Korean Job Discussion Forums

Lekker · Joined: 09 Feb 2008 Location: Seoul

This is Korea. Everything that makes sense and in accordance to the rules kind of goes out the window. Especially if you are a foreigner.

Pete82 · Joined: 12 Apr 2008

CeleryMan · Joined: 12 Apr 2007 Location: Seoul

Sweet P, you were born to be "taken" just roll with it my dude.

Pete82 · Joined: 12 Apr 2008

Milwaukiedave · Joined: 02 Oct 2004 Location: Goseong

My wife says the real estate agent is about 4% of the total amount you would pay for the amount of deposit that would be paid without a monthly fee. For example, if you rented a place and the total amount without a monthly payment is 70 million won, even if you put down 20 million and pay a montly fee of 400,000 won rent, the real estate agent's fee is based on the 70 million won fee, which would be 280,000 won. Now you CAN haggle a little, we got ours a little lower.

I hope that makes sense.

Pete82 · Joined: 12 Apr 2008

chuckster · Joined: 12 Feb 2007

Like mentioned above, the agent fees will be calculated using the deposit and the total value of the rent that will be paid during the contract.

http://english.gangnam.go.kr/03_community/sub02_02.jsp

This link sort of helps, but to give you a better idea, this is how I was told to figure out the legal amount I needed to pay for one of my previous places....

(25,000,000 deposit + 750,000rent x 12months) x .004 = fee
(34,000,000) x .004 = 170,000

The agent originally asked for 500,000 so I told him to get stuffed. Told him that the legal amount was 170,000. He argued with me for a bit, but eventually gave in because he knew I didn't have to pay anymore.

He also told me that the 500,000 was his way of starting the negotiation - utter crap in my books.

In the end, they will ask for more than the legal amount, but they can't force you to pay more than the legal amount.

Oh, and paying on 100% of the key money without rent (also knows as jeonse in Korea) is another way they try to scam you into paying more.... Don't pay that much less you are doing Jeonse!

Pete82 · Joined: 12 Apr 2008

pkang0202 · Joined: 09 Mar 2007

Current place is 10,000,000 deposit and 600,000w a month

Somehow they did the math and ended up being like:

70,000,000 * .04 = 280,000w

I thought that was a mistake, so I asked my cousin. He didn't know the amount the real estate office was charging me. I gave him my deposit and rent amount, and he came up with the same 280,000w.