Lease Renewal in Korea: The 2-Year Request and the 5% Cap

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Whether your lease continues, and at what price, depends on who gives notice and when. If neither side speaks up in time, the lease renews on the same terms for two years. If you ask for a renewal in time, the landlord can refuse only on grounds the law lists, and any increase is capped at 5%.

This guide covers both routes under the Housing Lease Protection Act (주택임대차보호법) and the grounds for refusal. It also covers the cap on increases and the separate limit on converting a deposit into monthly rent. The rules here come from the Act and its Enforcement Decree, with the Korean terms that appear on the standard contract.

What this guide covers
01 How a lease renews when nobody says anything
02 How your renewal request works
03 When the landlord can refuse a renewal
04 How much the rent or deposit can go up
05 What limits turning a deposit into monthly rent
06 What paperwork follows a renewal
07 Frequently asked questions

How a lease renews when nobody says anything

Rules verified September 2026 · Housing Lease Protection Act, Article 6 · Article 6-2

Article 6 sets two notice windows. The landlord must give notice between six months and two months before the lease ends. The tenant must give notice by two months before the end. If neither does, the lease is treated as renewed on the same terms. This is called an implied renewal (묵시적 갱신).

Implied renewal in one table
Housing Lease Protection Act, Articles 6 and 6-2
Point Rule
Landlord’s notice window Six months to two months before the end: refuse, or offer changed terms
Tenant’s notice deadline Two months before the end
If nobody gives notice Renewed on the same terms, for two years
Tenant leaving early Notice at any time. It takes effect three months after the landlord receives it
Landlord leaving early Not by notice alone. Annex 1 of the standard contract requires an Article 7 ground, such as rent arrears of two payments, or the tenant’s agreement
Who is excluded A tenant who let rent arrears reach two payments, or seriously broke a tenant’s duties

The three-month rule is the one to plan around. Annex 1 of the standard contract says only that a tenant may end an implied renewal at any time. Article 6-2 (2) of the Act adds that the notice takes effect three months after the landlord receives it.

How your renewal request works

Article 6-3 gives the tenant a right to request a renewal (계약갱신요구권). You make the request in the same window as the landlord’s notice: six months to two months before the lease ends. The Act sets no special form for the request.

What the renewal request gives you
✓ Once only. You can use it one time for the same lease
✓ Two more years. The renewed lease runs for two years
✓ Same terms. Everything carries over, except that rent and deposit may change within the Article 7 limits
✓ An early exit. You can still end the renewed lease with three months’ notice, as under Article 6-2
✓ Refusal only for listed reasons. The landlord cannot refuse without one of the nine grounds below

An implied renewal or a new contract by agreement does not use up the request. Annex 1 of the standard lease contract states this directly, so the right stays available for a later lease period.

When the landlord can refuse a renewal

Article 6-3 (1) lists nine grounds. Annex 2 of the standard contract prints the same nine as tick boxes on a refusal notice (계약갱신 거절통지서). The notice takes effect when it reaches you.

The nine grounds for refusal
Housing Lease Protection Act, Article 6-3 (1)
No. Ground
1 Rent arrears have reached two payments
2 The tenant got the lease by lying or other fraud
3 Both sides agreed, and the landlord paid fair compensation
4 The tenant sublet all or part of the home without consent
5 The tenant damaged the home on purpose or through gross negligence
6 All or part of the home was destroyed, so the lease cannot serve its purpose
7 Demolition or rebuilding, if it was explained at signing, if the building is unsafe, or if another law requires it
8 The landlord, or a lineal ascendant or descendant of the landlord such as a parent or child, will actually live there
9 Another serious breach, or a serious reason the lease cannot go on

Ground 8 carries a check. Suppose the landlord refuses on this ground, then leases the home to someone else without a just reason. If that happens before the renewed term would have ended, the landlord must pay damages (Article 6-3 (5)).

Unless the two sides agreed an amount in advance, Article 6-3 (6) sets the damages as the largest of three sums. The first is three months of converted rent at the time of refusal. The second is two years of the gap between the new converted rent and the old one. The third is your actual loss.

You can check whether the home was leased again. Under Articles 5 and 6 of the Enforcement Decree, a former tenant refused on ground 8 may ask a fixed-date office for the lease record. The record covers the period the renewal would have run. The landlord’s and new tenant’s names are included; other personal details are not.

How much the rent or deposit can go up

Rule verified September 2026 · Housing Lease Protection Act, Article 7 · Enforcement Decree, Article 8

Article 7 lets either side ask for a change in rent or deposit when taxes, charges or economic conditions make it unfair. An increase has two limits, and the same limits apply when you renew through your request.

