---
title: "Home Sharing Taxes and Lease Terms for Single-Home Owners"
locale: en
category: knowledge_base
category_name: "Knowledge Base"
translation_status: reviewed
license: cc_by
author: "Injoys Editorial Team"
source_url: https://injoys.com/en/articles/homesharing-one-home-rental-income-tax-contract
published_at: 2026-10-21T20:26:00+09:00
---

# Home Sharing Taxes and Lease Terms for Single-Home Owners

> Home sharing is a housing arrangement where you rent out a spare room and share living space. To see whether it helps cover living expenses in retirement, you need to consider rental income after extra costs, along with taxes, health insurance, and welfare benefit eligibility.

## Key Points

- Monthly rental income from home sharing varies with vacancies and costs, so it should not be treated like a fixed pension payment.
- Seoul's One Roof, Generational Empathy program connects older homeowners with students enrolled in or on leave from universities and graduate schools in Seoul.
- For a married couple who own only one home in Korea between them, check whether monthly rent meets the tax exemption requirements, including an assessed property value of at most 1.2 billion won.
- Even if monthly rent is tax-free, a health insurance dependent must still meet the other income and asset requirements.
- Agreements to rent out part of a room may also be covered by the Housing Lease Protection Act.

Home sharing is a way of living in which a homeowner rents out a spare room and shares living space. The homeowner can use the rent to help cover living expenses in retirement. The actual benefit depends on added costs, taxes, and benefit eligibility.

Figures for the Korean program are based on a Jung-gu Office notice dated September 2, 2026.

## What kind of income does home sharing provide?

Monthly rent from home sharing is rental income under a contract with the resident. It is not a pension that pays the same amount every month for life. When the room is vacant, there is no rental income.

A homeowner can use an unused room to help cover living expenses. Instead of renting a separate home, the resident shares part of a home. Weigh the inconvenience of sharing a kitchen or bathroom alongside the cost.

| What to consider | What the homeowner should check | What the resident should check |
|---|---|---|
| Actual cost | Rent minus added expenses | Total housing costs, including rent and utilities |
| Living space | Which spaces will be shared | Privacy and a lock for the personal room |
| Help around the home | The tasks requested and their scope | Whether the tasks are manageable alongside study or work |
| Length of stay | How long the room can remain available | The needed length of stay and contract terms |

The Seoul Housing Portal describes One Roof, Generational Empathy as a program that connects people with affordable rooms. The benefits for older homeowners also include sharing everyday tasks. Agree on the specific tasks before the resident moves in. [Seoul Housing Portal: One Roof, Generational Empathy](https://housing.seoul.go.kr/site/main/content/sh01_060504)

## Eligibility for Seoul’s One Roof, Generational Empathy

The students eligible for Seoul’s One Roof, Generational Empathy are current students and students on leave from universities or graduate schools in Seoul. Being young alone does not make someone eligible to apply. Check with the district where the home is located to see whether it is currently accepting applications.

A Jung-gu Office notice dated September 2, 2026, provides the following information.

| Item | Jung-gu Office notice |
|---|---|
| Older homeowners | At least 60 years old, living in Jung-gu and owning a home |
| Students | Current students and students on leave from universities or graduate schools in Seoul |
| Home improvements | Work costing at most 1 million won per room |
| Student housing costs | Monthly rent with no deposit, around 50% of the market rate |
| Program operation | Ongoing throughout the year |
| Contract term in the notice | 6 months, extendable with both parties’ consent |
| Applications from older homeowners | By phone or in person at the Jung-gu Office Living Security Division |
| Applications from students | Online through the Seoul Housing Portal |

> Home improvement work costing at most 1 million won per room (wallpaper, flooring, etc.)
>
> Jung-gu Office, “Youth-Older Adult Housing Share: One Roof, Generational Empathy Program Guide,” September 2, 2026

Home improvement work should not be confused with monthly living expense support. Nor should 300,000 won a month be treated as a standard rent ceiling across Seoul. This notice describes the rent as around 50% of the market rate. [Jung-gu Office program guide](https://www.junggu.seoul.kr/content.do?cid=1471653705&cmsid=14231&mode=view)

