Seo Hyun Jin may face difficulty recovering the full 2.65 billion won (roughly $2 million) deposit tied up in a luxury villa in Seoul’s Cheongdam-dong after the property’s owner was declared bankrupt.
The fourth-floor unit at Hestia, where Seo previously lived under Korea’s jeonse rental system, returned to auction on October 6th with a minimum bid of 1.471 billion won — well below the amount of her deposit.
Seo originally signed a rent contract for the property in April 2020 with a 2.5 billion won deposit. When she renewed the lease in March 2022, it was increased by 125 million won, bringing the total to 2.65 billion won.
But when the lease expired in April 2024, the landlord was unable to return the money. Seo later registered her leasehold rights and pursued legal action to recover the deposit, leading to auction proceedings against the property.
The villa first went up for auction in September 2024 with an appraised value of about 2.87 billion won. After failing to attract a bidder three times, the minimum price fell to the 1.4 billion won range before proceedings were suspended in July 2025 while the owner sought rehabilitation protection.
The owner was ultimately declared bankrupt last December, and three properties they owned have since returned to the auction market, including Seo’s former residence.
The property had also been used as collateral for multiple loans over the years as the owner, a developer of luxury housing in Seoul’s Gangnam area, ran into financial trouble.
The biggest concern is whether the auction can generate enough money for Seo to recover the full deposit. Although she holds a high-priority claim, auction costs and other legally protected claims must be paid first, with the remaining proceeds then distributed to her.
“If a successful bidder emerges, Seo will be able to seek repayment of the deposit from the new owner,” an expert said, adding that the key question is how long it will take for the property to actually sell.
The landlord, meanwhile, has argued that Seo’s registered rights protect her from ultimately losing the deposit and said efforts had been made to find a buyer willing to assume the repayment obligation. The landlord also claimed negotiations broke down after Seo, through her attorney, sought roughly 600 million won in additional interest on top of the deposit.
Seo has reportedly since moved to an apartment she already owned in Oksu-dong, Seoul.
>>‘The Perfect Lie’ Sets October Premiere, Reuniting Yoo Yeon Seok and Seo Hyun Jin After 10 Years
In the meantime, watch trending K-dramas for free on Amasian TV.
Source (1)
