Foreigner Korea real estate — buying, jeonse & wolse guide (2026)

Real estate for foreigners in Korea at a glance

Foreigners are entitled to buy and lease real estate in Korea. Under the **Foreign Land Act**, purchase transactions use an Alien Registration Card or residence certificate; after the contract, the buyer must file a foreign land acquisition report within 60 days. Some areas (military protection zones, environmental preservation zones) require advance permits or notifications, but most general areas allow free transactions. Three main lease forms exist in Korea. **Jeonse**: A large deposit (50–70% of the property value) is paid up front with no monthly rent; the deposit is fully refunded at the end of the contract. **Semi-jeonse**: A mid-sized deposit plus a small monthly rent. **Wolse**: A small deposit plus a higher monthly rent (most commonly used by foreign residents). All leases are protected under the **Housing Lease Protection Act**, equally for foreigners. Core lease protection rests on the **fixed-date stamp (확정일자)** and the **jeonse deposit return guarantee (HUG)**. With a fixed-date stamp you gain perfected rights and priority repayment, recovering deposits ahead of other creditors if the landlord defaults. HUG's guarantee directly returns deposits to tenants if the landlord cannot. This guide covers buying and leasing procedures, Foreign Land Act reporting, taxes (acquisition, property, capital gains), lease protection, and frequently asked questions.

Four transaction types

• Purchase

  Real estate purchase (ownership transfer)

  Buying apartments, officetels, or land to acquire ownership. ARC + foreign land acquisition report (within 60 days) required. Acquisition tax (1–12%), registration tax, and brokerage fees apply separately. F-5 permanent residents are treated like nationals.

• Jeonse

  Jeonse (lump-sum deposit lease)

  Pay 50–70% of property value as a lump-sum deposit with no monthly rent (typically 2 years). Deposit is fully refunded at the end. Heavy for foreign residents but no recurring rent. Strongly consider the HUG jeonse deposit guarantee.

• Wolse

  Wolse / semi-jeonse (deposit + monthly rent)

  Small deposit (KRW 10–50M) + monthly rent (KRW 500K–1.5M). Most commonly used by foreign residents. Semi-jeonse adjusts the deposit/rent mix by negotiation. Protected under the Housing Lease Protection Act.

• Short-term

  Short-term rentals (Airbnb, etc.)

  Shared accommodation (Airbnb, Yanolja, etc.). Short-term rentals of residential properties require separate registration/permits (Foreign Tourist Urban Lodging Business, etc.). More complex regulation/taxation than regular residential leases.

Lease contract procedure (5 steps)

Standard process for foreigners signing jeonse/wolse contracts in Korea. The purchase process is similar but adds foreign-land-acquisition reporting and acquisition tax.

1. 11. Property search and viewing — Use Naver Real Estate, Zigbang, Dabang, Budongsan114. English service: Korea Real Estate. Engaging a licensed broker is safer for price/legal checks.
2. 22. Registry check — Before deciding, check the property registry (Internet Registry Office or via broker) for mortgages, attachments, and seizures. Critical to priority in deposit recovery.
3. 33. Contract — With the broker present, prepare a standard lease contract. Include deposit, rent, term, and special conditions. Pay the down payment (10% of deposit). Foreigners attach ARC and passport copy.
4. 44. Balance, move-in, and transfer report — Pay the balance, receive keys, move in. Within 14 days, file **transfer-of-residence registration** (community center) and obtain the **fixed-date stamp**. Foreigners update the ARC address at the same time.
5. 55. Lease report and guarantee — Leases above KRW 60M deposit or KRW 300K monthly rent must be reported to RTMS within 30 days. HUG deposit guarantee is optional but strongly recommended.

Housing Lease Protection Act and HUG deposit guarantee

**Housing Lease Protection Act** — Protects all tenants including foreigners. Key safeguards: • **Perfected tenancy** — Activates the day after move-in plus transfer registration. Your rights survive a change of landlord. • **Priority repayment** — With transfer registration + fixed-date stamp, you recover deposits ahead of other creditors in bankruptcy or auction. • **Minimum 2-year term** — Guaranteed. Even if the landlord proposes only 1 year, the tenant can stay for 2. • **Right to renewal** — Introduced in 2020. Tenants may request one 2-year renewal (total of 4 years), with rent increases capped at 5%. **Jeonse deposit return guarantee (HUG)** — Subscribing with Korea Housing & Urban Guarantee Corporation (HUG) means HUG directly returns the deposit to the tenant if the landlord fails to do so. Available to foreigners. Requires transfer registration + fixed-date stamp + deposit limits (KRW 700M metro / 500M elsewhere). Premium is about 0.1–0.2% of deposit per year. **Lease reporting system** — Introduced in 2021. Leases above KRW 60M deposit or KRW 300K monthly rent must be reported to RTMS (rtms.molit.go.kr) within 30 days. Reporting by the tenant automatically grants a fixed-date stamp.

Frequently asked questions

Can foreigners buy real estate in Korea?

Yes. Under the Foreign Land Act, general areas are freely tradable. Some restricted zones (military protection, environmental preservation) require advance notification or permission. After purchase, file a foreign land acquisition report at the local government within 60 days. F-5 permanent residents are treated like nationals.

Jeonse, wolse, or semi-jeonse — which is best?

Short-term foreigners (1–2 years) often prefer wolse — smaller upfront, easier upon departure. Long-term residents with funds may prefer jeonse — no monthly burden. Semi-jeonse is a middle option. Decide based on funds, length of stay, and landlord trust. Always consider the HUG deposit guarantee for jeonse.

What if I can't get my jeonse deposit back?

Step 1: Tenants with fixed-date stamp + transfer registration recover deposits ahead of other creditors. Step 2: HUG guarantee holders receive their deposit directly from HUG. Step 3: Without either, file a lease registration order and pursue the landlord's assets via attachment/auction. Foreigners are equally protected.

How do I file the foreign land acquisition report?

Within 60 days of the purchase contract, file with the local government's foreign-land-affairs office. Submit the contract, ARC, and passport copy. Missing the deadline incurs a fine (up to KRW 3M). Brokers or judicial scriveners can handle it for you.

What is a fund-raising plan (자금조달계획서)?

Buyers (foreign or local) in regulated areas must prepare a fund-raising plan (sources of own funds and loans) at signing. Funds remitted from abroad require remittance proof (bank receipts, FX declarations). False reporting incurs fines.

What happens to my property after my visa expires?

Real estate held by foreigners remains regardless of visa expiration or departure. After the ARC is canceled, ownership remains under home-country address/passport info, but reissuing an ARC or residence certificate makes sales/leases easier. Property/comprehensive tax continues to be billed — register auto-payment.

Does the 1-household 1-home capital gains exemption apply to foreigners?

The 1-household 1-home exemption (KRW 1.2B + 2 years holding + 2 years residence in regulated areas) applies to Korean residents (183+ days). Foreigners who qualify as residents can use it equally. Non-residents face the general capital gains rates (or 19% separate).

What about taxes if I earn rental income?

Foreign landlords with Korean property must report rental income in Korea. Under KRW 20M/year can elect separate taxation (14%) or aggregated. Non-resident foreigners are classified as Korea-source income and flat-rate at 19%. When rent is received into a Korean bank account, NTS may auto-detect — verify.

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