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 property market is showing clear signs of recovery in early 2026, with apartment prices rising for multiple consecutive weeks across the city.
But here is the thing: Busan is not one market, it is several different markets packed into one city, and buying in the wrong neighborhood can mean the difference between strong returns and years of regret.
We constantly update this blog post to reflect the latest data and market shifts.
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.
What's the Current Real Estate Market Situation by Area in Busan?
Which areas in Busan have the highest property prices per square meter in 2026?
As of early 2026, the three most expensive areas in Busan are U-dong in Haeundae-gu (home to Marine City's luxury high-rises), Jung-dong near Haeundae Beach, and Gwangan-dong in Suyeong-gu overlooking the famous Gwangalli Bridge.
In these premium Busan neighborhoods, property prices typically range from 7 million to 12.5 million KRW per square meter, with the most iconic towers in Marine City pushing even higher.
What makes each of these Busan neighborhoods command such high prices comes down to very specific factors:
- U-dong (Haeundae-gu): Iconic waterfront high-rises with unobstructed ocean views and proximity to Centum City
- Jung-dong (Haeundae-gu): Walk-to-beach convenience combined with direct subway access to the rest of Busan
- Gwangan-dong (Suyeong-gu): Signature bridge views and a vibrant cafe and nightlife scene along the waterfront
- Yongho-dong (Nam-gu): Newer waterfront towers near Oryukdo with panoramic coastal scenery and less tourist congestion
Which areas in Busan have the most affordable property prices in 2026?
As of early 2026, the most affordable property prices in Busan are found in Sasang-gu (especially Gwaebeop-dong and Deokpo-dong), Saha-gu (particularly Hadan-dong and Dadae-dong), Buk-gu (around Deokcheon-dong), and parts of Yeongdo-gu.
In these more affordable Busan districts, property prices typically range from 2.3 million to 4.2 million KRW per square meter, which is roughly one-third to one-half of what you would pay in the premium beach areas.
The main trade-offs in these lower-priced Busan neighborhoods vary by location: Sasang-gu has an industrial character and weaker lifestyle amenities, Saha-gu is farther from the city's employment centers and beaches, Buk-gu requires longer commutes to major business districts, and Yeongdo-gu has older housing stock with steeper hillside terrain that limits convenience.
You can also read our latest analysis regarding housing prices in Busan.
We created this infographic to give you a simple idea of how much it costs to buy property in different parts of South Korea. As you can see, it breaks down price ranges and property types for popular cities in the country. We hope this makes it easier to explore your options and understand the market.
Which Areas in Busan Offer the Best Rental Yields?
Which neighborhoods in Busan have the highest gross rental yields in 2026?
As of early 2026, the Busan neighborhoods with the highest gross rental yields are Jangjeon-dong in Geumjeong-gu (around 4.2% to 6% gross), followed by Bujeon-dong and Beomcheon-dong in the Seomyeon area (around 4% to 5.5%), and Daeyeon-dong in Nam-gu (around 4% to 5.5%).
Across Busan as a whole, typical gross rental yields for investment properties range from about 2% to 5.5%, with the premium beach-luxury areas often compressing to just 2% to 3.5% because purchase prices are so high relative to rents.
Each of these high-yield Busan neighborhoods delivers stronger returns for specific reasons:
- Jangjeon-dong (Geumjeong-gu): Heavy student demand from Pusan National University keeps small units occupied year-round
- Bujeon-dong (Busanjin-gu): Central Seomyeon location attracts young professionals who value transit and nightlife
- Beomcheon-dong (Busanjin-gu): More affordable entry prices with strong commuter tenant liquidity
- Daeyeon-dong (Nam-gu): University district with consistent demand for studios and small apartments
Finally, please note that we cover the rental yields in Busan here.
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Which Areas in Busan Are Best for Short-Term Vacation Rentals?
Which neighborhoods in Busan perform best on Airbnb in 2026?
As of early 2026, the Busan neighborhoods that perform best on Airbnb are Jung-dong near Haeundae Beach (highest occupancy and rates), Gwangan-dong along Gwangalli Beach, Nampo-dong in the classic downtown sightseeing district, and Songjeong-dong for the surf and alternative beach niche.
