South Korea offers various real estate opportunities for foreigners, whether you want to rent an apartment or purchase property. However, the legal process, documentation, and restrictions differ from other countries.
This guide explains everything foreigners need to know about renting or buying real estate in South Korea.
1️⃣ Can Foreigners Buy Real Estate in South Korea?
✅ Yes, foreigners can legally purchase real estate in South Korea, including apartments, houses, and land.
Since 1998, under the Foreigner's Land Acquisition Act and the Registration of Real Estate Act, foreigners enjoy the same property ownership rights as South Korean citizens, with some restrictions in military or protected areas.
2️⃣ How to Buy Property in South Korea as a Foreigner
Step-by-Step Process:
✔ Find Property
- Use real estate agencies (budongsan 부동산)
- Online platforms: Naver Real Estate, Zigbang, Dabang, etc.
✔ Legal Checks
- Verify property ownership and any outstanding mortgages.
- Check for zoning restrictions or limitations in protected areas.
✔ Contract Signing
- Sign a Sale and Purchase Agreement (매매계약서).
- Typically pay a deposit (10% of the purchase price).
✔ Report Acquisition
- Foreigners must report real estate acquisition to the local government within 60 days of signing the contract.
✔ Register Ownership
- Submit required documents to the district registry office.
- Pay acquisition tax and registration fees.
3️⃣ Can Foreigners Rent Property in South Korea?
✅ Yes, foreigners can rent apartments, officetels, houses, or rooms.
South Korea offers three main types of rental contracts:
1. Jeonse (전세) - Lump-Sum Lease
- Tenant deposits a large sum (usually 50-80% of property value).
- No monthly rent; full deposit refunded at the end of the contract (usually 2 years).
- Popular in South Korea but requires significant capital.
2. Wolse (월세) - Monthly Rent
- Smaller deposit compared to Jeonse.
- Monthly rent payments required.
- More flexible for foreigners or short-term stays.
3. Short-Term Leases
- Fully furnished options available.
- Ideal for students, expatriates, or business travelers.
- Duration ranges from a few months to 1 year.
4️⃣ Documents Required for Foreigners
When renting or purchasing real estate, foreigners typically need:
- Valid passport
- South Korean visa or residence card
- Proof of funds (for purchases or Jeonse deposits)
- Tax Identification Number (for ownership registration)
- Translator or legal representative (recommended, but not mandatory)
5️⃣ Important Tips for Foreigners
✔ Use licensed real estate agents to avoid scams.
✔ Carefully review contracts, preferably with a translator.
✔ Ensure the property is registered legally and free of disputes.
✔ Be aware of taxes: acquisition tax, property tax, and capital gains tax apply.
✔ Some military or cultural protection zones may restrict foreign ownership.
South Korea is open to foreign real estate transactions, but understanding the legal process is essential.
Whether you're planning to live long-term, invest, or purchase property for personal use, seeking professional guidance can make the process smoother.