## Tax exemption for rent from one home, by condition

Rent is not always tax-exempt just because you rent out a room. First check how many homes you own and their officially assessed values. When counting homes, the National Tax Service includes homes owned by your spouse.

| Ownership condition | Tax treatment of rent from a residential property |
|---|---|
| One home in Korea owned by the couple combined, with an officially assessed value of at most 1.2 billion won | Tax-exempt |
| One home owned by the couple combined, with an officially assessed value of more than 1.2 billion won | Taxable |
| One home located outside Korea | Taxable |
| At least two homes owned by the couple combined | Rent is taxable |

The high-value home threshold for the one-home tax exemption is an **officially assessed value of 1.2 billion won**. The National Tax Service says this amount applies starting with the 2023 tax year. There is no fixed conversion rate from the actual sale price to the officially assessed value. [National Tax Service criteria for taxing residential rental income](https://www.nts.go.kr/nts/cm/cntnts/cntntsView.do?cntntsId=7678&mi=2227)

If you have a jointly owned home or a residential officetel, check how it counts toward your number of homes. A small rent payment alone does not settle whether it is tax-exempt. Do not count only homes in your own name.

### If the rent is taxable, do you pay 14% of it?

If taxable residential rental revenue is at most 20 million won a year, you can choose how it is taxed. The options are taxation as part of your total income or separate taxation. The income tax rate for separate taxation is 14%.

Multiplying the total rent by 14% may not give you the actual tax due. Allowable expenses and applicable deductions must be accounted for first. Check local income tax separately as well. [National Tax Service guide to reporting residential rental income](https://www.nts.go.kr/nts/cm/cntnts/cntntsView.do?cntntsId=7686&mi=2250)

## Does receiving rent end your dependent status under health insurance?

Receiving tax-exempt rent does not, by itself, mean you lose your dependent status. Tax-exempt income under the Income Tax Act is excluded when calculating income for health insurance. This principle appears in regulations effective October 1, 2026. [Enforcement Decree of the National Health Insurance Act, Article 41](https://law.go.kr/lsLinkCommonInfo.do?lsJoLnkSeq=1021008763)

However, tax-exempt rent does not guarantee that you meet all the requirements for dependent status. Dependents must meet both the support requirements and the income and asset requirements. Other pension or financial income and changes in assets must also be checked. [Enforcement Rule of the National Health Insurance Act, Article 2](https://www.nhis.or.kr/lm/lmxsrv/law/lawLinkContentView.do?LINKCODE=c000200000&SEQ=29)

Have the following information ready when consulting the National Health Insurance Service.

- Your current health insurance status and relationship to the employee-insured person
- Homes owned by you and your spouse
- Expected rent and whether it is taxable
- Other income and assets

## Calculate tax-exempt rent and welfare benefits separately

Even if rent is tax-exempt, it may be treated differently when income is assessed for welfare benefits. Rental income may be included in the recognized income amount used for the Basic Pension. A 2026 report by the National Pension Research Institute also classifies rental income as business income. [2026 study on improving the Basic Pension eligibility criteria model](https://institute.nps.or.kr/fileDown.do?atchFileId=FL26001907&atchFileSn=2)

The National Basic Livelihood Security system also considers income earned by renting out property. Do not assume that your living expenses can increase by the full amount of the rent. If you receive the Basic Pension or a livelihood benefit, ask the responsible agency how a change would affect it. [Easy-to-Find Practical Law: income criteria](https://easylaw.go.kr/CSP/CnpClsMain.laf?ccfNo=2&cciNo=2&cnpClsNo=2&csmSeq=1533)

Calculate the amount actually available for living expenses by accounting for the following.

- Subtract added utility and repair costs from the rent received.
- If the rent is taxable, account for the expected tax.
- Check whether your health insurance status or premiums will change.
- If welfare benefits decrease, account for that difference too.

This calculation must distinguish rental revenue from the homeowner’s disposable income. Disposable income is the money actually available to spend after paying costs and other expenses. Calculate the effect of a vacancy separately as well.