Top-performing Airbnb properties in these Busan beach and tourist neighborhoods typically generate around 8 million to 12 million KRW in monthly revenue, though this varies significantly by unit quality, view, and management approach.
What makes each of these Busan neighborhoods outperform for short-term rentals comes down to different strengths:
- Jung-dong (Haeundae-gu): Direct beach access and international brand recognition as Busan's flagship tourist destination
- Gwangan-dong (Suyeong-gu): Iconic Gwangalli Bridge views and a dense cluster of waterfront cafes and restaurants
- Nampo-dong (Jung-gu): Classic sightseeing base near Jagalchi Market, BIFF Square, and Yongdusan Park
- Songjeong-dong (Haeundae-gu): Niche appeal for surfers and travelers seeking a quieter beach alternative
By the way, we also have a blog article detailing whether owning an Airbnb rental is profitable in Busan.
Which tourist areas in Busan are becoming oversaturated with short-term rentals?
The three Busan tourist areas showing the clearest signs of short-term rental oversaturation are the Haeundae Beach core around Jung-dong, the Gwangalli Beach strip in Gwangan-dong and Millak-dong, and parts of Nampo-dong in the old downtown.
In the most saturated Busan zones, AirDNA tracks over 10,000 active vacation rental listings across the city, with heavy concentration in these beach and tourist areas where hundreds of nearly identical "ocean view studio" listings compete directly against each other.
The clearest sign that these Busan areas have reached oversaturation is that success has become operator-driven rather than location-driven, meaning you now need professional photography, dynamic pricing tools, faster response times, and constant interior upgrades just to maintain average occupancy rates.
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 Areas in Busan Are Best for Long-Term Rentals?
Which neighborhoods in Busan have the strongest demand for long-term tenants?
The Busan neighborhoods with the strongest long-term tenant demand are Bujeon-dong and Jeonpo-dong in the Seomyeon commercial core, Munhyeon-dong in the Nam-gu financial district, Daeyeon-dong near the universities, and Jangjeon-dong close to Pusan National University.
In these high-demand Busan neighborhoods, well-priced units typically rent within two to four weeks, and vacancy rates remain consistently low because the tenant pools are anchored by stable employment and education rather than seasonal tourism.
The tenant profiles driving demand in each of these Busan neighborhoods are quite different:
- Bujeon-dong and Jeonpo-dong: Young office workers, couples, and lifestyle renters who want Seomyeon's transit and nightlife
- Munhyeon-dong: Finance and office workers seeking central access at more affordable rents than Haeundae
- Daeyeon-dong: University students, academic staff, and small households tied to nearby campuses
- Jangjeon-dong: Pusan National University students and young professionals in the Geumjeong-gu area
What makes these Busan neighborhoods especially attractive to long-term tenants is the combination of strong public transit connections, daily convenience amenities like grocery stores and clinics, and proximity to major employment or education centers that give tenants a practical reason to stay.
Finally, please note that we provide a very granular rental analysis in our property pack about Busan.
What are the average long-term monthly rents by neighborhood in Busan in 2026?
As of early 2026, average long-term monthly rents in Busan vary dramatically by neighborhood, ranging from around 400,000 KRW per month for basic student studios near universities up to 2.5 million KRW per month for family apartments in the premium beach districts.
In the most affordable Busan neighborhoods like Daeyeon-dong and Jangjeon-dong, entry-level studio apartments typically rent for 400,000 to 800,000 KRW per month with deposits of 2 million to 10 million KRW.
In mid-range Busan neighborhoods like Bujeon-dong and Munhyeon-dong, average-sized apartments typically rent for 550,000 to 1.1 million KRW per month with deposits of 3 million to 20 million KRW.
In the most expensive Busan neighborhoods like Jung-dong in Haeundae and Gwangan-dong in Suyeong-gu, high-end family apartments typically rent for 1.2 million to 2.5 million KRW per month with deposits of 20 million to 80 million KRW.
You may want to check our latest analysis about the rents in Busan here.
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Which Are the Up-and-Coming Areas to Invest in Busan?
Which neighborhoods in Busan are gentrifying and attracting new investors in 2026?
