Prices of apartments across the nation dropped at the steepest pace in about five years in the second quarter.

According to data by the Bank of Korea on Sunday, apartment prices in South Korea decreased by point-three percent in the April-June period from the previous quarter.

That's the largest drop since the first quarter in 2013, when it slipped point-seven percent. It also marks the first on-quarter drop in about two years.

Sharp drops in the prices of local apartments in Ulsan and South Gyeongsang Province pulled down the overall prices, with the prices, excluding those in Seoul and its surrounding areas, plunging point-nine percent.

However, apartment prices in Seoul grew by point-eight percent during the cited period, keeping the upward pace for the fourth consecutive year since the second quarter in 2014. Prices in Daegu, Sejong and Gwangju also posted slight growth.

The central bank projected the overall slowdown in apartment prices will continue into the second half of the year, due to an increase in new apartments and the rising interest rate.