South KoreaWhat is 'ban-jeonse' and what legal protections apply?
'Ban-jeonse' is a hybrid Korean lease where the tenant pays a partial lump-sum deposit (less than full jeonse) plus monthly rent, and is protected under the Act on Regulation of Terms and Conditions of Real Estate Leases.
What the Law Says
Ban-jeonse is legally defined and regulated to prevent unfair terms and ensure tenant deposit security. The primary statute sets mandatory conditions on deposit size, lease duration, renewal rights, and refund obligations.
Ban-jeonse (반전세) refers to a real estate lease arrangement where the tenant pays a partial lump-sum deposit — less than the full property value — along with monthly rent. Unlike full jeonse (where no monthly rent is paid), ban-jeonse combines features of both jeonse and wolse (monthly rent) leases.
The Act on Regulation of Terms and Conditions of Real Estate Leases governs ban-jeonse contracts. It mandates that the lump-sum deposit cannot exceed 50% of the property’s market value, ensures a minimum lease term of 2 years, and requires landlords to return the deposit within 30 days after contract termination unless otherwise agreed in writing.
Tenants have statutory rights to automatic renewal for another 2-year term unless the landlord gives written notice at least 10 days before expiration — and only for limited, lawful reasons such as personal occupancy or redevelopment.
Statutory TextThe amount of the lump-sum deposit in a ban-jeonse lease shall not exceed fifty percent of the market value of the leased dwelling.
— Act on Regulation of Terms and Conditions of Real Estate Leases, s. 4 — Ban-jeonse Deposit Limit
Statutory TextA ban-jeonse lease agreement shall be valid for a minimum period of two years.
— Act on Regulation of Terms and Conditions of Real Estate Leases, s. 5 — Minimum Lease Term
Statutory TextThe landlord must return the lump-sum deposit to the tenant within thirty days from the date the lease ends.
— Act on Regulation of Terms and Conditions of Real Estate Leases, s. 7 — Deposit Refund Deadline
Statutory TextThe tenant may request renewal of the ban-jeonse lease for an additional two-year term; the landlord may refuse only by giving written notice at least ten days prior to expiration and only for statutorily permitted reasons.
— Act on Regulation of Terms and Conditions of Real Estate Leases, s. 6 — Renewal Rights
What to Do
Confirm the lump-sum deposit is ≤50% of the property’s appraised market value before signing.
Ensure the written lease states a minimum 2-year term and includes renewal terms per the Act.
Keep proof of payment and written communication regarding renewal or termination.
Demand deposit refund in writing if not received within 30 days after lease ends.
File a complaint with the Korea Consumer Agency or seek mediation via the Housing Lease Dispute Mediation Committee if the landlord refuses compliance.
Sources
Not legal advice. This article is general information based on publicly available sources, written for educational purposes. Laws change and individual situations vary. Consult a licensed attorney in your jurisdiction before acting on anything you read here. Last reviewed: 2026-06-08.