• Daily Illinois
  • About
  • Contact
  • Privacy
  • Terms
  • DMCA
  • Sitemap
  • Write For Us
Daily illinois - USA | News, Sports & Updates Web Magazine
  • News
    • All
    • Business
    • Education
    • Politics
    • Sports
    • World
    Choosing the Right Construction Estimator: A Guide to Making the Best Decision

    Choosing the Right Construction Estimator: A Guide to Making the Best Decision

    Lifesaving Domestic Violence Resources in Pinellas County

    Lifesaving Domestic Violence Resources in Pinellas County

    Non-Cash Compensations to Keep Employees Motivated!

    4 Powerful Non-Cash Compensations to Keep Employees Motivated!

    Brand Awareness Measurement Strategies

    8 Proven Brand Awareness Measurement Strategies to Grow

    Eco-Friendly Bubble Mailers: Boost Green Brand Reputation

    Eco-Friendly Bubble Mailers: Elevate Your Green Brand Reputation

    Unlock Faster App Development with Automation Testing

    Unlock Automation Testing to Master Faster App Development

    Why Hiring a Custom Graphic Design Company is Key for Brand Success

    Why Hiring a Custom Graphic Design Company is Key for Brand Success

    Giannis Antetokounmpo’s Performance: Greece Exits 2024 Olympics

    Giannis Antetokounmpo’s Performance: Greece Exits 2024 Olympics

    Highlights of AFC Asian Cup Qatar

    Highlights of AFC Asian Cup Qatar 2023

    Illinois sets a new record for cannabis sales. Doctors notice an increase in psychotic disorders due to the use of cannabis

    Illinois Sets a New Record for Cannabis Sales. Doctors Notice an Increase in Psychotic Disorders Due to the Use of Cannabis

  • Science & Tech
    • All
    • Ai - Artificial Intelligence
    • Apps
    • Mobile
    Having-trouble-with-AirDrop-Discover-ways-to-resolve-the-issue

    Having trouble with AirDrop? Discover ways to resolve the issue.

    MiniTool ShadowMaker Best Backup Software for Your Data

    MiniTool ShadowMaker Best Backup Software for Your Data

    What exactly is a Snapchat Streak

    What exactly is a Snapchat Streak?

    Access WhatsApp on your iPad through WhatsApp Web.

    Ways to Access WhatsApp on an iPad

    AI and Machine Learning Trends Revolutionizing Security

    7 AI and Machine Learning Trends Revolutionizing Security

    How-to-Lock-Your-Facebook-Profile-on-iPhone,-Android-&-Desktop

    How to Lock Your Facebook Profile on iPhone, Android & Desktop

    How to Log out of Facebook

    Steps to Sign Out of Facebook

    How to Know If Someone Blocked You on Snapchat

    How to Know If Someone Blocked You on Snapchat

    How to Update Apps on iPhone (2024 Guide)

    How to Update Apps on iPhone

    Best Game Engines for Android and iOS For Simplifying Game Development in 2025

    Best Game Engines for Android and iOS For Simplifying Game Development in 2025

  • Entertainment
    • All
    • Gaming
    • Movie
    • Music
    Comprehensive Guide to Among Us Characters Everything You Should Be Aware Of

    Comprehensive Guide to Among Us Characters Everything You Should Be Aware Of

    Castle

    10 Awesome Projects to Create in Minecraft

    A Guide to Acquiring and Utilizing Command Blocks in Minecraft.png

    A Guide to Acquiring and Utilizing Command Blocks in Minecraft

    Shooting Games Unblocked: A Comprehensive Guide to TBG95

    Shooting Games Unblocked: A Comprehensive Guide to TBG95

    How Immersive Gaming & VR are Shaping PC Gaming's Future

    How Immersive Gaming & VR are Shaping PC Gaming’s Future

    Brazilian Jiu-Jitsu (BJJ) - 7 Proven Tips to Boost Your Skills

    Brazilian Jiu-Jitsu (BJJ) – 7 Proven Tips to Boost Your Skills

    Best Game Engines for Android and iOS For Simplifying Game Development in 2025

    Best Game Engines for Android and iOS For Simplifying Game Development in 2025

    Dance Studios in to Get Cheap Dance Classes in Chicago

    9 Dance Studios in to Get Cheap Dance Classes in Chicago

    Video Game

    Video Game Workers Must Continue to Join Unions in 2024

    Exploring the Free Best Websites Online Games

    Exploring the Free Best Websites Online Games

    • F95zone
  • Lifestyle
    • All
    • Fashion
    • Food
    • Travel
    Top Caption Selfie Hacks to Boost Your Engagement Fast!

