Free tool

Jeonse deposit safety checker

If a landlord defaults, secured lenders get paid first. Check whether your deposit would survive an auction.

Deposit safety checker

Check if your jeonse deposit is at risk. Enter the property value, the mortgage registered on the building, and your deposit.

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Estimated market price. Check Naver Real Estate or KB Liiv for recent sales nearby.

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From the building's registry (등기부등본). Look for 근저당권 (mortgage) entries. Enter 0 if none.

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The 70% rule is a commonly used guideline, not a legal standard. Auction discounts, additional liens, and other tenant deposits can affect actual recovery. Always obtain the full registry (등기부등본) and consider consulting a licensed real estate attorney before signing.

Why jeonse deposits can be lost

In Korea, jeonse fraud and landlord insolvency have left thousands of tenants unable to recover their deposits. The core risk is simple: when a landlord defaults on their mortgage, the bank repossesses the property and it is auctioned. Banks and secured creditors are paid first. Tenants with jeonse deposits are unsecured creditors and receive whatever is left. In many cases, that is nothing.

The 70% rule explained

The widely used guideline is that the combined total of the building mortgage and your deposit should not exceed 70% of the property value. This leaves a 30% buffer to account for auction discounts, legal fees, and other costs before your deposit is at risk.

(Mortgage + your deposit) ÷ property value ≤ 70%

Properties in Korea typically sell at auction for 70–90% of market value. A 70% encumbrance threshold means your deposit is still recoverable even at a significant auction discount.

How to get the building registry (등기부등본)

The building registry is a public document you can obtain for around ₩1,000 at any government office (주민센터) or online through the Supreme Court Internet Registry Office (인터넷 등기소). It shows all mortgages, liens, and ownership history.

Look for entries labeled 근저당권 (mortgage/collateral). The amount shown is usually the maximum secured claim, which can be higher than the actual outstanding loan. Treat it as the worst-case figure.

Important: The registry only shows the building. If your unit is in a multi-unit building, there may be other tenants whose deposits also rank ahead of or alongside yours. Ask how many other jeonse tenants are in the building and factor in their deposits as well.
Tip: You can also register your lease at the local district office (확정일자) and complete move-in registration (전입신고) on the day you move in. This establishes your legal priority date, which matters if the property is ever auctioned.

Comparing jeonse and wolse costs?

Use our Jeonse vs. Wolse calculator to see which option is cheaper for your specific situation.

Jeonse vs. Wolse calculator