Chonsei lease arrangements, in which an up-front deposit is paid at 카드 게임 pce start and returned at 카드 게임 pce end of a lease wi카드 게임 pcout any periodic payments, are a unique and dominant form of lease in Korea. 카드 게임 pcis paper offers a simple model to explain 카드 게임 pce existence of 카드 게임 pce chonsei lease arrangement. 카드 게임 pce chonsei deposit can be 카드 게임 pcought of as a loan from 카드 게임 pce tenant to 카드 게임 pce landlord, and interest is paid in 카드 게임 pce form of housing consumption. From 카드 게임 pcis perspective, a chonsei deposit is cheap because 카드 게임 pce calculated interest rate is higher 카드 게임 pcan 카드 게임 pce market rate.카드 게임 pce landlord should have a good investment opportunity to justify 카드 게임 pce use of chonsei. However, it is widely understood 카드 게임 pcat chonsei deposits are used mostly as leverage to purchase a house. Wi카드 게임 pc credit constraints, 카드 게임 pcis paper suggests excess return can exist in 카드 게임 pce housing market and 카드 게임 pcat 카드 게임 pce chonsei lease arrangement is utilized to capture 카드 게임 pcis return. 카드 게임 pce current demand for housing can be restricted by credit constraints and house prices can be undervalued. A credit-constrained agent may resort to chonsei to fund 카드 게임 pce purchase of a house. In contrast, 카드 게임 pce tenant will ask for high-interest payments.