Rent Conversion Rate Calculator

Rent Conversion Rate Calculator helps compare Korea-related jeonse, monthly rent, guarantee, and lease-cost assumptions in English.

Legal rent conversion rate calculator

Uses the Korean legal conversion-rate model for residential and commercial leases: house min(10 percent, base rate plus 2 percent), commercial min(12 percent, base rate times 4.5), jeonse-to-monthly, and monthly-to-jeonse conversion.

Korean source inputs

Legal conversion rate

4.5%

Computed 4.5%, cap 10%.

Max monthly rent

₩750,000

Legal jeonse-to-monthly ceiling.

Offered rent legal

Yes

₩0 monthly excess.

Convertible deposit

₩200,000,000

Original deposit minus remaining deposit.

Converted deposit

₩133,333,333

Monthly rent converted to deposit.

Total jeonse equivalent

₩143,333,333

Current deposit plus converted deposit.

This English calculator calls the same pure real-estate calculation function used by the Korean page. Inputs and labels are translated; the formula is not replaced by a generic stub.

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Legal rent conversion rate calculator

This page translates the Korean legal rent conversion guide for changing jeonse to monthly rent or monthly rent to jeonse equivalent.

Legal rate formula

For housing leases, the house formula is min(10 percent, base rate plus 2 percent). With a 2.50 percent base rate, the legal conversion rate is 4.50 percent in the default scenario.

For commercial leases, the commercial formula is min(12 percent, base rate times 4.5). With a 2.50 percent base rate, the computed value is 11.25 percent, below the 12 percent cap.

Jeonse to monthly rent

The convertible deposit is original jeonse deposit minus the remaining deposit. Maximum monthly rent is convertible deposit times the legal rate divided by 12, rounded in Korean won.

For example, converting KRW 300 million jeonse to KRW 100 million remaining deposit at 4.50 percent allows about KRW 750,000 monthly rent in the model.

Monthly rent to jeonse

Monthly-rent-to-jeonse conversion divides annual rent by the legal rate and adds the existing deposit. Use the result to test whether a proposed deposit-rent mix exceeds the legal ceiling.