Over the past 10 years, Seoul's rental transaction market for dwellings has been shifting from lump-sum key money leases (jeonse) to monthly rent. After a wave of jeonse fraud emerged at the end of 2022, jeonse transactions decreased and monthly rent transactions increased, a so-called "monthly-rent-ization" trend that has continued to date. The shift, which began in the row house and multi-unit market, has expanded into the apartment market.
On the 11th, the real estate information platform Dabang analyzed the monthly rent and jeonse transaction volume and transaction share for Seoul apartments and row houses/multi-unit homes as of every April from 2017 to 2026, based on actual transaction prices from the Ministry of Land, Infrastructure and Transport.
As a result, the jeonse share for Seoul apartments fell 15.4 percentage points (p) from 65.6% in April 2017 to 50.2% in April 2026. Over the same period, the monthly rent share expanded 15.4 p from 34.4% to 49.8%. The gap in the monthly rent vs. jeonse transaction share for Seoul apartments narrowed from 31.3 p 10 years ago to 0.4 p this year.
Looking at transaction volume trends, Seoul apartment monthly rent and jeonse transaction volumes both surged from 2022 to 2023, after which jeonse fell sharply and monthly rent declined more gradually. Apartment jeonse transaction volume peaked at 13,979 in April 2023, then fell to 8,613 in April this year, down 5,366 (-38%) in three years.
During the same period, monthly rent transaction volume decreased by only 1,285 (-13%), from 9,828 to 8,543, showing a smaller drop than jeonse. In April this year, the share of monthly rent transactions rose to almost the same level as jeonse, accounting for 49.8% of all transactions (17,156), compared with a 50.2% jeonse share.
The monthly-rent-ization trend was even clearer in Seoul's row house and multi-unit market. The monthly rent share for row houses and multi-unit homes expanded 24.0 p, from 37.3% in 2017 to 61.3% in 2026. Over the same period, the jeonse share fell 24.0 p, from 62.7% to 38.7%.
In particular, in the row house and multi-unit market, jeonse transactions began to fall and monthly rent transactions began to rise after the jeonse fraud crisis at the end of 2022, and the monthly rent-centered structure became pronounced thereafter. Row house and multi-unit jeonse transaction volume plunged 30.5%, dropping by 2,710 from 8,884 in April 2022 to 6,174 in April 2023. By contrast, monthly rent transaction volume increased from 4,921 to 5,029 over the same period. In April 2024, the following year, monthly rent transaction volume jumped 28.9% year over year to 6,480, surpassing jeonse transaction volume (6,057) during the survey period. Since then, monthly rent transaction volume has continued to rise, to 6,392 in April 2025 and 6,635 in April 2026.
Among Seoul's 25 districts, the district with the highest monthly rent share for apartments was Jungnang (73.5%), followed by Yongsan (64.8%), Jung (63.0%), Jongno (57.6%), and Geumcheon (57.5%). In contrast, the districts with the highest jeonse shares were Dobong (60.8%), Seongbuk (59.6%), and Yangcheon (57.7%).
For row houses and multi-unit homes, the district with the highest monthly rent share was Gwanak (77.6%), followed by Songpa (70.8%), Nowon (70.3%), Yeongdeungpo (69.6%), and Gangseo (68.2%). In contrast, the districts with the highest jeonse shares were Yongsan (67.9%), Seongdong (54.3%), and Dongdaemun (48.5%).
A Dabang official said, "According to this survey, the gap in the monthly rent vs. jeonse transaction share for Seoul apartments, which exceeded 30 p 10 years ago, has narrowed to a 0.4 p difference as of April this year, putting a reversal within reach," adding, "In particular, in the row house and multi-unit market, monthly rent transaction volume already surpassed jeonse in 2024, and this year the monthly rent share has risen to 61.3%, confirming a shift toward a monthly rent-centered restructuring across Seoul's overall rental market for dwellings, regardless of dwelling type."