## Example calculation with 350,000 won in monthly rent

Under the assumptions below, monthly rent of 350,000 won reduces the monthly shortfall in living expenses to 470,000 won. This is not an example of an actual participant’s results. Nor is 350,000 won presented as a standard price for the Seoul program.

| Homeowner’s monthly household budget | Before sharing | After sharing |
|---|---:|---:|
| Assumed pension income | 910,000 won | 910,000 won |
| Assumed rental income | None | 350,000 won |
| Assumed living expenses | 1.73 million won | 1.73 million won |
| Monthly shortfall | 820,000 won | 470,000 won |

The calculation subtracts 910,000 won and 350,000 won from 1.73 million won a month. Living expenses still exceed income under these conditions. The table does not account for added costs or changes in welfare benefits.

If the resident’s previous monthly rent was 700,000 won, the difference would be 350,000 won a month. If the same conditions continued for 12 months, the annual difference in rent would be 4.2 million won. For that amount to become actual savings, other spending must not increase.

### Could the savings last 6 years longer?

The result of about 6 extra years is an arithmetic figure based on specific assumptions. Savings spent at 820,000 won a month for 8 years total 78.72 million won. At 470,000 won a month, the same savings would last about 14 years.

This calculation does not account for interest or inflation. It also excludes added expenses such as medical costs. It assumes rent continues to come in without a vacancy.

## Does tenancy protection apply to a contract for one room?

A contract to rent part of a residential building is also covered by the Housing Lease Protection Act. Renting just one room does not remove that protection. There is an exception when the lease is clearly for temporary use.

If a lease covered by the law sets a term of less than 2 years, it is generally treated as a 2-year lease. The tenant can assert a shorter agreed term if it is more favorable to them. It would therefore be inaccurate to describe the homeowner’s and resident’s rights in the same way.

Registration of residence should be distinguished from whether the law applies at all. Taking possession of the home and registering residence are key requirements for enforceability against third parties. This allows a tenant to assert their tenancy rights even if the homeowner changes. [Easy-to-Find Practical Law: Housing Lease Protection Act](https://www.easylaw.go.kr/CSP/CnpClsMain.laf?ccfNo=5&cciNo=1&cnpClsNo=1&csmSeq=1171)

The Jung-gu Office notice states a contract term of 6 months. That notice alone does not determine the legal length of stay under every contract. Check the nature of the actual contract and the applicable law with the department in charge.

### What to put in the contract and house rules

Specify the rented room and shared spaces in the contract. House rules can be used to document costs and the scope of activities. Even a written agreement may have limited effect if it conflicts with the law.

| Item | What to agree on |
|---|---|
| Rented space | Location of the personal room, shared spaces, storage areas |
| Costs | Rent, payment date, utility cost sharing, handling of repair costs |
| Privacy | Entry into the room, visitors, overnight guests, key management |
| Daily schedule | Laundry and cooking times, noise, considerations when coming home |
| Help around the home | Tasks, time spent on them, arrangements during absences |
| End of contract | Notice of termination, settlement of costs, move-out checks |
| Disputes | Contact details for the responsible agency, how to record agreements |

When an owner rents out their own home, it is a lease. When a tenant rents out a home they have leased, it is a sublease. If you are a tenant, check your existing contract and any subletting conditions first.

For an apartment, it is also worth checking shared facilities and building management rules. Do not skip a contract review just because the property is a detached house or a villa. Whether home sharing is possible depends first on the actual ownership and tenancy arrangements.

## Comparing home sharing abroad with the Korean program

Arrangements for exchanging rent and help around the home vary by location overseas. Conditions from overseas examples do not automatically apply to contracts in Korea. Compare the connecting organization’s role and the support it provides afterward as well.

| Example | Arrangement described in official guidance | What Korean readers should distinguish |
|---|---|---|
| Wohnen für Hilfe in Munich, Germany | Negotiated around a guideline of 1 hour of help per month for each 1㎡ of room space | Not a uniform legal obligation throughout Germany |
| HomeShare Vermont in the United States | Rent, help around the home, or both are exchanged | Not limited to a model in which all residents are young |
| Seoul’s One Roof, Generational Empathy | Connects affordable rooms with sharing everyday tasks | Check student eligibility and district conditions for the Korean program |

