Korea Real Estate for Foreigners Eligibility · Tax · 2026

Yes — foreigners can buy Korean real estate (apartments, houses, land) with very few restrictions. The Foreign Land Acquisition Act (외국인토지법) allows foreign nationals and foreign-controlled corporations to acquire property nationwide, requiring only a notification to the local government within 60 days of acquisition. Restricted areas (military zones, cultural heritage sites, ecological preservation zones) require pre-approval but cover a very small portion of the country. You don't need a Korean visa to buy property — even non-residents can purchase, though banking and tax filing are easier with an ARC (F-2/F-5/F-6 holders especially).

Acquisition tax (취득세) for foreigners equals what Korean nationals pay — there's no foreigner premium on the standard rate. For residential property: 1% on first home under ₩600M, 1-3% on first home ₩600M-9B, 3% on first home over ₩9B. Multi-home buyers face progressive surcharges: 8% on second home in regulated zones (Seoul, parts of Gyeonggi), 12% on third+ home. Add 0.4-0.6% local education tax + 0.2% rural special tax. Commercial property: flat 4%. The tax is due within 60 days of contract registration. Use the same brackets as Korean buyers in our acquisition-tax calculator (Korean version).

Yes — bringing money into Korea to buy property requires Foreign Exchange Transactions Act (외국환거래법) reporting. Funds wired from abroad are reported automatically by the receiving Korean bank if you declare 'real estate purchase' as the purpose. Single transactions above USD 10,000 trigger automatic reporting to BOK and tax authorities. You should keep all wire confirmations and bank receipts — these become your basis for capital gains tax if you sell, and for repatriating proceeds when you exit. Failure to report FX inflow correctly can result in 30-50% tax penalties on the unreported amount.

Korean capital gains tax (양도소득세) applies to property sales by both Koreans and foreigners. Tax rate depends on holding period and number of Korean properties owned: 1+ year hold + sole home = 6-45% progressive (basic exemption up to ₩1.2B sale price); under 1 year hold = 70%; under 2 year hold = 60%; multi-home owners face +20% surcharge in regulated zones. Reporting is due within 2 months of sale at the local tax office (Hometax). Non-resident sellers (no Korean tax residency) pay capital gains as part of yearly Korean income tax filing. Foreign tax credits in your home country may apply via tax treaties — consult a cross-border tax accountant.

Core documents: (1) passport, (2) ARC if you have one (not strictly required but speeds banking), (3) Korean address (real or temporary — many use a hotel address initially), (4) Korean bank account, (5) certificate of personal seal (인감증명서) if you're a Korean tax resident, OR power of attorney + apostilled signature certification if buying from abroad, (6) source-of-funds documentation (foreign bank statements, wire receipts), (7) real estate contract (drafted by a licensed real estate broker), (8) property title transfer registration (소유권 이전등기) within 60 days. The local 대법원 등기소 (Supreme Court Registry Office) processes the title transfer. Total fees and taxes typically total 5-8% of purchase price.