Strict government lending regulations and reduced loan limits have driven average apartment jeonse deposits in Gangwon Province higher than the levels seen during the region’s previous real estate market boom, according to the August 2026 National Housing Price Trends report released by the Korea Real Estate Board.
Gangwon Jeonse Prices Surpass 2020 Boom Levels
Average apartment jeonse prices across Gangwon Province reached 1억4,181만원 in August 2026, marking an increase of 2,675만원 compared to the average of 1억1,506만원 recorded during the same month in 2020. City-level data shows that Chuncheon recorded the highest average jeonse deposit in the province at 1억9,523만원, representing a jump of nearly 5,000만원 since 2020. Gangneung followed at 1억5,513만원, while Wonju recorded 1억5,304만원, according to the Korea Real Estate Board.
Lending Limits Trigger Jeonse Inventory Shortages
The surge in jeonse deposits stems from a shortage of available jeonse listings caused by tightened government mortgage rules. Data from the proptech platform Asil shows that total apartment jeonse listings across the province stood at 1,776 units as of August 25, 2026, dropping 8.3% over a single month. This decline marks the second-steepest drop in available listings nationwide, trailing only Jeju at 11%, according to Asil.
Actual Transaction Prices Jump Across Major Cities
Actual market transactions reflect the inventory crunch, with contract prices for apartments rising by tens of millions of won within a month. A lease for an 84-square-meter unit at Apartment A in Chuncheon climbed from 3억2,000만원 on July 27 to 3억8,000만원 in August. Similar 84-square-meter apartments in Sokcho and Wonju also posted transaction price spikes of 6,000만원 over a single month, based on local market records.
Mortgage Rates Near 7 Percent Amplify Buyer Strain
As lease deposits climb rapidly, prospective buyers and tenants face mounting financial pressure from mortgage borrowing costs approaching 7%. Financial sector data indicates that five major commercial banks—KB Kookmin, Shinhan, Hana, Woori, and NH Nonghyup—offered five-year fixed-rate mortgage loans ranging from an annual 연 4.90% to 6.88% as of August 23, 2026.
“Following the October 15 measures, lending has been tightened and buying homes with jeonse leases has also become difficult, which is increasing jeonse and wolse price increases and market anxiety,” said Park Won-gap, senior real estate specialist at Kookmin Bank, emphasizing the need for government interventions to stabilize market sentiment.
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