The Munich student services organization says agreed additional costs are paid monthly. Examples of help include grocery shopping and housework. The specific help is set by individual agreement. [Munich Wohnen für Hilfe guide](https://www.studierendenwerk-muenchen-oberbayern.de/wohnheime/weitere-wohnangebote/wohnen-fuer-hilfe/)

HomeShare Vermont is a model that provides a private bedroom and shared spaces. Its participation process includes background and reference checks and an interview during a home visit. Whether a Korean connecting organization has such procedures is also worth asking. [HomeShare Vermont participation guide](https://www.homesharevermont.org/share-your-home/)

### A common mistake when reading overseas satisfaction figures

In HomeShare Vermont’s 2021 fiscal year report, 46% is not a nursing home admission rate. It is the share of respondents who said they would have difficulty living safely and comfortably at home without the person living with them. It cannot be read as the percentage whose nursing home admission was actually prevented.

The result came from a survey of matched participants. It is not evidence that every older person would experience the same effect. Do not interpret it to mean that living together replaces professional care. [HomeShare Vermont 2021 annual report](https://www.homesharevermont.org/wp-content/uploads/2021/10/Annual-Report-2021-WEB.pdf)

## What to check before starting home sharing

If you are considering participating, first check the condition of the spare room and calculate the effect on your living expenses. Then compare public program eligibility with the contract terms. Ask for a chance to discuss each other’s lifestyles directly before being matched with a resident.

1. Decide which space will be the private room and which spaces will be shared.
2. Calculate expected net income after subtracting added expenses from the rent.
3. Check eligibility and current recruitment with the district office.
4. Ask the National Tax Service and the National Health Insurance Service about your circumstances.
5. If you receive welfare benefits, discuss the effect of an income change with the responsible agency.
6. Review the contract and house rules, then set a move-in date.

Help with grocery shopping and ongoing care are different commitments. Check when a young resident will be away because of study or work. If help is essential at particular times, it is better to arrange a separate support plan.

## FAQ

### Can I count on income from home sharing like a pension?
It is difficult to treat it as a fixed pension income. Rental income will change if the room is vacant or the lease ends. Plan your living expenses based on net income after additional costs.

### Can young working adults also apply for the One Roof, Generational Empathy program?
Under the Seoul Housing Portal's eligibility rules, students must be enrolled in or on leave from a university or graduate school in Seoul. Being employed alone does not make someone eligible. If you also meet the student requirements, check with the district office in charge.

### Is monthly rent for home sharing throughout Seoul at most 300,000 won?
That cannot be stated as a limit that applies throughout Seoul. A Jung-gu District Office notice dated September 2, 2026, describes monthly rent with no deposit as around 50% of the market rate. Check the actual rent and utilities before signing a lease.

### Is the 1 million won for home improvements a cash grant?
The Jung-gu District Office notice describes home improvement work of up to 1 million won per room. It cannot be described as cash you can spend freely or a monthly living allowance. Check with the department in charge about the scope of the work and how it will be carried out.

### If I own one home and rent out just a room, is the rent tax-exempt?
If a couple owns one home in Korea between them and its standard assessed value is at most 1.2 billion won, the rent is generally tax-exempt. Homes outside Korea and homes with a standard assessed value of more than 1.2 billion won are exceptions. If the home is jointly owned or there are other complications, check how the number of homes is counted.

### Is a standard assessed value of 1.2 billion won the same as a sale price of 1.2 billion won?
They are different measures of value. Do not use the actual sale price to determine whether the rent is tax-exempt. Check the standard assessed value used to assess rental income from housing.

### If I receive tax-exempt rent, can I keep my dependent status under health insurance?
Tax-exempt income is excluded from the health insurance income calculation. However, you must also meet the other income and property requirements for dependents. Tax-exempt rent alone does not guarantee that you can keep your dependent status.

### If the rent is tax-exempt, will it have no effect on my Basic Pension?
Income tax exemption and the income assessment for the Basic Pension are determined separately. Rental income may be counted and affect your eligibility or the amount you receive. Check with the agency responsible for the Basic Pension before signing a lease.

