Korean Job Discussion Forums

[tottenhamtaipeinick]

Just wanted to know. What is a lease deposit in Korea for exactly? Because lease in my country is associated with Commercial property etc. I am guess it is the same as a bond. Because an apartment says $20 mil lease deposit. yet rent is 800,000 a month? Does the landlord give all the deposit back at the so called end of the lease 6-12mths? Seems like a lot to give a landlord especially since rent is so low.... I am totally confused :S

[fugitive chicken]

the answer is yes. You are required to give a lease deposit. Generally the lease is for 1-2 years, and they will give it back at the end. It is high, and seems a bit much to me, but thats the way it is.

[tottenhamtaipeinick]

BAHAHA you cant be serious? you pay $18,000 (US) yet rent is like $180 a week... honestly wtf! That is 100 weeks rent, So i want to rent a place for 6 mths (26 weeks) and the guy wants $20 million won for deposit..... yet on top of giving him 4 times the length I am staying... yet still owe him $800,000 every month?

I would rather keep the $18,000 I have in shares then give it to some stingy landlord who would probably take most of it......

Is there a reason it would be so high and anything I should be careful of?

[GoldMember]

You don't always get the Key Money back. Beware!

[tottenhamtaipeinick]

Last time I lived in Taipei i rented a really really nice studio apartment in the middle of taipei for around $1000 US a month, it was brand new on the inside and the best location....yet the landlord only ask for 2 mths rent as deposit and gave it all back. Even though I ruined a few things (some pretty crazy nights)!!!!..... wtf is up with Seoul... an $18,000 is a deposit if you want to <beep> buy the place not rent it!

[Gaber]

Usually wolsae deposits start at 10 mil, and for every extra 10 mil you add you get 100k a month off your rent. Works out to a 12% rate of return, which is pretty nifty. We put 30 mil down on our place, taking if from 1.5 mil a month down to 1.2

[isthisreally]

I wish everywhere had rental systems like Korea. My gf put down W65,000,000 and pays no rent for her 2 bedroom, living room apartment. Without that deposit she'd be paying probably 600,000 won or more per month. Think about the rate of return on that deposit.

[Drew345]

It's not really a "deposit" the way we think of it in the west. In America we make a deposit which is big enough to cover any apartment damage or unpaid rent; usually 2 months rent. In Korea the deposit is really more of an unsecured loan to a guy you don't know so that he can pay back someone else money he owes, and in return you can stay in his apartment for a reduced rate.