Limits on an increase
Housing Lease Protection Act Article 7 · Enforcement Decree Article 8
Limit Rule Example
Size No more than 1/20 (5%) of the current rent or deposit Deposit 100,000,000 KRW: up to 5,000,000 KRW more. Rent 500,000 KRW: up to 25,000 KRW more
Timing Not within one year of the contract or the last increase An increase agreed in March cannot be followed by another before the next March
Local rule Seoul, a metropolitan city or a province may set a lower cap by ordinance Check the ordinance of your city or province

If you already paid more than the limits allow, Article 10-2 lets you claim the excess back. Article 10 also voids any term that breaks the Act to the tenant’s disadvantage. A term that goes past the cap falls under that rule.

What limits turning a deposit into monthly rent

Rate verified September 2026 · Housing Lease Protection Act, Article 7-2 · Enforcement Decree, Article 9 · Bank of Korea base rate

When all or part of a deposit is turned into monthly rent, Article 7-2 caps the rate used for the conversion. The rate is the lower of two numbers set in Article 9 of the Enforcement Decree.

The conversion cap
Housing Lease Protection Act Article 7-2 · Enforcement Decree Article 9
Measure Rate
Fixed rate 10% a year
Bank of Korea base rate plus 2 percentage points 3.00% + 2% = 5.00% a year (base rate 3.00% since 27 August 2026)
Cap in use now 5.00% a year, the lower of the two

Worked through: converting 10,000,000 KRW of deposit at 5% gives 500,000 KRW a year. Divided by 12, that is about 41,666 KRW a month at most.

The Bank of Korea reviews the base rate eight times a year. When it changes, the cap moves with it, so check the rate on the day of the conversion.

What paperwork follows a renewal

A renewal is not only a matter between you and the landlord. Two records may need updating.

After a renewal
Act on Report on Real Estate Transactions · standard contract Annex 1
If Then Rule
Only the term is extended, money unchanged No lease report is needed Reporting Decree, Article 4-3 (1)
Deposit or rent changes, in a reporting area, over the reporting amounts Report within 30 days. The report states whether the renewal request was used Reporting Act, Article 6-2 · Rule, Article 6-2 (1) 5
The deposit goes up Get a new fixed date for the added amount Standard contract, Annex 1

The standard contract has a box for this situation too. On page one, one of the contract types is a renewal through the tenant’s request under Article 6-3. It comes with space for the previous term, deposit and rent.

Frequently asked questions

How much maximum landlord can increase rent?
5% of the current rent or deposit, under Article 7 of the Housing Lease Protection Act and Article 8 of its Enforcement Decree. No increase may come within one year of the contract or the last increase. Seoul, a metropolitan city or a province may set a lower cap by ordinance.
Does a tenancy agreement automatically renew?
Yes, if neither side gives notice in time. The landlord’s window is six to two months before the end, and the tenant’s deadline is two months before the end. The lease then continues on the same terms for two years.
How to get out of automatic lease renewal?
After an implied renewal, you can give notice at any time. Under Article 6-2 of the Act, it takes effect three months after the landlord receives it. The landlord does not have the same option.
Does an implied renewal use up my renewal request?
No. Annex 1 of the standard contract says an implied renewal or a renewal by agreement does not count as using the request. You keep it for a later period.
Can the landlord refuse because a relative will move in?
Yes, if the landlord or a lineal relative will actually live there. If the landlord instead leases the home to someone else without a just reason, damages may follow. That applies before the renewed term would have ended (Article 6-3 (5)).
Renting a home in Korea
Korean Standard Lease Contract in English: What Each Part Says
The official translation in three languages, and what each page, article and annex asks you to fill in.
Before You Sign a Lease in Korea: What the Landlord Must Show
The records the landlord must present, the landlord’s unpaid taxes, and how to read the register certificate.
Fixed Date in Korea for Foreign Tenants: Protect Your Deposit
Why your change-of-residence report is the move-in report, and where to get a fixed date for 600 KRW or less.
Lease Renewal in Korea: The 2-Year Request and the 5% Cap
When a lease renews on its own, the one renewal request you get, and how far rent can rise.

Official sources

Every rule here comes from the pages below. Laws and rates change, so open the page before you act on it.

· Housing Lease Protection Act (주택임대차보호법) · Article 6 · Article 6-2 · Article 6-3 · Article 7 · Article 7-2 · Article 10-2
· Enforcement Decree of the Housing Lease Protection Act (주택임대차보호법 시행령) · Article 5 · Article 6 · Article 8 · Article 9
· Bank of Korea (한국은행) · base rate history
· Act on Report on Real Estate Transactions (부동산 거래신고 등에 관한 법률) · Article 6-2 · Enforcement Decree Article 4-3 · Enforcement Rule Article 6-2
Information verified as of September 2026. Laws and the base rate change from time to time. Confirm the details with the official source before you act. For questions about your stay, call the Immigration Contact Center at 1345.
This site is not affiliated with the Korean government. Always confirm details with the official source.