As of early 2026, the Busan neighborhoods showing the clearest signs of gentrification and investor interest are Jeonpo-dong in Busanjin-gu (cafe and retail-led upgrading around Seomyeon), Choryang-dong and Jwacheon-dong in Dong-gu (benefiting from the Busan Station and North Port narrative), and Beomil-dong which sits directly within the North Port Phase 2 redevelopment footprint.
These gentrifying Busan neighborhoods have experienced price appreciation ranging from roughly 5% to 15% annually over recent years, though the gains are uneven and depend heavily on proximity to specific project sites and transit nodes.
Which areas in Busan have major infrastructure projects planned that will boost prices?
The Busan areas with the most significant infrastructure projects planned are the neighborhoods around Busan Station and Jwacheon-dong (North Port Redevelopment), Gangseo-gu near Gadeokdo Island (new airport), and Banyeo-dong and Seokdae-dong in Haeundae-gu (Centum 2 development).
The specific infrastructure projects driving these expectations include the North Port Redevelopment Phase 2 (a multi-trillion KRW waterfront transformation running through 2030), the Gadeokdo New Airport (a major new international gateway with a multi-year construction timeline), and the Centum 2 Urban High-Tech Industrial Complex (a jobs and employment node in eastern Haeundae).
Historically in Busan, neighborhoods that have received major infrastructure improvements have seen price increases of 15% to 40% over the project period, though the timing and magnitude depend heavily on execution quality and how directly connected a specific property is to the new amenities.
You'll find our latest property market analysis about Busan here.
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.
Which Areas in Busan Should I Avoid as a Property Investor?
Which neighborhoods in Busan with lots of problems I should avoid and why?
The Busan neighborhoods that present the most significant challenges for property investors are STR-dependent beach areas if you lack a solid legal and operational plan, cheap hillside pockets in parts of Seo-gu and older Yeongdo-gu with weak resale liquidity, and hyper-new supply zones where you do not understand the pipeline risk.
Each of these problem areas in Busan has specific issues that investors should understand:
- Haeundae and Gwangalli beach cores (for STR-only plans): Regulation changes and oversupply can destroy your numbers overnight
- Older hillside areas in Seo-gu: Steep terrain, aging buildings, and very few future buyers create exit liquidity risk
- Parts of older Yeongdo-gu: Weak infrastructure, limited redevelopment, and maintenance surprises on older stock
- Some new development zones: Pipeline risk from too many units coming online before demand materializes
For any of these Busan neighborhoods to become viable investment options, you would need either significant regulatory clarity on short-term rentals, major infrastructure investment that improves daily convenience, or a demonstrated reduction in competing supply that restores pricing power.
Buying a property in the wrong neighborhood is one of the mistakes we cover in our list of risks and pitfalls people face when buying property in Busan.
Which areas in Busan have stagnant or declining property prices as of 2026?
As of early 2026, while Busan's overall market is showing recovery, the areas most likely to lag are older car-dependent pockets far from major job nodes, districts with aging housing stock and limited redevelopment plans, and neighborhoods where "cheap" is not paired with a strong tenant engine.
These underperforming Busan areas have experienced price stagnation or modest declines of roughly 0% to 5% over recent years, even as premium districts recovered, because they lack the demand drivers that attract both buyers and tenants.
The underlying causes of price stagnation in these Busan neighborhoods are quite specific:
- Older inland Seo-gu pockets: Aging population, limited transit, and no major redevelopment catalyst
- Industrial-adjacent Sasang-gu areas: Lifestyle appeal is low and buyer pools remain very local
- Remote parts of Saha-gu: Distance from employment centers and beaches limits demand from younger buyers
- Non-view areas of Yeongdo-gu: Steep terrain without the ocean views that justify hillside inconvenience
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Which Areas in Busan Have the Best Long-Term Appreciation Potential?
Which areas in Busan have historically appreciated the most recently?
Over the past five to ten years, the Busan areas that have appreciated the most are U-dong and Jung-dong in Haeundae-gu, Gwangan-dong and Namcheon-dong in Suyeong-gu, and Yongho-dong in Nam-gu near the Oryukdo coastal area.
These top-performing Busan neighborhoods have achieved significant appreciation over recent cycles:
- U-dong (Haeundae-gu): Total appreciation of roughly 40% to 60% over the past decade, driven by Marine City premium
- Jung-dong (Haeundae-gu): Annual appreciation averaging 5% to 8%, benefiting from beach-lifestyle demand
- Gwangan-dong (Suyeong-gu): Price gains of roughly 35% to 50% over ten years as Gwangalli became trendier
- Yongho-dong (Nam-gu): Strong recent gains of 30% to 45% as new waterfront towers reset local benchmarks
The main driver behind this above-average appreciation in these Busan neighborhoods is the combination of genuine scarcity (limited beachfront and waterfront land), rising lifestyle desirability among Korean buyers, and new premium supply that resets price expectations for entire districts.
By the way, you will find much more detailed trends and forecasts in our pack covering there is to know about buying a property in Busan.
Which neighborhoods in Busan are expected to see price growth in coming years?
The Busan neighborhoods expected to see the strongest price growth in coming years are Choryang-dong, Jwacheon-dong, and Beomil-dong (all tied to North Port Phase 2), Banyeo-dong and Seokdae-dong (tied to Centum 2), and select nodes in Gangseo-gu connected to the new airport development.
Projected annual price growth for these high-potential Busan neighborhoods varies by catalyst timing:
- Choryang-dong and Jwacheon-dong: Projected 5% to 10% annual growth as North Port Phase 2 progresses
- Beomil-dong: Expected 6% to 12% gains given direct inclusion in the redevelopment footprint
- Banyeo-dong and Seokdae-dong: Projected 4% to 8% annual appreciation as Centum 2 creates jobs
- Gangseo-gu airport-adjacent areas: Longer-term potential of 3% to 7% annually, but with extended timelines
The single most important catalyst expected to drive future price growth in these Busan neighborhoods is the physical completion of named infrastructure projects, because until construction finishes and amenities actually open, price gains remain speculative rather than realized.
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 Do Locals and Expats Really Think About Different Areas in Busan?
Which areas in Busan do local residents consider the most desirable to live?
The Busan areas that local Korean residents consider most desirable to live are Namcheon-dong in Suyeong-gu, Jwa-dong and U-dong in Haeundae-gu, and Daeyeon-dong in Nam-gu.
What makes each of these Busan neighborhoods attractive to local residents comes down to different priorities:
- Namcheon-dong (Suyeong-gu): Strong school reputation and an established, family-friendly residential character
- Jwa-dong (Haeundae-gu): Large family apartments, good schools, and proximity to beach lifestyle without tourist crowds
- U-dong (Haeundae-gu): Modern high-rises, Centum City convenience, and aspirational address appeal
- Daeyeon-dong (Nam-gu): Practical daily convenience, university access, and solid infrastructure for families
The typical residents in these locally-preferred Busan areas are established Korean families with school-age children, professionals seeking quality-of-life balance, and couples planning to settle long-term rather than chase investment returns.
Local Busan preferences often differ from what foreign investors target, because locals prioritize schools, daily convenience, and community stability, while foreigners frequently overweight beach views and short-term rental potential that locals consider less important for actual living.
Which neighborhoods in Busan have the best reputation among expat communities?
The Busan neighborhoods with the best reputation among expat communities are Jung-dong and U-dong in Haeundae-gu, Gwangan-dong and Millak-dong in Suyeong-gu, and Bujeon-dong and Jeonpo-dong in the Seomyeon area.
Expats prefer these Busan neighborhoods over others for specific practical reasons:
- Jung-dong and U-dong (Haeundae-gu): Internationalized services, English-friendly businesses, and beach lifestyle
- Gwangan-dong and Millak-dong (Suyeong-gu): Vibrant social scene, waterfront cafes, and younger expat community
- Bujeon-dong and Jeonpo-dong (Busanjin-gu): Central transit access, nightlife, and more affordable than beach areas
The typical expat profile in these popular Busan neighborhoods includes English teachers working at language academies, professionals at international companies, and digital nomads or retirees seeking a lower cost of living than Seoul while maintaining urban conveniences.
Which areas in Busan do locals say are overhyped by foreign buyers?
The Busan areas that locals most commonly say are overhyped by foreign buyers are the Haeundae Beach core around Jung-dong, the Gwangalli beachfront strip in Gwangan-dong and Millak-dong, and some of the newer high-rise developments marketed heavily to international investors.
Locals believe these Busan areas are overvalued for specific reasons:
- Jung-dong Haeundae Beach core: Foreigners pay premium prices for views that locals find overcrowded and touristy
- Gwangan-dong beachfront: The "Instagram appeal" drives prices beyond what the neighborhood's daily livability justifies
- Millak-dong waterfront: Seasonal tourist traffic creates noise and congestion that locals avoid for actual living
What foreign buyers typically see in these Busan areas that locals do not value as highly is the combination of ocean views, short-term rental income potential, and the prestige of a "beach address," while locals focus more on practical factors like parking, school access, building management quality, and year-round neighborhood atmosphere.
By the way, we've written a blog article detailing the experience of buying a property as a foreigner in Busan.
Which areas in Busan are considered boring or undesirable by residents?
The Busan areas that residents most commonly consider boring or undesirable are parts of Sasang-gu with industrial character, remote sections of Saha-gu far from beaches and employment centers, and older inland pockets of Buk-gu with limited amenities.
Residents find these Busan areas boring or undesirable for specific reasons:
- Industrial Sasang-gu (Gwaebeop-dong, Deokpo-dong): Factory and logistics character with few lifestyle amenities or dining options
- Remote Saha-gu (Dadae-dong outer areas): Long commutes to everywhere interesting and limited entertainment or retail
- Older Buk-gu pockets: Aging housing stock, car-dependent layout, and lack of the urban energy found elsewhere
However, these "boring" Busan areas can still be smart investment choices if your strategy is yield-first and tenant-engine-first, because lower purchase prices combined with stable local renter demand can deliver better returns than exciting neighborhoods with compressed yields.
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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 (KREB) | Government-affiliated body publishing official housing price indicators for Korea. | We used KREB data to anchor Busan's market direction in early 2026. We also used it as a reality check against private-sector narratives. |
| MOLIT Real Estate Transaction Management System | Ministry of Land's official system for all reported real estate transactions. | We used MOLIT data to ground price-per-square-meter discussions in real transactions. We also used it to verify neighborhood price ranges against actual buyer payments. |
| KOSIS (Statistics Korea) | Official statistics portal for Korea covering demographics and housing data. | We used KOSIS for structural facts on demographics and household statistics. We also used it to avoid relying on anecdotes for neighborhood risk factors. |
| Busan Metropolitan City (North Port Project) | Official city government source for major infrastructure project details. | We used this to identify which micro-areas have the biggest redevelopment catalyst. We also used it to avoid vague claims about downtown improvement. |
| AirDNA | Widely used short-term rental analytics provider with clear methodology. | We used AirDNA for citywide STR benchmarks including occupancy and revenue. We also used it to keep the Airbnb section data-driven rather than anecdotal. |
| Real Estate R114 (via Maeil Business Newspaper) | Major Korean real estate research firm cited by mainstream financial press. | We used R114 data to anchor new-build supply pricing in Busan. We also used it as a triangulation layer alongside official transaction data. |
| KOTRA (Foreign Land Acquisition Guide) | Government agency supporting foreign investment with official compliance guides. | We used KOTRA to explain what foreigners can legally own and reporting requirements. We also used it to keep the legal section conservative and evidence-based. |
| Busan City (Gadeokdo New Airport) | Official city summary of the airport plan, timeline, and site location. | We used this to assess which districts have infrastructure option value. We also used it to temper expectations with the project's multi-year timeline. |
| Reuters (Bank of Korea coverage) | Reputable financial newswire summarizing current BOK policy expectations. | We used Reuters to set the macro cost-of-borrowing backdrop as of January 2026. We also used it to explain why affordability may change quickly. |
| Korea Joongang Daily | Major English-language Korean newspaper covering regulatory developments. | We used this to track STR regulation changes affecting investor strategies. We also used it to flag legal pathway requirements before purchase. |
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