The calculation you need, step by step
Deposit-to-rent conversion calculator
Check the Korean cap on monthly rent when converting a deposit, under Article 9 of the Housing Lease Protection Act Enforcement Decree (the lower of 10% a year and the base rate + 2%).
Reference results
Check the entries, then select Calculate.
Formula
When all or part of a deposit is converted into monthly rent during the lease, the rate may not exceed the lower of 10% a year and the Bank of Korea base rate plus 2%. Monthly rent cap = converted deposit × rate ÷ 12. At a 3.00% base rate the rate is 5%, so KRW 100 million gives KRW 416,666 a month.
What this calculator cannot apply
This cap applies to converting a deposit within an existing lease. Rent in new leases, regional market conversion rates and commercial leases (separate rules) are not covered.
Scope of results and official alternatives
Bank of Korea ↗shows the current base rate; for disputes contact the Housing Lease Dispute Mediation Committee or the Korea Legal Aid Corporation (132).
Calculation basis and official sources
- Housing Lease Protection Act Article 7-2 ↗
- Housing Lease Protection Act Enforcement Decree Article 9 ↗
- Bank of Korea monetary policy decision (22 Oct 2026): base rate 3.00% ↗
This material is based on sources checked on November 7, 2026 (KST). Check subsequent amendments and transitional provisions for your particular case separately.