South Korea offers investor visas to foreigners investing in the country through bank deposit, real estate or risk based investment.
The Immigrant Investor Scheme for Public Business (IISPB) grants Resident (F-2) status, which allows free economic activities, to foreigners making certain amount of investment in compliance with the standard set by the Minister of Justice, and allows changing the status to Permanent Resident (F-5) if the foreign investor maintains the investment for at least 5 years.
Resident (F-2) status, which allows free economic activities, is granted to a foreign investor, the spouse and the unmarried children, and changing the status to Permanent Resident (F-5) is allowed if the foreign investor maintains the investment for at least 5 years.
Minimum Investment
- 500 million KRW (US$450,000) or more
- 300 million KRW (US$ 265,000) or more for a retiree investor over 55 years of age
Besides the investment, a retiree investor and the spouse should have assets of 300 million KRW or more at home and abroad.
Investment types
- Principal Guaranteed and Interest-F ree InvestmentForeign investors deposit the minimum required money in the public fund which the Korea Development Bank, commissioned by the Ministry of Justice, operates and the investment principal (only) is returned after 5 years.The Korea Development Bank lends the deposit to Small and Medium sized Enterprises at low interest rates.
- Risk-based InvestmentForeign investors make investment of the minimum required money in the development projects carried forward in less developed regions* designated and notified by the Minister of Justice through consultations with the relevant ministry (Ministry of Land, Infrastructure and Transport), and make or lose profits from the investment.
Development promotion regions (Yeongju, Andong, Yecheon) in underdeveloped areas under 「Special Act on the Promotion of Development Investments in Underdeveloped Areas」, and Tourism-Leisure Style Enterprise Cities (Taean, Yeongam, Haenam) under「Special Act on the Development of Enterprise Cities
Immigrant Investor Scheme for Real Estate
The Immigrant Investor Scheme for Real Estate (IISRE), introduced for Jeju Island in February 2010, is a government program which gives F-2 Residential status to foreigners investing a certain amount money in real estate designated by the Minister of Justice, and the foreign investors will get F-5 Permanent Resident, if they hold onto the purchased real estate for at least five years.
- Permanent residency: Investors can gain F-2 if they invest up to 700 million KRW in a real estate designated by the Ministry of Justice, and then acquire the right of permanent residence (F-5) after 5 years.
- Guarantee of Mobility: Investors can freely visit to or reside in other regions beside ones under the IISRE after reporting a change in their place of temporary residence.
- Education: Investors can get public education as Korean citizens do or register the International School in Juju’s Global Education City.
- Medical insurance: Investors have health insurance coverage as Korean citizens do.
- Real estate transactions: Investors can freely divest real estate holdings after getting permanent residency.
- Employment: Investor’s spouse or family members can get a job or engage in any commercial activities.
Real Estates Designated for the Application of IISRE
Regions that fall under the IISRE are Pyeongchang in Gangwon-do, the Incheon Free Economic Zone, Jeju-do, Yeosu in Jeollanam-do, Haeundae and the East Busan Tourism Complex in Busan, Paju in Gyeonggi-do according to Administrative Act NO. 2015-317 of the Ministry of Justice as of 2015.
| Pyeongchang Gangwon-do | Incheon Free Economic Zone | Jeju-do | Yeosu Jeollanam-do | Busan | Paju Gyeonggi-do | |
|---|---|---|---|---|---|---|
| Investments | Alpensia Resort | Songdo International City, Yeongjong District, Cheongna International City | Jeju Special Self-governing Province | Yeosu Gyeong-do Ocean Tourist Resort | Haeundae Tourist Resort,East Busan Tourism Complex | Tongil Dongsan Zone |
| Minimum Investment Amounts | 500 million KRW | 700 million KRW | 500 million KRW | 500 million KRW | 500 million KRW for East Busan Tourism Complex700 million KRW for Haeundae | 500 million KRW |
| Investment Period | ’13.05~’18.04 | ’13.05~’18.04 | ’13.05~’18.04 | ’13.05~’18.04 | ’13.05~’18.04 | ’15.11~’20.10 |
Source : Administrative Act NO. 2015-317 of the Ministry of Justice (2015); Subparagraph 27 of Attached Table 1 of the Enforcement Decree of the Immigration Control Act.
| C-3 | F-1 | F-2 | F-5 | |
|---|---|---|---|---|
| Type | Business visa | Visiting visa | Resident visa | Permanent visa |
| Validity Period | Three years on condition of a stay of no more than 90 days | One year | Two years in the initial visa application, Three years in case of applying for the extension | Permanent |
| Requirements | Purchase or possession (registration completed) of recreation facilities (condominiums, etc.) worth more than 500 million KRW | More than 100 million KRW is paid for a deposit and interim payments. | Purchase or possession (registration completed) of recreation facilities (condominiums, etc.) worth more than 500 million KRW | Having maintained the qualification of F-2 visa for over 5 years with no grounds for disqualification |
| Recipients | Investor and his/her accompanying family member (parents, spouse, children, parents-in-law) | Investor | Investor ※ Investor’s accompanying family member (spouse/underage children) can apply only for F-1 visa of 2 years. |
Investor ※ Investor’s accompanying family member can apply only for it after the investor gets permanent residency. |
| Advantages | It allows you freely to visit to Korea without applying for foreigner registration. | It allows small investors to stay. | Even if you reside in Korea, it allows you to visit to Korea and to apply for the visa renewal. | It allows you to engage in real estate transactions and to change your residence place in Korea. |
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| Notes | It is useful if you do not need a F-2 visa or permanent residency. | It allows an investor to visit even before real estate is registered. | Application for permanent residence is possible after keeping investment for 5 years | F-2 extension is possible just in case of denial of permanent residence |
Source : The brochure of the Permanent Residency under the Immigrant Investor Scheme for Real Estate by courtesy of the department of Investment Attraction, Jeju Special Self-governing Province.
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