### If the lease is for six months, can the landlord ask me to move out after six months?
The lease term stated in the notice alone is not enough to determine that. If the Housing Lease Protection Act applies, minimum-term protections may apply even to an agreement for less than two years. You need to check the nature of the actual agreement.

### How much would receiving 350,000 won a month help with living expenses?
Assuming a monthly pension of 910,000 won and monthly living expenses of 1.73 million won, the monthly shortfall would fall from 820,000 won to 470,000 won. This calculation does not account for additional costs, taxes or changes in welfare benefits.

### Can I ask the young tenant to provide caregiving too?
Agree in advance on the specific scope of help with daily life. Grocery shopping or companionship should not be expanded into an obligation to provide ongoing care. Make a separate plan for any care you need.

### What should I include in a home-sharing lease?
Specify the room being rented, shared spaces, monthly rent and how utilities will be split. It is also a good idea to set rules for visitors and noise and define the scope of help with daily life. Agree on how the lease will end and how payments will be settled.

## Sources

- [Seoul Housing Portal Intergenerational Understanding Under One Roof](https://housing.seoul.go.kr/site/main/content/sh01_060504)
- [Jung-gu Office Guide to the Youth-Senior Home-Sharing Program, Intergenerational Understanding Under One Roof, September 2, 2026](https://www.junggu.seoul.kr/content.do?cid=1471653705&cmsid=14231&mode=view)
- [National Tax Service Guide to Housing Rental Income Taxation Criteria and Tax-Exempt Income](https://www.nts.go.kr/nts/cm/cntnts/cntntsView.do?cntntsId=7678&mi=2227)
- [National Tax Service Guide to Reporting Housing Rental Income](https://www.nts.go.kr/nts/cm/cntnts/cntntsView.do?cntntsId=7686&mi=2250)
- [Enforcement Decree of the National Health Insurance Act, Article 41 (Monthly Income Amount), effective October 1, 2026](https://law.go.kr/lsLinkCommonInfo.do?lsJoLnkSeq=1021008763)
- [National Health Insurance Service Legal Information: Article 2 of the Enforcement Rule of the National Health Insurance Act](https://www.nhis.or.kr/lm/lmxsrv/law/lawLinkContentView.do?LINKCODE=c000200000&SEQ=29)
- [National Pension Research Institute Study on Improving the Model for 2026 Basic Pension Eligibility Criteria](https://institute.nps.or.kr/fileDown.do?atchFileId=FL26001907&atchFileSn=2)
- [Easy-to-Find Practical Legal Information: Checking Basic Livelihood Security Income Criteria](https://easylaw.go.kr/CSP/CnpClsMain.laf?ccfNo=2&cciNo=2&cnpClsNo=2&csmSeq=1533)
- [Easy-to-Find Practical Legal Information: Housing Lease Protection Act](https://www.easylaw.go.kr/CSP/CnpClsMain.laf?ccfNo=5&cciNo=1&cnpClsNo=1&csmSeq=1171)
- [Information on Wohnen für Hilfe from Studierendenwerk München Oberbayern](https://www.studierendenwerk-muenchen-oberbayern.de/wohnheime/weitere-wohnangebote/wohnen-fuer-hilfe/)
- [HomeShare Vermont Share Your Home](https://www.homesharevermont.org/share-your-home/)
- [HomeShare Vermont 2021 Annual Report Participant Survey](https://www.homesharevermont.org/wp-content/uploads/2021/10/Annual-Report-2021-WEB.pdf)

## Images

![An older woman at a kitchen table watches a student enter a bedroom with a blue suitcase.](https://injoys.com/rails/active_storage/blobs/proxy/eyJfcmFpbHMiOnsiZGF0YSI6MzEwNjUsInB1ciI6ImJsb2JfaWQifX0=--192f1def95f76559f863cf1b8229fe5b6d0955b3/ai-236010b2.webp)
![A student tests his bedroom door lock while an older homeowner watches from the apartment hallway.](https://injoys.com/rails/active_storage/blobs/proxy/eyJfcmFpbHMiOnsiZGF0YSI6MzEwNzEsInB1ciI6ImJsb2JfaWQifX0=--541e262937e6b331694fbcc339ac8ad345a6aaf0/ai-9a95d3e7.webp)