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Slowdown hits Korean home lease system

More landlords are seen demanding monthly payments, threatening the future of 'jeonse' contracts

Changing landscape: The average up-front 'jeonse' payment now stands at more than 65% of the property's value and in some cases it has gone as high as 90%. - PHOTO: AFP

[SEOUL] A lengthy property market slump and low interest rates are threatening the future of a uniquely South Korean home lease system that traces its roots back to the 19th century. Jeonse contracts have been a mainstay of the South's housing market for decades, offering tenants the enticing,