South Korea Landlord-Tenant Laws: Complete Guide for Property Owners

South Korea's rental market features the unique Jeonse (lump-sum deposit) and Wolse (monthly rent) systems. The Housing Lease Protection Act (HLPA) provides powerful statutory protections, including the "2+2" renewal right.

1. The Jeonse and Wolse Systems

• Jeonse (Lump-sum): The tenant pays a large deposit (50-80% of property value) and no monthly rent. The landlord returns the full principal at the end of the term.
• Wolse (Monthly): A smaller deposit plus monthly rent payments.
• Ban-Jeonse (Hybrid): A moderate deposit combined with reduced monthly rent.

2. Statutory Renewal Rights (2+2)

Tenants have a one-time right to request a 2-year extension after their initial 2-year lease (totaling 4 years). Landlords can only refuse if they or their immediate family intend to move into the property, or for serious tenant breaches.

3. Rent Increase Caps (5%)

For contract renewals (including the 2+2 extension), rent or deposit increases are capped at 5%. Landlords cannot implement another increase within one year of a prior adjustment. This cap does not apply to new contracts with different tenants.

4. Eviction and Arrears

Landlords can terminate a lease if rent is two months or more in arrears. Termination also applies for unauthorized subletting or serious property damage. Self-help evictions (changing locks) are strictly illegal.

5. Maintenance and Repair

• Landlord: Responsible for structural integrity, boiler systems, plumbing, and major electrical.
• Tenant: Responsible for consumables (filters, bulbs) and minor damages caused by negligence.