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In the real estate rental market, jeonse decreased and monthly rent continued to increase.

It is predicted that this will accelerate with the rise in interest rates.



Reporter Han Sang-woo analyzed.



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Mr. Kim, an office worker, recently signed a contract for an apartment in which he had to pay more than 1 million won a month in rent in addition to the deposit.



My house was too small to raise three children, so I was looking for a bigger house, but I couldn't get a jeonse due to regulations.



[Mr. Kim / Office worker: The amount I gave (our house) to jeonse is not enough in the neighborhood where I live now.

So I tried to make up for the shortfall with a loan, but all the loans are blocked, so I have no choice but to live with a reverse rent.]



More and more tenants are looking for monthly rent on their own.



This is because, as interest rates rise, the interest on the cheonsei loan or monthly rent is not much different.



Currently, the average interest rate applied when converting Jeonse to monthly rent is 4.2%.



However, as the interest on the recent bank jeonse loan is in the high 3% to low 5% range, it is similar or in some cases, monthly rent is more advantageous.



For example, it costs 2.4 million won less per year to pay the entire monthly rent than it is to take a loan of 300 million won at 5% interest.



In addition, landlords who want to pay monthly rent to lower their holdings tax joined, and monthly rent surpassed jeonse for the first time in nationwide rental transactions last month.



As the monthly rent declaration system was first implemented in June of last year, even considering the increase in the number of rent reports for officetels and studios, which had been omitted from the count, the monthly rent is clearly increasing.



[Kim Gyu-gyu/Director of Asset Succession Research Institute at Korea Investment & Securities: As jeonse loans became difficult and interest rates rose, more tenants accepted monthly rent cheaper than the interest on jeonse loans ]



In particular, interest rates are expected to continue to rise, but since the monthly rent is fixed for the duration of the contract, the trend of looking for monthly rent is likely to continue.



(Video coverage: Kim Won-bae, video editing: Jung Yong-hwa, VJ: Park Hyeon-woo)