As real estate transactions increasingly take place through digital property platforms and the proptech sector continues to grow, tensions with the Korea Association of Realtors are also intensifying. (Image courtesy of Yonhap)
SEOUL, Nov. 26 (Korea Bizwire) — South Korea’s real estate slowdown has pushed the number of active licensed realtors below 110,000 for the first time in more than five years, as prolonged policy tightening and weak housing demand reshape the industry.
According to data released Wednesday by the Korea Association of Realtors, 109,979 real estate agents were operating nationwide at the end of October, marking the lowest figure since August 2020. Although more than 551,000 people nationwide hold realtor licenses as of last year, only about one in five currently run an office.
The decline comes as the government’s sweeping housing-demand suppression measures—known as the June 27 and Oct. 15 packages—have sharply curtailed transaction volumes.
The June rules capped mortgage loans for homes in the greater Seoul area at 600 million won, while the October package designated all 25 districts of Seoul and 12 areas in Gyeonggi Province as regulated zones, placing further limits on borrowing and land transactions.
A spokesperson for the association said the broader slowdown has touched every corner of the market. “Sales and rental transactions have fallen, and even land deals in the provinces have slowed. The nationwide real estate distribution market has been in a prolonged slump,” the official said.
The number of closures and temporary suspensions of realtor offices has exceeded new openings for 33 consecutive months, a trend that began in February 2023.
New office openings fell to a record low of 583 in August—the first time the monthly figure dropped below 600 since the association began tracking the data in 2015—and remained in the 600 range in September and October.
The sector’s cooling is also reflected in the shrinking pool of prospective agents. Last year’s national licensing exam drew 148,004 applicants, the lowest since 2016 and a steep decline from the record 278,847 test takers in 2021.
Ashley Song (ashley@koreabizwire.com)
