A view of Marine City in Haeundae, one of Busan’s most prestigious residential areas. (Yonhap)
BUSAN, July 21 (Korea Bizwire) — As housing market polarization between metropolitan and regional areas intensifies, Busan is witnessing a stark internal divide in apartment prices, with the gap between its highest- and lowest-priced units reaching a record high over the past decade.
According to data from KB Real Estate analyzed by real estate platform Budongsan Ziin and Professor Kang Jeong-kyu of Dong-A University, the price quintile ratio — a key measure comparing average prices of the top 20% and bottom 20% of homes — rose to 6.3 in Busan as of June 2025. That’s up from 3.7 in June 2015, indicating a sharp rise in inequality within the city’s housing market.
The average price of the top 20% of apartments in Busan now stands at ₩825.4 million, compared to ₩130.8 million for the bottom 20%.
Among South Korea’s six major metropolitan cities, Busan recorded the highest quintile ratio, outpacing Ulsan (6.2), Daegu (5.4), Gwangju (5.3), Daejeon (5.1), and Incheon (4.5).
Further analysis using per-pyeong (3.3㎡) pricing shows Busan’s gap nearly doubling from a 2.12 ratio in July 2015 to 4.08 in July 2025. The disparity is most pronounced in the affluent Haeundae district, where the ratio has surged to 4.45, the highest among 125 local governments including Seoul and Sejong. In Haeundae, top-tier apartments average ₩29.7 million per 3.3㎡, compared to ₩6.68 million for the lowest tier.
Despite Busan’s broader housing market remaining in a 37-month decline — with prices dipping 0.02% in the second week of July — premium areas continue to defy the trend. Suyeong District marked its third straight week of price increases, while Haeundae showed signs of stabilization after two weeks of rebound. Nearby Nam-gu and Gijang County also maintained price levels.
Rental prices have risen more visibly. Overall apartment jeonse (long-term deposit leases) in Busan increased by 0.05% week-over-week, with Suyeong and Haeundae seeing sharper gains of 0.27% and 0.10%, respectively.
High-rise apartment buildings located in Suyeong and Nam Districts of Busan. (Yonhap)
Amid growing interest in luxury housing, the Le El River Park Centum project in Haeundae launched pre-sales on July 21, while Summit Limited Namcheon in Suyeong is set to begin sales in early August.
“The concentration of demand in high-preference districts is accelerating polarization within Busan,” said Prof. Kang. “With overall demand declining due to low growth and population decreases, the success of high-end apartment launches in Haeundae and Suyeong will be critical indicators of the market’s future direction.”
M. H. Lee (mhlee@koreabizwire.com)
