1%EC%96%B5 Jeonse vs Rent

Which is better: 1%EC%96%B5 Jeonse or monthly rent?

Jeonse Deposit
1%EC%96%B5
Estimated Rent
458,333원
Rent Deposit: 500만원
Jeonse Monthly Opportunity Cost
333,333원
Rent Monthly Total Cost
475,000원

Result at 4% Rate

🏠
Jeonse is better!
Monthly 141,666원 savings
Break-even Rate5.8%

Jeonse is better above this rate

📊 Comparison by Investment Rate

RateJeonseRentDifferenceRecommendation
2%166,667원466,666원+300,000원🏠 전세
3%250,000원470,833원+220,833원🏠 전세
4%333,333원475,000원+141,666원🏠 전세
5%416,667원479,166원+62,500원🏠 전세
6%500,000원483,333원-16,667원➖ 비슷

💡 Rent Choice Tips

  • Higher investment returns mean higher opportunity cost for Jeonse.
  • Consider loan interest if borrowing for Jeonse deposit.
  • Factor in Jeonse fraud risk and insurance costs.

FAQ

Is 1%EC%96%B5 Jeonse or rent better?

At 4% return, rent costs 475,000원/mo, Jeonse opportunity cost is 333,333원/mo. Jeonse is better.

What's the opportunity cost of 1%EC%96%B5 Jeonse?

At 4% return, monthly opportunity cost is 333,333원.

At what rate is Jeonse better?

Jeonse is better when investment return is above 5.8%.