HUG Jeonse Deposit Guarantee Application Process Changes on October 30: What Should Existing Tenants Check?
Starting 2026-10-30, the application process for jeonse deposit guarantees offered by the Korea Housing & Urban Guarantee Corporation (HUG) is expected to change. A preliminary eligibility and guarantee limit assessment will be introduced before tenants move in, but this does not necessarily mean that all existing tenants must undergo a new assessment. The key factors include not only the contract date but also the guarantee application date and application type.
How Will Jeonse Deposit Guarantee Insurance Change Starting October 30?
The main feature of the institutional changes announced by HUG on 2026-09-09 is that the jeonse guarantee assessment process will be divided into stages before and after the tenant moves in.
Under the existing process, the guarantee assessment was conducted after the tenant paid the remaining balance and completed the move.
Under the planned revised procedure, the property's value and whether the landlord is subject to guarantee restrictions will be assessed before the tenant moves in. After the move, the necessary requirements, including the tenant's legal enforceability against third parties, will be verified before the final guarantee is issued.
The product names are also expected to change.
| Existing Product Name | Planned New Product Name |
|---|---|
| Jeonse Deposit Return Guarantee | Jeonse Return Guarantee |
| Jeonse Loan Special Agreement Guarantee | Jeonse Loan Guarantee |
| Jeonse Deposit Security Loan Guarantee | Jeonse Security Guarantee |
Both the product name changes and the preliminary guarantee limit assessment have been announced as applicable to guarantee applications submitted from 2026-10-30 onward.
Must Existing Jeonse Tenants Also Undergo the Preliminary Guarantee Limit Assessment?
Simply having signed a jeonse lease before the changes does not necessarily exempt a tenant from the preliminary guarantee limit assessment.
HUG's announcement identifies guarantee applications submitted on or after 2026-10-30 as the basis for applying the preliminary guarantee limit assessment.
However, separate confirmation is needed regarding how the assessment will specifically apply to renewal applications by tenants who already hold guarantees and to tenants applying for a guarantee for the first time while maintaining an existing lease.
It is advisable to distinguish between the following situations.
Tenants who already have a guarantee: Check the validity period of the existing guarantee and whether renewal is required.
Tenants who have signed a lease but have not yet applied for a guarantee: Confirm the actual guarantee application date and whether the revised procedure applies.
Tenants renewing a jeonse lease: Determine whether the application is for a new guarantee or renewal of an existing guarantee.
Tenants moving into a new property: Distinguish between the preliminary assessment before moving in and the final guarantee procedure after moving in.
In particular, the fact that an application is submitted after October 30 should not be interpreted as meaning that every existing tenant must move again or undergo an identical separate procedure.
Does Passing the Preliminary Assessment Mean the Guarantee Is Fully Approved?
The preliminary guarantee limit assessment and the final guarantee must be treated as separate stages.
Under HUG's announced revised procedure, the property's value and any guarantee restrictions affecting the landlord are checked before the tenant moves in.
After the move, verification of the tenant's legal enforceability against third parties is still required. This legal protection means that a tenant who satisfies certain statutory requirements can assert the tenancy relationship against a 3 party.
Therefore, it is important not to assume that the final guarantee has been completed simply because the preliminary assessment result has been confirmed.
The Rules for Guaranteeing Only Part of a Jeonse Deposit Will Also Change
Starting 2026-10-30, the system is expected to change so that the entire jeonse deposit is guaranteed, provided it falls within the applicable guarantee limit.
Previously, tenants could obtain a guarantee covering all or part of their deposit, depending on the amount requested, within the applicable guarantee limit.
Under the planned revised system, tenants must check whether their entire jeonse deposit falls within the guarantee limit.
HUG also stated that, when calculating the guarantee limit, the combined amount of senior claims and other relevant obligations must not exceed 60% of the property's value.
Therefore, important factors to verify include not only the amount of the jeonse deposit but also how the property's value and senior claims are calculated.
Landlord Assessments Are Also Changing
Starting 2026-10-01, the system has been revised so that HUG's guarantee restrictions also apply when the Korea Housing Finance Corporation (HF) or SGI Seoul Guarantee Insurance, as well as HUG, has returned a jeonse deposit on behalf of a landlord but has not been reimbursed.
However, HUG has stated that a landlord will not be considered subject to a guarantee prohibition if the landlord subsequently repays the relevant guarantee institution.
Separate changes are also planned for cases involving landlords who are minors.
For new guarantee applications submitted on or after 2026-10-30, if the landlord is under 19 years of age, a joint and several guarantee from a legal representative, such as a parent, will be required.
Whether the landlord is a minor is determined based on the guarantee application date, not the contract date or approval date.
What to Check When Applying for a Guarantee Before or After October 30
If you are preparing to apply for a guarantee, first distinguish between the date your lease was signed and the date you plan to submit the guarantee application.
Next, check whether you already have a guarantee, whether your application is new or a renewal, and whether you have completed your move.
Under HUG's currently published general application rules for its Jeonse Deposit Return Guarantee, applications must be submitted before half of the jeonse lease term has elapsed. However, applicants should separately confirm which rules under the revised procedure apply to their particular application type.
Available application methods include visiting an HUG branch or an authorized bank, as well as mobile channels such as the Ansim Jeonse app. For applications submitted after October 30, it is advisable to check the latest instructions regarding where to submit the preliminary guarantee limit assessment and which documents are required.
For Existing Tenants, the Most Important Factor Is Not Just When the Lease Was Signed, but When and How the Guarantee Is Requested
Tenants who already have a guarantee should be distinguished from those applying for a new guarantee while maintaining an existing lease. If your guarantee is approaching renewal, it is advisable to provide HUG with the details of your lease and confirm whether the preliminary guarantee limit assessment applies to your situation.