Housing Terms and Guidelines

Housing Terms and Guidelines

Jeonse 전세 (Key money)

This is an old traditional rental system in Korea. Basically this system allows you to recieve your whole deposit money back once you move out. This system has slowly decreased, but sometimes still prevails in the 주택 (one or two stories house) rental.

• Deposit is returned upon termination of contract (without interest)
• No monthly payments
• Contract period of minimum 1 year or 2 year in average.
• 10 percent of the total deposit should be paid when signing the contract. The remaining should be paid when you move in.
• Tenants are responsible for maintenance and utilities and should be all settled when moving out.

Wolse 월세 (Monthly payment)

There are two kinds of monthly payments:

1. Deposit to be paid to the owner for the term of lease, amounting around 10 to 20% of the monthly rent. You also have to pay the rent fee every month. Depending on the contract, your deposit may be returned back to you upon termination of contract.
2. Advance payment of the monthly rent at a set date of every month is required for the entire lease term. No deposit is required. This system is popular among migrant workers who cannot afford huge deposit or key money.

Signing Contracts:

1. There are many available budongsan (real estate companies) listed on newspaper. You can find one yourself or use the service of a real estate agency registered by the government. (A real estate agent will provide information and services such as registration and contract). You will need to show your Alien Registration Card as proof of identification.
2. When you sign the contract, write it in English. Any documents written by foreigners in English have a stronger legal force under the Housing Rental Protection Act by the government.
3. You have to report change of address to the immigration within 14 days of your moving.