South KoreaWhat if no real estate brokerage contract is written?
In South Korea, a real estate brokerage contract must be in writing to be valid and enforceable; oral agreements are not legally recognized for brokerage services involving real property.
What the Law Says
South Korean law strictly requires written contracts for real estate brokerage services to protect consumers and ensure transparency.
Under the Real Estate Brokerage Business Act, any agreement between a real estate broker and a client for brokerage services related to real property must be made in writing. This includes contracts for selling, purchasing, leasing, or mediating transactions involving land or buildings.
An oral agreement is not considered a valid brokerage contract under Korean law. Without a written contract, the broker cannot legally claim commission, and the client has no enforceable rights or obligations under the alleged agreement.
The law also requires that the written contract include specific information — such as the names of parties, property details, service scope, commission amount or calculation method, and signatures — to be valid.
Statutory TextA real estate broker shall conclude a brokerage contract in writing with a person who intends to entrust the broker with brokerage services.
— Real Estate Brokerage Business Act, s. 17 — Obligation to Conclude Written Contract
Statutory TextIf a real estate broker concludes a brokerage contract without complying with the provisions of Article 17, the broker shall be punished by imprisonment with labor for not more than one year or by a fine not exceeding five million won.
— Real Estate Brokerage Business Act, s. 42 — Punishment
What to Do
Refuse to proceed with brokerage services unless a written contract is signed.
Ensure the written contract includes all mandatory elements: parties’ names, property description, scope of services, commission terms, and signatures.
Keep a copy of the signed contract for at least 3 years (statute of limitations period).
Report any broker demanding commission without a written contract to the local government or Korea Real Estate Brokers Association.
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.