Seo Hyun-jin's 2.6 Billion Won Jeonse Villa in Cheongdam-dong Up for Auction at Half Price

The luxury villa in Cheongdam-dong, Seoul, where actress Seo Hyun-jin resided, is entering auction proceedings again due to the landlord's bankruptcy. The problem is that the jeonse deposit Seo Hyun-jin has not been able to recover alone exceeds 2.6 billion won. As the price has dropped to about half of the appraised value, attention is focused on the actual winning bid price and how much of the large deposit Seo Hyun-jin can recover.

According to court auction information and registration data on the 6th, the multi-family house located in Cheongdam-dong, Gangnam District, Seoul, is resuming auction proceedings today. The appraised value of this house, which has an exclusive area of 117.79㎡, is 2,873,630,000 won, but the minimum bid price set for this auction is 1,471,290,000 won. This means the price has dropped to about half of the appraised value.

Seo Hyun-jin previously signed a jeonse contract for this house in April 2020 with a deposit of 2.5 billion won and established a jeonse right. Later, when extending the contract in March 2022, the deposit rose to 2,625,000,000 won. At the time, it appeared to be a typical jeonse contract where a large deposit is entrusted to a luxury residential area in Cheongdam-dong for stable residence, but the situation changed as the contract expiration approached.

Even though the contract ended in April 2024, the landlord was unable to return the deposit to Seo Hyun-jin. Seo Hyun-jin eventually completed the leasehold registration in September of the same year and subsequently moved to a new residence. The fact that leasehold registration is a procedure to maintain the existing opposing power and preferential payment rights even if the lessee moves suggests the seriousness of the deposit issue at the time.

The auction of the house in question has not proceeded smoothly either. Having already failed to find a bidder three times, the minimum bid price dropped to the 1.4 billion won range. Ahead of the fourth auction in July last year, the auction itself was suspended as the landlord applied for a stay of execution citing rehabilitation proceedings. Subsequently, as the landlord was finally declared bankrupt in December last year, the suspended auction proceedings have begun to move again.

Now, the most important issue is how much of the deposit amounting to 2,625,000,000 won Seo Hyun-jin can actually recover. On the registration, Seo Hyun-jin is listed as the first-priority right holder, meaning she is in a position to be preferentially compensated from the remaining sale proceeds after settling auction costs and priority claims. However, considering that the current minimum bid price is in the 1.4 billion won range, it is not easy to cover the full amount of the deposit with the auction proceeds.

However, it is difficult to simply judge the recovery of the deposit based only on the minimum auction price. This is because the actual winning bid price can be higher than the minimum bid price, and variables such as the rights relationship of the house and whether the lessee maintains opposing power can also exist in addition to the sale proceeds. In particular, if the opposing power is maintained, there is a possibility that certain responsibilities for the remaining unpaid deposit balance could be succeeded by the successful bidder during the auction process, so the final legal relationship may vary depending on the rights analysis.

Ultimately, this auction cannot be viewed simply as a case where a luxury villa in Cheongdam-dong is being auctioned at a price lower than the market value. This is because billions of won in jeonse deposits are at stake, and the winning bid price, rights relationship, and distribution process are all interconnected. In particular, with the house appraised at 2.8 billion won having dropped to the 1.4 billion won range, the level at which the actual winning bid is determined is expected to be a crucial variable for the future recovery of the deposit.

Apart from the issue of the large jeonse deposit, Seo Hyun-jin continues her activities as an actress. She is set to appear in the new MBC Friday-Saturday drama ‘Liar’, which broadcasts for the first time on the 30th. While Seo Hyun-jin, who has continued her work for a long time, meets viewers through a new drama, the deposit return issue that has lasted for years regarding her personal housing matter has resurfaced with the resumption of the auction.

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