Tenants in Seoul's long-term jeonse housing program saved an estimated 10 trillion won ($7.2 billion) in deposits last year, the city government announced, as the program marks its 20th anniversary.
The Seoul Metropolitan Government said Monday that average deposits for long-term jeonse units stood at 54% of the average jeonse price for Seoul apartments last year. The total savings were calculated by multiplying the difference between program deposits and market jeonse prices by the number of participating households.
Launched in 2007 to provide stable, long-term housing for citizens without homeownership, the program has supplied 37,463 units across 241 complexes. Deposits are set at 80% or less of nearby market rates, with annual increases capped at around 5%—well below private market levels.
Current residents have lived in their units for an average of 9.92 years, 2.5 times longer than the maximum four-year term of standard rental contracts. Fifty-six percent of households have resided in their units for more than 10 years. Among 14,902 households that have moved out, 1,171 units—or 8%—purchased their own homes after an average residency of nine years and five months.
The city highlighted the program's family-friendly locations. Forty-five percent of complexes, or 108 developments, are within 500 meters of subway stations. Eighty-three percent, or 201 complexes, are located within 500 meters of elementary schools.
Seoul is also expanding "Miri Naejip" (My Future Home), a specialized long-term jeonse program for newlyweds designed to address the country's low birth rate. Launched in July last year, the program allows couples who have at least one child after moving in to remain for 20 years regardless of income or asset requirements. Families with two or more children gain priority rights to purchase their units at below-market prices after 20 years.
The program has expanded beyond apartments to include general housing, public hanok traditional houses, and deposit-support options. Competition ratios have reached as high as 956 to 1. A survey of 216 Miri Naejip residents found that 84% plan to have additional children.
Starting next month, the city will introduce an installment payment system allowing tenants to pay 70% of their deposit upfront and defer 30%. Seoul plans to strengthen benefits for families with multiple children, positioning the program as a core model in its housing policy response to low birth rates.