Gyeonggi Province to Support Jeonse Deposit Return Guarantee Fees

The Gyeonggi Provincial Government will continue its "Jeonse Deposit Return Guarantee Fee Support Program" this year to prevent property losses for tenants, such as those caused by jeonse fraud.

Jeonse tenants are encouraged to purchase jeonse deposit return guarantee products offered by the Housing and Urban Guarantee Corporation (HUG), Korea Housing Finance Corporation (HF), and other institutions to avoid incidents where they cannot recover their deposit at the end of their lease.

The Gyeonggi Provincial Government's support program provides financial assistance for the guarantee fees required to purchase these return guarantee products. This initiative is expected to be a significant help for low-income, non-homeowners who may hesitate to enroll due to the burden of guarantee fees.

Eligible applicants are those with a jeonse deposit of 300 million won or less. Youths (aged 19 to 39) and newlyweds are eligible to receive a full refund of the guarantee fee already paid (up to 400,000 won).

Applicants other than youths can receive support for 90% of the guarantee fee (up to 400,000 won). Income limits are set at 50 million won for youths, 60 million won for non-youths, and 75 million won for newlyweds, and applicants must be non-homeowners with a jeonse lease.

Gyeonggi Provincial Government

However, as in the previous year, foreigners, overseas Koreans not residing in Korea, tenants living in registered rental housing under the "Special Act on Private Rental Housing" who are required to enroll in the return guarantee, and tenants that are corporations are excluded from the program.

Applications can be submitted online via the Subsidy24 platform (https://www.gov.kr) or the HUG Safe Jeonse Portal (https://www.khug.or.kr), or in person at the local city, county, or district office or administrative welfare center listed on the resident registration.

In particular, the system has been improved so that those eligible for guarantee fee discounts from the Housing and Urban Guarantee Corporation (such as low-income households and newlyweds) are automatically enrolled in the support program when they sign up for the jeonse deposit return guarantee, without any additional procedures.

Kim Taesu, Director of Housing Policy at the Gyeonggi Provincial Government, stated, "In today's unstable jeonse environment, enrolling in a jeonse deposit return guarantee is not an option but a necessity. We will actively promote and support this program so that residents can protect their valuable assets by joining guarantee insurance without financial burden."