Buying property in Daejeon: is it worth it?

Authored by the expert who managed and guided the team behind the South Korea Property Pack

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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 Daejeon. If you'd like to learn more about us, you can check our presentation page.

What's the current average price per square meter for apartments and houses in Daejeon?

The current average price per square meter in Daejeon is approximately 5.4 million KRW (about $3,700 USD) as of September 2025.

In prime areas like Yuseong-gu, prices reach up to 8.17 million KRW per square meter, particularly for modern apartments near the Daedeok Science Town. A standard 84㎡ apartment in these premium locations costs around 686 million KRW on average.

More affordable districts like Jung-gu and Dong-gu offer properties in the 4-5.4 million KRW per square meter range, making them attractive options for first-time buyers or investors seeking higher rental yields. The price variation across districts reflects factors like proximity to research institutions, transportation infrastructure, and overall amenities.

Compared to Seoul where prices average 13.4 million KRW per square meter, Daejeon represents a 60% cost savings while still offering access to major tech companies and research facilities.

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

How have property prices in Daejeon changed over the past 3 years, and what's the trend in the short term?

Daejeon property prices have experienced remarkable growth over the past three years, with an overall increase of approximately 56%.

From 2022 to 2025, the average price per 3.3㎡ (1 pyeong) rose from 13.05 million KRW to 20.35 million KRW. Most of this appreciation occurred in the last 18 months, with the market rebounding strongly from early 2023 lows.

The past year alone saw a 10.7% increase in property values, indicating sustained momentum in the market. This growth has been driven by limited housing supply, an influx of tech professionals, and significant infrastructure investments throughout the city.

Short-term trends show steady month-over-month growth continuing into 2025, with real estate agents reporting increased transaction volumes and faster property sales, particularly in Yuseong-gu and Seo-gu districts.

The market dynamics suggest this upward trend will likely continue through 2025-2026, supported by ongoing urban development projects and the expansion of Daejeon's role as a technology hub.

What are the projections for property prices in Daejeon over the next 5 to 10 years?

Property price projections for Daejeon over the next 5-10 years are generally positive, with sustained growth expected despite national market cooling.

While major research institutes anticipate modest declines in nationwide property prices outside the Seoul capital region for 2025, Daejeon is projected to maintain positive growth due to its unique position as a technology and research center.

Long-term projections through 2030-2035 show continued price appreciation driven by several key factors: ongoing expansion of Daedeok Science Town, increasing numbers of tech professionals relocating from Seoul, and major infrastructure projects including new transportation links.

Districts like Yuseong-gu and Seo-gu are expected to see the strongest appreciation, potentially reaching 10-12 million KRW per square meter by 2030. More affordable areas may also benefit from spillover demand as premium districts become increasingly expensive.

However, growth rates may moderate if housing supply increases significantly or if national economic policies shift to specifically target regional property markets.

Which districts in Daejeon are currently the most expensive and which ones are the most affordable?

How do price trends differ between apartments, villas, and single-family houses in Daejeon?

Apartments have experienced the strongest price appreciation in Daejeon's market, driven by high demand from tech professionals and young families.

Modern apartment complexes in premium locations have seen price increases of 60-70% over the past three years, with new developments commanding the highest premiums. Apartments benefit from superior amenities, security, and proximity to business districts.

Villas (low-rise multifamily buildings) have shown more modest growth, typically lagging apartments by 15-20% in price appreciation. However, newer villa developments in areas like Seo-gu have performed better than older stock in peripheral locations.

Single-family houses have had the most varied performance, with location being the primary factor. Houses near tech districts have appreciated well, while those in older neighborhoods have seen slower growth due to maintenance costs and land value considerations.

Investment-wise, apartments continue to offer the best liquidity and appreciation potential, while villas and houses may provide higher rental yields in specific locations.

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What's the average rental yield in Daejeon right now, and how does it compare by area and property type?

Current rental yields in Daejeon range from 3% to 5% annually, which is competitive compared to other major South Korean cities.

Higher yields are generally found in secondary districts and smaller apartments, where rental demand remains strong from young professionals and university students. Areas like Jung-gu and Dong-gu can deliver yields closer to 5% due to lower property purchase prices.

Premium areas like Yuseong-gu typically offer lower yields around 3-3.5% but compensate with stronger capital appreciation potential. The trade-off between immediate rental returns and long-term value growth is particularly pronounced in these high-demand districts.

Property type significantly affects yields: smaller apartments (40-60㎡) often achieve higher rental yields due to strong demand from single professionals, while larger family apartments in premium locations focus more on capital growth than rental income.

Overall, Daejeon's rental market remains stable with consistent demand from the tech sector and educational institutions, providing reliable income streams for property investors.

How easy is it to resell property in Daejeon, and what's the average time it takes to sell?

Daejeon's property resale market shows good liquidity, particularly for apartments in desirable districts.

Properties in Yuseong-gu and Seo-gu typically sell within weeks to a few months, thanks to strong demand from incoming tech professionals and families. The active transaction volumes in these areas indicate healthy market dynamics and buyer confidence.

Properties in less popular districts like Dong-gu or Jung-gu may take several months to sell, especially if they require significant renovations or are priced above market rates. However, well-maintained properties in these areas still find buyers relatively quickly.

The overall market activity has increased significantly, with apartment purchase transactions in Daejeon rising from around 8,000 in 2022 to approximately 13,000 in 2023, indicating improved market liquidity.

Factors affecting sale speed include property condition, pricing strategy, location within the district, and overall market conditions. Professional staging and competitive pricing remain crucial for quick sales across all districts.

What government policies, taxes, or restrictions currently affect property buyers in Daejeon?

Property buyers in Daejeon face several taxes and regulatory requirements that vary based on purchase type and buyer status.

Capital gains tax applies to property sales, with rates depending on ownership period and property type. Acquisition tax must be paid at purchase, typically ranging from 1-3% of the property value depending on the buyer's circumstances and property use.

Second property purchases or investment properties face stricter mortgage requirements, with higher down payment requirements and more stringent income verification processes. The debt-service ratio (DSR) regulations implemented in 2024 affect lending capacity for many buyers.

New policies reflecting higher construction costs are supporting elevated new property prices, while government initiatives focus on transparent pricing and streamlined dispute resolution processes. Additional costs may apply based on the property's age and specific characteristics.

Foreign buyers face additional regulations and may require special permits for certain types of property purchases, particularly in areas near research facilities or government installations.

How do living conditions and amenities vary across Daejeon's main neighborhoods?

Living conditions and amenities vary significantly across Daejeon's districts, with clear distinctions in infrastructure quality and lifestyle offerings.

Yuseong-gu offers the most modern living environment, with excellent amenities including the famous Yuseong Hot Springs, proximity to major research institutions, and family-friendly facilities. The district benefits from recent developments and superior public transportation connections.

Seo-gu provides excellent family amenities with new residential complexes featuring libraries, cafes, fitness centers, and community spaces. The area has extensive green spaces and shopping facilities, making it highly attractive to families with children.

Jung-gu and Dong-gu represent more traditional urban living with older infrastructure but ongoing urban renewal projects. These areas offer authentic local culture and more affordable living costs, though amenities may be less modern than in newer districts.

Transportation infrastructure varies, with newer districts having better subway and bus connections, while older areas may require more reliance on personal transportation for convenient access to city-wide amenities.

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What budget ranges make the most sense depending on whether you want to live in the property, rent it out, or resell later?

Budget allocation in Daejeon should align closely with your investment strategy and intended use of the property.

For owner-occupiers, budgeting 6-8 million KRW per square meter allows access to quality properties in central or semi-central locations within Yuseong-gu and Seo-gu. This range provides good lifestyle amenities and maintains strong value retention potential.

Buy-to-let investors should focus on the 4-5.5 million KRW per square meter range in more affordable districts, where rental yields are typically higher and entry costs are manageable. Properties in this range often attract stable tenant demand from young professionals and students.

Buy-to-flip strategies work best with properties in the 6-10 million KRW per square meter range, focusing on new supply in popular districts or projects near major infrastructure developments. These properties offer the highest appreciation prospects but require larger initial investments.

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

Where are the upcoming infrastructure projects or developments in Daejeon that could impact property values?

Several major infrastructure projects are set to significantly impact Daejeon's property values over the next 5-10 years.

The ongoing expansion of Daedeok Science Town represents the largest development initiative, with additional research facilities and corporate research centers planned. This expansion will likely boost property values in Yuseong-gu and surrounding areas as more high-income professionals relocate to the city.

Transportation improvements include new subway extensions and the proposed tram line system, which will better connect different parts of Daejeon and improve accessibility to the city center. These projects particularly benefit properties along planned routes.

Urban renewal projects in Jung-gu and Dong-gu could drive future property value increases as older areas are modernized and redeveloped. The Yuseong Leisure Town project, featuring water theme parks, spa resorts, and recreational facilities, will enhance the area's tourism and residential appeal.

The International Science and Business Belt initiative continues to attract international companies and research institutions, creating sustained demand for both residential and commercial properties throughout the city.

If you wanted to buy today, which property type and district would be the smartest choice depending on whether your goal is living, renting, or flipping?

The smartest property choice in Daejeon depends heavily on your primary objective and risk tolerance.

For living purposes, modern apartments in Yuseong-gu or Seo-gu represent the best choice, offering excellent quality of life, proximity to amenities, and strong value retention. These areas provide the best balance of lifestyle benefits and investment protection.

Rental income investors should target compact apartments or well-maintained villas in semi-central districts like Jung-gu, where purchase prices remain reasonable but rental demand stays consistent. Properties near universities or business districts typically achieve the best yield-to-investment ratios.

Property flipping opportunities are strongest with pre-sale or new supply units in Yuseong-gu and Seo-gu, or early-phase redevelopment projects near expanding tech and transport hubs. These properties offer the highest appreciation prospects but require careful timing and market knowledge.

Overall, Daejeon's property market continues trending upward with prime apartments leading appreciation, making it an attractive alternative to Seoul's expensive market for both investors and residents.

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

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 Property Market Analysis
2. Bamboo Routes - Daejeon Real Estate Market
3. MK Real Estate - Daejeon Market Report
4. Bamboo Routes - Daejeon Market Trends
5. Numbeo - Daejeon Property Investment Data
6. Statista - Daejeon Apartment Transactions
7. Bamboo Routes - Hottest Areas in Daejeon
8. Bamboo Routes - South Korea Price Forecasts