Related laws

• In Korea, the business practice in real estate dealing is to deal both land and building together.
• ‌Applying laws differ according to the visa status and the purpose of purchasing of the foreigner who intends to trade real estates

Purchasing a house for residence

• Choose real estate agent very carefully, going over their experience and credibility.
• The agent will take care of all steps such as ownership transferring by proxy.
• ‌Can write in English contract.
• You need to check the register book before making a contract. (When visiting a local registry office: Alien registration card and passport are required)

Leasing house on a deposit basis (Deposit system)

• After conclusion of a 1 to 2 year lease contract, pay large deposit.
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• After contract expires, the entire deposit will be fully returned.
• ‌When making a contract, tenant need to pay first 10% down payment of deposit.
• Tenant should keep the house in same condition as when resident first moved in.

Monthly rent

• ‌After conclusion of a 1 to 2 year lease contract, the tenant should pay set (smaller than lease) deposit and monthly rental fee.
• ‌‌The amount of the deposit may be 10 or 20 times as much as the monthly rental fee.
• ‌‌When making a contract, the tenant should pay 10% down payment of deposit.
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• ‌When moving in, tenant should pay the balance and rental feel for the 1st month.
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• ‌The deposit is fully returned after the contract expires in principle. (In the event that there is an exceptional situation such as failure of monthly rental fee payment, the amount of the deposit subtracted by the outstanding rental fees will be returned)

Leasing house on a deposit basis (Deposit system)

• In order to avoid trouble, you must confirm deposit money, payment options of rent, real estate fee, the date of move and the contract period.
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• After the agreement of the contract condition is done between a landlord and a tenant, both a landlord and a tenant should make a contract and keep a copy each.
• ‌The cost for moving must be prepared in advanced. (Expense of moving and other cost for moving)
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• After move, within 14 days the report of residency change should be done to gu office public service center or immigration office. Required documents: Passport, certificate of alien registration, rental contract
• A registration office or an administrative district's welfare center should be visited and received a definite date on the contract. Required documents: Certificate of alien registration which is changed address, rental agreement.
• Reading a certified copy of the register, related information should be checked.
• It is safe that the deposit of the down payment, middle payment, balance should be transferred to landlord's account who makes the contract.

What is a definite date?

• ‌It is a proved date that there is a rental contract.
• ‌After affixing a seal of institute which has a public confidence to a rental contract. the number on definite date sheet must be written on the contract.
• ‌It can be public documents that is able to be returned deposit money by preferential payment right

Why is it important to receive an inconvertible date?

• ‌Rental relation will bed once the rental expected house is sold by auction or disposition for failure to pay. In this case the inconvertible date becomes a mandatory requirement to get a rent deposit and a deposit.

Insurance guaranteeing the return of lease deposits

• ‌To insure against not receiving the lease deposit back, a tenant may buy the insurance guaranteeing the return of lease deposits at HUG (www.khug.or.kr)

Real estate agency brokerage fees

• ‌House refurbishment