    10 Best Caption Selfie Hacks to Boost Your Engagement Fast!

    Understanding Ear Wax Build-Up With Causes & Solutions

    Top 5 Ways to Prevent Ear Wax Build-Up Naturally

    Driving Uninsured Here Are 5 Risks You’re Subjecting Yourself To.jpg

    Driving Uninsured Here Are 5 Risks You’re Subjecting Yourself To

    Tips for Choosing Furniture: Creating a Space that Reflects You

    Tips for Choosing Furniture: Creating a Space that Reflects You

    5 Ways Pool Liners Boost Energy Efficiency

    Save Money: 5 Ways Pool Liners Boost Energy Efficiency

    Brazilian Jiu-Jitsu (BJJ) - 7 Proven Tips to Boost Your Skills

    Brazilian Jiu-Jitsu (BJJ) – 7 Proven Tips to Boost Your Skills

    Best Fat Reduction Treatments to Sculpt Your Dream Body!

    2 Best Fat Reduction Treatments to Sculpt Your Dream Body!

    Proven Steps to Get Rid of Lice Fast at a Lice Salon

    6 Powerful Reasons to Visit a Lice Salon for Fast Relief

    Reasons a Golf Ball Bottle Opener Will Be the Life of Your Next Party

    5 Reasons a Golf Ball Bottle Opener Will Elevate Your Party

    10 Steps to Your Perfect Senior Living Rentals Home!

    10 Steps to Your Perfect Senior Living Rentals Home!

  • Articles
    • Startup
    • Social Media
33 °f
Chicago
35 ° Sat
35 ° Sun
35 ° Mon
37 ° Tue
No Result
View All Result
Daily illinois - USA | News, Sports & Updates Web Magazine
  • News
    • All
    • Business
    • Education
    • Politics
    • Sports
    • World
    Choosing the Right Construction Estimator: A Guide to Making the Best Decision

    Choosing the Right Construction Estimator: A Guide to Making the Best Decision

    Lifesaving Domestic Violence Resources in Pinellas County

    Lifesaving Domestic Violence Resources in Pinellas County

    Non-Cash Compensations to Keep Employees Motivated!

    4 Powerful Non-Cash Compensations to Keep Employees Motivated!

    Brand Awareness Measurement Strategies

    8 Proven Brand Awareness Measurement Strategies to Grow

    Eco-Friendly Bubble Mailers: Boost Green Brand Reputation

    Eco-Friendly Bubble Mailers: Elevate Your Green Brand Reputation

    Unlock Faster App Development with Automation Testing

    Unlock Automation Testing to Master Faster App Development

    Why Hiring a Custom Graphic Design Company is Key for Brand Success

    Why Hiring a Custom Graphic Design Company is Key for Brand Success

    Giannis Antetokounmpo’s Performance: Greece Exits 2024 Olympics

    Giannis Antetokounmpo’s Performance: Greece Exits 2024 Olympics

    Highlights of AFC Asian Cup Qatar

    Highlights of AFC Asian Cup Qatar 2023

    Illinois sets a new record for cannabis sales. Doctors notice an increase in psychotic disorders due to the use of cannabis

    Illinois Sets a New Record for Cannabis Sales. Doctors Notice an Increase in Psychotic Disorders Due to the Use of Cannabis

  • Science & Tech
    • All
    • Ai - Artificial Intelligence
    • Apps
    • Mobile
    Having-trouble-with-AirDrop-Discover-ways-to-resolve-the-issue

    Having trouble with AirDrop? Discover ways to resolve the issue.

    MiniTool ShadowMaker Best Backup Software for Your Data

    MiniTool ShadowMaker Best Backup Software for Your Data

    What exactly is a Snapchat Streak

    What exactly is a Snapchat Streak?

    Access WhatsApp on your iPad through WhatsApp Web.

