Consumer confidence in South Korea’s housing market tumbled to an all-time low in August as the climbing interest rate has dampened real estate demand, leading to a fall in housing prices, data showed Thursday.

According to data released by Korea Research Institute for Human Settlements (KRIHS), nationwide real estate consumer sentiment index reached 89.4 in August, down 4.2 points from a month ago. This was the lowest since the institute began compiling related data in July 2011.

The monthly index is based on a survey on 6,680 residents of 152 counties and cities and 2,338 real estate agencies. A reading above 100 means that more people are confident about a hike in real estate prices and transactions from a month ago while vice versa for a reading below 100.

The real estate consumer sentiment index for the Seoul and surrounding metropolitan areas also hit an all-time low of 88.0 in August, down 4.4 points from a month ago. The index for Seoul alone stood at a record low of 88.3.

“Housing demand has weakened sharply amid growing concerns about further rate hikes,” Korea Real Estate Board said. The fall in housing and land prices accelerated in an absence of buying demand during the Chuseok holiday, it added.

According to Korea Real Estate Board, apartment prices in Seoul fell 0.16 percent in the Sept. 12 week versus 0.15 percent fall a week earlier. It is the largest decline since 0.17 percent in December 2012.

Housing prices declined in all 25 districts in Seoul for a fifth week in a row.

By Park Joon-hyung, Yeon Gyu-wook, and Lee Eun-joo

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