This Small Apartment Can’t Be Worth $1 Million…Can It?
House prices are on the rise in Korea. The average apartment in Seoul is now $1 million dollars. That’s a lot of money, but what do you get for your hard-earned cash and how well does it compare to two other cities; Bristol, UK and Madrid, Spain?
South Korea is in crisis mode. People are not having sex. Or at least, they’re not having babies. The birth rate is plummeting. According to the Hankyoreh newspaper, “There were 272,400 babies born in South Korea last year, down 10% from 2019 (302,700).” That’s a 10% drop in just two years. The government is doing its best to reverse the trend, giving subsidies to new parents and making childcare affordable but nothing seems to be working.
Soaring Real Estate Prices
Well, you know what? You can’t put a bandaid on a haemorrhaging open wound. Treat the cause not the symptoms. Life here is becoming unaffordable for huge swathes of the population (see my article on Korean grocery prices for further perspective on this issue) and one of the biggest indicators of this is housing. This year in Seoul, the average apartment price is expected to top $1 million. This is in country where the average income is around $40,000 per year but only $20–25,000 per year for graduates and young professionals looking to get married and start families. Clearly, on a $20,000 salary, a million dollar pad is an utterly unobtainable pipe dream. No wonder so many are choosing not to procreate. How can they possibly afford to bring up children on top of soaring housing prices and grocery costs?
Seoul
With that little rant out of the way, what exactly does $1 million dollars get you in Seoul? Have a little look at the floor plan below for a better idea:
This is the layout of a typical Korean apartment in a high-rise apartment complex. Depending on the area, for a million bucks, you’ll likely get three bedrooms and two bathrooms. In modern apartments, the rooms are a reasonable size, but there’s no garden or outside space and you’ll probably find yourself on the 27th floor with a view into the apartments in the neighbouring tower block. When it gets dark, you’ll be able to see the old man across the way in his underpants as he squats on the floor watching soap operas on his giant 80 inch Samsung TV. You’ll be able to watch them too, all from the comfort of home!
So, would you pay $1 million for an apartment like this? What does the same money get you in other places? For the sake of this article, I’ve chosen two other random places I’ve lived- Bristol, UK and Madrid, Spain to see how much real estate you can get there for around $1 million.
Bristol
£1 million in Bristol, England (I know, I know, not USD but I’m sure you could haggle the price down to near enough) will buy you this splendid 5 bedroom detached home set in half an acre of beautifully manicured grounds. Plenty of space for friends and family, fresh air and lovely views of nature as you sit quietly reposing in the garden. For any interested parties out there, this house is currently on the market and being sold by Ocean estate agents.
Madrid
Just north of the Spanish capital, Madrid, is the suburb of Majadahonda where under €1 million will get you this fabulous detached home complete with private pool and enough space to swing a tiger. You can lounge on the sun beds or cook up a storm on the barbecue of an evening as you sip a crisp glass of the local white wine while watching the sun set. This house is currently being marketed by Lucas Fox International Properties and you’d better snap it up quick because once I get enough reads on Medium, I might just buy it myself!
Final Thoughts
I’m unlikely to ever be able to afford to live in a million dollar house. I’m an English teacher and a writer by trade so unless I win the lottery, I’ll have to make do with my rented 3 bedroom flat. However, I know that if I ever did want to get on the property ladder, there are still some options open to me back in the UK and in places like Spain. Sadly, those doors are well and truly closed here in Korea and unless I hit it big on Medium in the near future, I’ll be staying firmly put right where I am (so read my articles, ya hear?!).
Thanks so much for reading this article. Please find some others below that I hope you’ll also enjoy.