carry the strongest "neighborhood brand" effect in Busan's status-conscious market.
For buyers seeking the best balance of return and lower risk over five years, family-sized apartments in strong transit and school zones like Dongnae-gu and Busanjin-gu offer more stable demand and easier resale without requiring a premium coastal price.
How will new infrastructure projects affect property prices in Busan over 5 years?
The top three major infrastructure projects expected to impact property prices in Busan over the next five years are the North Port Redevelopment, the Gadeokdo New Airport (now targeting 2035 completion), and ongoing transit improvements connecting job hubs to residential districts.
Properties near completed infrastructure projects in Busan typically command a price premium of roughly 5% to 15% compared to similar properties further away, with the premium growing as projects move from announcement to completion.
The neighborhoods that will benefit most from these developments are the old downtown zones adjacent to North Port (for regeneration-driven uplift), western Busan areas positioned for improved airport access over time, and transit-centric neighborhoods in Busanjin-gu and Dongnae-gu.
How will population growth and other factors impact property values in Busan in 5 years?
Busan's population is projected to remain roughly flat or decline slightly over the next five years due to Korea's low fertility rate and aging demographics, which will cap broad-based demand growth but not prevent premium districts from rising.
The demographic shift with the strongest influence on property demand in Busan is aging: as the population gets older, demand is increasingly concentrating in convenient, transit-accessible, and walkable neighborhoods, which reinforces the strength of central districts.
Migration patterns are expected to be neutral to slightly negative for Busan over five years, as some younger residents move to Seoul for career opportunities, though lifestyle appeal continues to draw retirees and remote workers to coastal areas.
The property types and areas that will benefit most from these demographic trends are well-located apartments in livable districts like Dongnae-gu, Haeundae-gu, and Suyeong-gu, where convenience and lifestyle appeal align with the preferences of an aging but still active population.
We made this infographic to show you how property prices in South Korea compare to other big cities across the region. It breaks down the average price per square meter in city centers, so you can see how cities stack up. It’s an easy way to spot where you might get the best value for your money. We hope you like it.
What is the 10 year property price outlook in Busan?
What is the 10-year property price prediction for Busan as of 2026?
As of January 2026, Busan residential property prices are expected to rise by roughly 30% to 55% cumulatively over the next 10 years, with prime coastal districts likely outperforming and weaker-demand areas potentially lagging significantly.
The range of 10-year forecasts stretches from about 20% cumulative under a conservative scenario with persistent demographic headwinds and slow growth, to roughly 70% under an optimistic scenario with stronger-than-expected economic performance and sustained rate relief.
The projected average annual appreciation rate over the next 10 years in Busan is roughly 2.7% to 4.5% per year compounded, which is moderate by historical standards but still meaningful for long-term buyers.
The biggest uncertainty factor in making 10-year predictions for Busan is demographics: how quickly Korea's population ages and whether household formation continues to slow will shape long-run demand in ways that are difficult to forecast precisely.
What long-term economic factors will shape property prices in Busan?
The top three long-term economic factors that will shape property prices in Busan over the next decade are demographics and household formation, the trajectory of interest rates over the cycle, and Korea's trend growth and productivity performance.
The single factor with the most positive long-term impact on Busan property values is the city's potential to deepen job clusters in finance, logistics, and regeneration zones like North Port, which would support local income growth and attract working-age residents.
The single factor posing the greatest structural risk to Busan property values is demographics, because Korea's aging population and low fertility rate will slowly reduce the pool of new household formations, putting a ceiling on broad demand growth especially outside premium districts.
You'll also find a much more detailed analysis in our pack about real estate in Busan.
What sources have we used to write this blog article?
Whether it's in our blog articles or the market analyses included in our property pack about Busan, we always rely on the strongest methodology we can … and we don't throw out numbers at random.
We also aim to be fully transparent, so below we've listed the authoritative sources we used, and explained how we used them and the methods behind our estimates.
| Source | Why It's Authoritative | How We Used It |
|---|---|---|
| Korea Real Estate Board (REB) | Korea's primary national body producing official house price trend surveys. | We anchored current Busan price trends across apartments, villas, and detached houses. We also used their survey methodology notes to explain how the numbers are built. |
| REB R-ONE Statistics Portal | REB's official portal publishing the latest housing market indicators. | We cross-checked the latest monthly and weekly movements in the Busan market. We also verified consistency with other datasets. |
| MOLIT Real Transaction Price System | The official government system for actual recorded property transaction prices. | We translated price indexes into real money and typical sale prices. We also sanity-checked neighborhood examples and price premiums. |
| Bank of Korea Economic Outlook | Korea's central bank, whose macro forecasts shape mortgage rates and housing demand. | We set the 2026 macro backdrop that drives buyer confidence. We also built the base-case forecast scenario for Busan housing. |
| Bank of Korea Base Rate Decision | The official source for Korea's benchmark interest rate decisions. | We explained why affordability changed going into 2026. We also framed how future rate moves could push Busan prices up or down. |
| Korea Housing Finance Corporation | A key public mortgage institution publishing transparent borrower rate tables. | We grounded mortgage cost estimates in published rate tables. We also explained how rate changes affect monthly payments for typical Busan homes. |
| Statistics Korea / KOSIS | Korea's official national statistics portal for demographics and housing indicators. | We grounded long-run demand analysis using population and household data. We avoided guessing Busan's demographic direction. |
| Statistics Korea Population Projections | The official population projection framework and publication cycle. | We explained why demographics are a slow but powerful force on home prices. We used it as the backbone for our long-term demand section. |
| IMF World Economic Outlook | Top-tier international organization for macroeconomic forecasts. | We cross-checked Korea's 2026 growth expectations versus domestic sources. We kept forecast assumptions consistent with global baselines. |
| OECD Economic Outlook Korea | Leading international institution for policy and macro forecasting. | We triangulated the soft landing versus slowdown risk for 2026. We justified medium-term assumptions on growth and structural headwinds. |
| BIS Residential Property Prices via FRED | BIS property price data distributed by a major central bank data portal. | We gave context for Korea's broader housing cycle. We sanity-checked whether our growth paths are plausible versus history. |
| Busan Metropolitan City North Port Project | The official city source for major redevelopment and infrastructure plans. | We explained place-specific demand catalysts unique to Busan. We named concrete areas likely to benefit over a 5-year horizon. |
| Busan Metropolitan City Housing Support | An official city announcement about housing finance support programs. | We showed how local policy can nudge first-time and rental demand. We explained why some mid-priced neighborhoods can move faster. |
| Reuters Korea Coverage | Global wire service consistently citing primary institutions and dates. | We cross-checked timing and market expectations about rate cuts. We explained constraints that can limit housing booms. |
| ChosunBiz Gadeokdo Airport Coverage | Major national outlet with story anchored in government project details. | We captured a Busan-specific infrastructure catalyst and its revised timeline. We explained why some growth may be slower-burn. |
| MK News Real Estate Coverage | Major Korean business outlet tracking weekly real estate market movements. | We confirmed which districts lead Busan's weekly price movements. We identified fast-rising neighborhoods in real time. |
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If you want to go deeper, you can read the following: