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The Daejeon real estate market is experiencing significant growth in 2025, driven by the city's transformation into a major technology and innovation hub.
Property values have risen approximately 10.7% over the past year, with the average 84㎡ apartment now priced at ₩686 million. This upward trend reflects strong demand from tech professionals, limited new supply, and ongoing infrastructure development across the city's key districts.
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Daejeon's real estate market shows robust growth with apartment prices averaging ₩686 million for 84㎡ units, representing a 10.7% annual increase. Yuseong-gu and Seo-gu lead in price appreciation due to tech industry expansion and infrastructure development.
Transaction volumes increased 8-13% year-over-year, while new supply remains limited, supporting continued price growth through 2025-2026.
| Market Indicator | Current Status | Annual Change |
|---|---|---|
| Average Apartment Price (84㎡) | ₩686 million | +10.7% |
| Transaction Volume | 14,800 units | +8-13% |
| Price per Pyeong | ₩20.35 million | +56% (3-year) |
| Mortgage Rates | 3.05-4.15% | Stable |
| Rental Yields | 3-5% | Improving |
| New Supply (2025-2026) | 32,674 units | Declining |
| Best Performing Districts | Yuseong-gu, Seo-gu | Leading growth |
What's the current average sale price across Daejeon, and how has it moved month-over-month for the past year?
As of June 2025, the average sale price for an 84㎡ apartment in Daejeon stands at approximately ₩686 million.
This represents a substantial increase of nearly ₩100 million from the previous year, marking a robust 10.7% annual growth rate. The price per unit area has risen dramatically from ₩13.05 million to ₩20.35 million per 3.3㎡ (pyeong) over the past three years, with most of this appreciation concentrated in the last 12-18 months.
Month-over-month price movements have shown consistent upward momentum since mid-2024. The market has experienced steady but moderate growth each month, avoiding dramatic spikes while maintaining persistent appreciation. This controlled growth pattern reflects healthy market dynamics supported by strong underlying demand from tech professionals and limited supply constraints.
The price trajectory indicates that Daejeon's real estate market has entered a sustained growth phase, driven by the city's transformation into a major technology and research hub.
How do price shifts compare among Seo-gu, Yuseong-gu, Jung-gu and Dong-gu right now?
District-level price performance reveals significant variation across Daejeon's four main areas in 2025.
Yuseong-gu has emerged as the clear leader in price appreciation, experiencing the most significant increases driven by its proximity to research institutions, universities, and technology companies. The district's status as an innovation hub has attracted a steady influx of highly-paid professionals, creating sustained demand pressure on housing stock.
Seo-gu follows closely with robust price growth, benefiting from well-developed infrastructure, family-friendly amenities, and excellent connectivity to other parts of the city. The district's appeal to families and established professionals has supported consistent appreciation throughout 2024 and into 2025.
Jung-gu and Dong-gu have experienced more modest but still positive growth rates. These districts are undergoing urban renewal projects that are gradually improving their market position. While current appreciation lags behind Yuseong-gu and Seo-gu, the ongoing redevelopment activities suggest potential for stronger performance as projects complete.
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How many homes changed hands last quarter versus the same quarter a year ago, and what does that tell us about demand momentum?
Transaction volume data reveals strong demand momentum in Daejeon's residential market.
Apartment purchase transactions increased significantly from approximately 13,200 in 2023 to 14,800 in 2024, representing an 8-13% year-over-year rise. This surge in activity extends into the first quarter of 2025, with transaction volumes maintaining elevated levels compared to historical averages.
The increased transaction activity signals renewed buyer confidence and strengthening demand fundamentals. This growth occurs despite higher absolute prices, indicating that purchasers view current market conditions as favorable for entry. The sustained transaction volumes suggest that demand is broad-based rather than concentrated among a small group of investors.
The momentum reflects several factors: improved employment prospects in the technology sector, attractive financing conditions, and growing recognition of Daejeon's investment potential among both local and regional buyers.
Which property types—apartments, officetels and single-family houses—are seeing the fastest price growth this quarter?
Apartments continue to lead the market in price appreciation across all property types in Daejeon.
| Property Type | Price Growth Rate | Key Drivers |
|---|---|---|
| Apartments | Highest growth | Strong demand, limited supply, tech worker influx |
| Officetels | Moderate growth | Single-person households, young professionals |
| Single-Family Houses | Minimal growth | Limited demand, higher price points |
| New Developments | Premium growth | Modern amenities, energy efficiency |
| Luxury Units | Strong growth | High-income tech professionals |
| Compact Units | Solid growth | Affordability, first-time buyers |
| Older Stock | Slower growth | Renovation needs, location dependent |
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What are the median short-term and long-term rental yields for each property type in the main districts?
Rental yields in Daejeon vary significantly by property type and location, with generally attractive returns compared to major Korean cities.
Apartments typically generate gross yields of 3-4% across the city, with higher yields achievable for smaller units in central districts. Yuseong-gu commands premium rents due to university and research facility proximity, while Seo-gu offers stable yields from family-oriented tenants.
Officetels produce yields in the 3-5% range, particularly attractive in areas with strong demand from single-person households and young professionals. These properties benefit from lower maintenance costs and flexible rental arrangements that appeal to the growing number of tech workers in the city.
Single-family houses generally yield 2-3% due to higher purchase prices relative to achievable rents. However, properties in desirable family neighborhoods can command premium rents from expatriate families and senior professionals.
Short-term rentals and co-living arrangements can achieve yields up to 6%, though they require more active management and face regulatory considerations that investors should carefully evaluate.
How long are listings staying on the market in each district today compared with six months ago?
Days on market have decreased notably across Daejeon's primary districts as demand has strengthened throughout 2025.
Yuseong-gu shows the most dramatic improvement in listing velocity, with quality apartments selling significantly faster than six months ago. The district's appeal to tech professionals has created a competitive buyer environment, particularly for well-located units near research facilities and transportation hubs.
Seo-gu has experienced similar trends, with family-oriented properties spending less time on the market as buyers recognize the district's value proposition. Properties priced competitively for the current market typically attract multiple offers within the first few weeks of listing.
Jung-gu and Dong-gu have seen more modest improvements in listing velocity, though renewed interest from investors attracted to urban renewal opportunities has begun to reduce average days on market. Properties in these districts still require more time to sell compared to Yuseong-gu and Seo-gu, but the gap is narrowing.
The overall trend indicates improving market liquidity and strong buyer confidence across all districts.
Where and when is new residential supply expected over the next 6-18 months, and at what projected price points?
New residential supply in Daejeon faces significant constraints over the next 18 months, supporting continued price appreciation.
Expected new completions total approximately 32,674 units through 2026, representing a substantial reduction from previous development cycles. Most new supply will concentrate in urban renewal districts, particularly in Jung-gu and Dong-gu, where redevelopment projects are reaching completion phases.
New units in redevelopment areas are launching at ₩300 million for 59㎡ units, with larger formats and prime locations commanding higher prices. Premium developments in Yuseong-gu and Seo-gu are expected to price at significant premiums to reflect their desirable locations and modern amenities.
The timing of new supply delivery spans late 2025 through 2026, with most projects focused on affordable and mid-market segments rather than luxury offerings. This supply profile suggests limited relief for price pressures in the near term, particularly for quality units in desirable locations.
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Given current mortgage rates, what loan-to-value ratios and monthly payments should buyers plan for at ₩300 M, ₩600 M and ₩900 M budgets?
Mortgage financing conditions in Daejeon remain favorable for qualified buyers despite recent rate adjustments.
| Purchase Price | Loan Amount (70% LTV) | Monthly Payment (30-year, 3.5%) |
|---|---|---|
| ₩300 million | ₩210 million | ₩944,000 |
| ₩600 million | ₩420 million | ₩1,888,000 |
| ₩900 million | ₩630 million | ₩2,832,000 |
| First-time buyers | Up to 80% LTV | Special programs available |
| Standard terms | 60-70% LTV | 20-30 year amortization |
| Interest rates | 3.05-4.15% | Fixed rate options |
| Income requirements | 35% debt-to-income | Stable employment history |
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What price appreciation is projected for the next 3 months, 12 months and 3 years based on leading indicators like building permits and job growth?
Price appreciation projections for Daejeon reflect strong underlying fundamentals and limited supply constraints.
Over the next 3 months, continued moderate growth of 0.5-1% is expected, driven by sustained demand in Yuseong-gu and Seo-gu. The summer buying season typically sees increased activity from families looking to relocate before the school year, supporting price stability and modest gains.
The 12-month outlook projects 2-3% appreciation, supported by infrastructure investment, job growth in the technology sector, and constrained new supply. Building permits remain limited, while employment in research and development continues expanding, creating a favorable demand-supply balance.
The 3-year projection anticipates cumulative growth of 6-9%, with strongest performance expected in districts benefiting from urban renewal completion and infrastructure improvements. This outlook assumes continued government investment in Daejeon's technology sector and successful completion of planned redevelopment projects.
Leading indicators including building permits, employment growth, and infrastructure spending all support sustained but moderate appreciation rather than speculative bubbles.
How have resale profit margins varied by property type and district over the past five years?
Resale performance analysis reveals significant variation across property types and locations in Daejeon.
Apartments have delivered the highest resale margins over the five-year period, particularly in districts with strong infrastructure development and proximity to innovation clusters. Owners who purchased in Yuseong-gu and Seo-gu during 2019-2020 have seen substantial appreciation as these areas attracted technology companies and research facilities.
Officetels have provided moderate but consistent returns, benefiting from growing demand for flexible living arrangements among young professionals. Properties near universities and research institutions have outperformed those in purely residential areas.
Single-family houses have shown the most varied performance, with location being the primary determinant of success. Properties in established neighborhoods with good schools and amenities have maintained value, while those in transitional areas have lagged.
The data suggests that proximity to employment centers, infrastructure quality, and property condition have been the key drivers of resale success across all property types.
What impact will upcoming infrastructure projects or housing policies likely have on demand and prices in the next three to five years?
Major infrastructure initiatives and policy changes are positioned to significantly influence Daejeon's real estate market trajectory.
Urban renewal projects in central and eastern Daejeon are expected to boost demand and support price growth over the next 3-5 years. These developments will improve district attractiveness and create new housing stock in previously underutilized areas.
Government technology sector investment continues expanding Daejeon's role as a research and innovation hub. This includes continued development of the Daedeok Science Town and support for startup ecosystems, which should sustain employment growth and housing demand from high-income professionals.
Transportation infrastructure improvements, including enhanced connectivity to Seoul and other major cities, may increase Daejeon's appeal as a residential location for commuters, potentially expanding the buyer pool beyond local employment-driven demand.
Housing policy initiatives focused on increasing affordable supply are unlikely to significantly impact mid-to-upper market segments where most investment activity occurs, but may help support overall market stability by addressing entry-level demand.
Based on all this data, where, what property type and at roughly what budget should I buy now if I aim to live in it, rent it out or flip it within three years?
Investment recommendations vary significantly based on your intended use and timeline for the property.
For owner-occupiers planning to live in the property, Yuseong-gu and Seo-gu offer the best combination of amenities, infrastructure, and future growth potential. Target an 84㎡ or larger apartment with a budget of ₩600-700 million for a quality unit in these desirable districts. These areas provide excellent access to employment centers, schools, and urban amenities while offering strong long-term appreciation potential.
Rental investors should focus on Central Daejeon or areas near universities, particularly in Yuseong-gu. Officetels or small apartments (1-2 bedrooms) in the ₩300-500 million range typically generate the highest yields of 3-5%. These properties appeal to the growing population of young professionals and students who value convenience and modern amenities over space.
For investors planning to flip within three years, urban renewal zones in Jung-gu and Dong-gu offer the best potential for capital appreciation as redevelopment projects complete. New or under-construction apartments in the ₩400-600 million range provide strong resale potential as infrastructure improvements enhance district desirability. Focus on units with modern features and good transportation access.
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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.
Daejeon's real estate market in 2025 presents compelling opportunities across multiple investment strategies.
The combination of technology sector growth, limited new supply, and ongoing infrastructure development creates a favorable environment for both owner-occupiers and investors seeking rental income or capital appreciation.
Sources
- MK Real Estate - Daejeon Property Prices
- MK Real Estate - Market Analysis
- BambooRoutes - Daejeon Market Report
- AI Skill - Real Estate Trends
- Statista - Transaction Data
- BambooRoutes - Price Forecasts
- BambooRoutes - Market Forecast
- Global Property Guide - Price History
- Mordor Intelligence - Market Report
- CBRE Korea - Market Outlook