2010-04-11

Q&A: Lease

Q1. Hello, I am looking for somewhere to reside near my workplace. For several days, I've contacted websites introducing real estates and leaflets finding new residents, because I want to save my money for real estate commission fee. But I am not sure I can get proper house to live via internet or leaflets. So, I wonder there are some conditions I must check before make the decision.

A. ① Firstly, you should visit and check the condition of the property by yourself. In case of studio type residence, you should check washing machine, refrigerator, and other facilities which are included to the whole property work or not. Water pressure of kitchen and bathroom tap water pipes, draining condition, and they work well or not. 'Checklist' at www.ycredit.kr is very helpful to know what to check and how to check conditions of the property and residential environment.

➁ You should verify register. Resister is opened to the public at The Supreme Court internet registery (www.iros.go.kr) offers register for the public reading and issue. Real estates register is public material recording in terms of real estates. The register consists of title part(certification of the property), Gab (갑) phrase(ownership) and Eul (을) phrase(rights except for ownership). Whether the address to reside and the house number and address of the register are same, and how much provisional attachment(fixed collateral) is. In case recorded contents are different with fact or loaned money is high, you should not choose this kind of house.

Direct transaction through website or life magazine has possibility to expose your information and make you target of other crime activities. When you use them, you should care about this risk.

Q2. Hello, I recently visited real estates commission center to effectively. But I was asked to cost ridiculously high commission fee. What can I do?

A. ➀ Real estate commission fee is issued as regulations of provinces and cities. Accordingly, you can search "Real estates commission fee“(중개수수료), than know maximum price of it at Enhanced Local laws and regulations Information System.

➁ Plus, below website is helpful to calculate real estate commission fee.
http://www.seoul.go.kr/info/organ/subhomepage/urban/cyber_sip/service_02_ita.htm

Q3. I found proper house to reside after checked internal and external facilities and residential conditions and accessed the register. Then what should I do if contract the house?

A. ➀ Before you sign up the contract, confirm additional costs to monthly rent. Most of residences are studio type kinds of multi-family, so you should check how much monthly management expenses (shared electricity , cleaning expenses and so on) are, whether internet is installed, and how to pay internet usage rates. Papering walls, ceiling, and hypocausted floor is decided by talk with leaseholder. (If existing condition of them is unable to use, you can claim papering them again to leaseholder.)

➁ Lease agreement should be concluded with an owner who is clarified in the register. (if you don't have contract form, you can download it from www.ycredit.kr) In case you delegate the contract to an agent, attorney, seal certificate and ID card are needed to certify your identity. And the rental intention should be confirmed by telephone.

➂ You should be careful before decide contracts period. You need to set appropriate period considering labor contracts period and reception/departure schedule. For unexpected situation, if "The clause in terms of retirement, temporary absence from study and so on during the contracted period" is included to special contract, tenant can notify termination of the contract. In this case, if the provisory clause saying "The effect of termination of the contract arises after a month from the day householder is informed termination of the contract" is added, you can terminate contract without any loss.

Q4) I signed contract for a year period. Are there other things I should do?
A. ➀ Foreigner Registration
You can be protected by the Residential Tenancy Act. In other words, you can live the house if householder is changed during the contracted period (in case deposit money is paid, till the money is paid back.) To get guaranteed by the Residential tenancy act, the conditions of population registration, certified date, and actual residence should be met.
To be guaranteed by the Residential Tenancy Act, firstly you should be registered. According to Korean law, foreigners cannot register social security. Instead, there are processes which makes foreigners have same effect with the social security. This is "Foreigner registration". The enforcement ordinance of the Population Registration Law, article 6 provides that foreigners can register as foreigners by the Immigration Law, instead of the Population Registration. Additionally, article 31 and 36 prescribe that foreigners have been in Korea exceed 90 days should do foreigner registration, and when registered foreigners changed place of residence, the person should register new place of residence. In this case, the place of residence has equal effect with population registration, accordingly it is recognized to have against requirements.

➁ Certified date
Also when you finish foreigner registration, you have to visit register office with the lease contract or monthly rent contract and receive certified date. Unlike local residents, foreigners have to visit register office in order to get certified date. Keep in mind that you don't visit dong office(community center) but visit the nearest register office and get certified date and complete against requirements.

If you have more questions, please contact Seoul City hall house lease counseling center (02-731-6720~1) or Law rescue public corporation 132 or district court register office.
(Foreigners' house lease counseling Seoul City hall counseling center 02-731-6240)
Q5. The boiler got out of order while I am living in his rented room. In this case, do I have to call the repairman and pay the repair cost?
A. You can demand money for facilities' repair, such as boiler or water supply system. If there is any flaw in your rented room, the owner has a duty to fix the rented room so that the tenant can use the facilities in good condition. But if the flaw is easy to fix or it is a trivial supply changes, the owner doesn't have to pay the cost.

Q6. During the contract year, the owner wants high deposit and monthly rent fee. In this case what shall I do?

A. In the principle, you don't have to respond to the owner's require during the contract year. But in the Residential Tenancy Act, if there is a rapid economic change, it is available that the owner can increase monthly rent fee or deposit. But it isn't common to happen in reality. In this upper case, if 1 year has passed since when you made the contract, then it is okay to increase 5% of the monthly payment or deposit. But still if the tenant doesn't agree with the requirement then it is not legal to increase the bill.

In the Tenancy Act, a term of lease is 2-year. But even if you make a contract of 1 year, the tenant wants to have a term of lease in 2-year then it can be admitted. So once you make a contract, it guarantees 2-year term of lease, and during the term of lease you don't have to respond to the requirement of increase.


Q7. Suddenly I have to go back to my country, so I can't fulfill the contract year. In this case how can I minimize the loss and cancel the contract?
A. If there is contents(special contract) in the contract that you could cancel the contract midway, you could vacate the room after you give the notice that you are going to cancel the contract. However, if there is no contents of canceling midway or if you did not agree about canceling the contract with the house owner, you could make a loss in monthly rent deducted from the deposit. In this situation, it is good to find a new tenant by yourself.

Q8. After a few months, I will fulfill the period of the contract(1 year). But I do not want to renew the contract and want to move out when I find a better room. In this situation, can I get my deposit back when moving out?

A. If you live in the room without renewing the contract, you are regarded as being renewed contract with the existing condition by law. In this case, the period of the contract is 2 years.( Tenancy Act Amendment 09.08.09). Exceptionally, the tenant could cancel the contract any time. The effect of the contract termination inure after three months passed after the intention of cancel is informed. If you do not want to renew the contract, you have to make sure that you want to terminate the contract at least 1 month before the contract expire.
Q9. Where can I ask help when I am wonder about lease contract of boarding house or monthly rent?

A. Contact Seoul YMCA mediation center for foreign residents (helpyou@ymca.or.kr, 02)734-3902)

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