    Ways to Access WhatsApp on an iPad

    AI and Machine Learning Trends Revolutionizing Security

    7 AI and Machine Learning Trends Revolutionizing Security

    How-to-Lock-Your-Facebook-Profile-on-iPhone,-Android-&-Desktop

    How to Lock Your Facebook Profile on iPhone, Android & Desktop

    How to Log out of Facebook

    Steps to Sign Out of Facebook

    How to Know If Someone Blocked You on Snapchat

    How to Know If Someone Blocked You on Snapchat

    How to Update Apps on iPhone (2024 Guide)

    How to Update Apps on iPhone

    Best Game Engines for Android and iOS For Simplifying Game Development in 2025

    Best Game Engines for Android and iOS For Simplifying Game Development in 2025

  • Entertainment
    • All
    • Gaming
    • Movie
    • Music
    Comprehensive Guide to Among Us Characters Everything You Should Be Aware Of

    Comprehensive Guide to Among Us Characters Everything You Should Be Aware Of

    Castle

    10 Awesome Projects to Create in Minecraft

    A Guide to Acquiring and Utilizing Command Blocks in Minecraft.png

    A Guide to Acquiring and Utilizing Command Blocks in Minecraft

    Shooting Games Unblocked: A Comprehensive Guide to TBG95

    Shooting Games Unblocked: A Comprehensive Guide to TBG95

    How Immersive Gaming & VR are Shaping PC Gaming's Future

    How Immersive Gaming & VR are Shaping PC Gaming’s Future

    Brazilian Jiu-Jitsu (BJJ) - 7 Proven Tips to Boost Your Skills

    Brazilian Jiu-Jitsu (BJJ) – 7 Proven Tips to Boost Your Skills

    Best Game Engines for Android and iOS For Simplifying Game Development in 2025

    Best Game Engines for Android and iOS For Simplifying Game Development in 2025

    Dance Studios in to Get Cheap Dance Classes in Chicago

    9 Dance Studios in to Get Cheap Dance Classes in Chicago

    Video Game

    Video Game Workers Must Continue to Join Unions in 2024

    Exploring the Free Best Websites Online Games

    Exploring the Free Best Websites Online Games

    • F95zone
  • Lifestyle
    • All
    • Fashion
    • Food
    • Travel
    Top Caption Selfie Hacks to Boost Your Engagement Fast!

    10 Best Caption Selfie Hacks to Boost Your Engagement Fast!

    Understanding Ear Wax Build-Up With Causes & Solutions

    Top 5 Ways to Prevent Ear Wax Build-Up Naturally

    Driving Uninsured Here Are 5 Risks You’re Subjecting Yourself To.jpg

    Driving Uninsured Here Are 5 Risks You’re Subjecting Yourself To

    Tips for Choosing Furniture: Creating a Space that Reflects You

    Tips for Choosing Furniture: Creating a Space that Reflects You

    5 Ways Pool Liners Boost Energy Efficiency

    Save Money: 5 Ways Pool Liners Boost Energy Efficiency

    Brazilian Jiu-Jitsu (BJJ) - 7 Proven Tips to Boost Your Skills

    Brazilian Jiu-Jitsu (BJJ) – 7 Proven Tips to Boost Your Skills

    Best Fat Reduction Treatments to Sculpt Your Dream Body!

    2 Best Fat Reduction Treatments to Sculpt Your Dream Body!

    Proven Steps to Get Rid of Lice Fast at a Lice Salon

    6 Powerful Reasons to Visit a Lice Salon for Fast Relief

    Reasons a Golf Ball Bottle Opener Will Be the Life of Your Next Party

    5 Reasons a Golf Ball Bottle Opener Will Elevate Your Party

    10 Steps to Your Perfect Senior Living Rentals Home!

    10 Steps to Your Perfect Senior Living Rentals Home!

  • Articles
    • Startup
    • Social Media
No Result
View All Result
Daily illinois - USA | News, Sports & Updates Web Magazine
No Result
View All Result
Home News Business

Meet The Korean Apartment Rental Startup Disrupting A Red-Hot Housing Market

by admin
December 5, 2022
in Business
0
Meet The Korean Apartment Rental Startup Disrupting A Red-Hot Housing Market
492
SHARES
1.4k
VIEWS
Share on FacebookShare on Twitter

 

As a founding member of WeWork Labs, the shared office space giant’s venture arm, Matthew Shampine helped transform the world of commercial real estate. Now he’s taking on South Korea’s deposit-heavy residential real estate market, one rental at a time.

Living in cramped, unaffordable apartments remains an unglamorous reality for many adults. When Matthew Shampine, the Korean-American cofounder and CEO of apartment rental startup Dongnae, moved to Seoul with his wife and newborn daughter, he saw an opportunity to reshape that reality in South Korea.

“I really, really wanted to do something that would have the most impact on the most number of people,” says Shampine, 39, in a video interview. “You can ask anyone here, but Koreans have a strong affinity towards residential real estate … we can change the entire experience, all the way through, and cater to their needs.”

Born in South Korea, Shampine was adopted in the United States, and grew up in New Jersey. In 2007, he returned to Korea for a Korean-American adoptee conference and reconnected with his biological family. There, he made it a mission to return for good—and do good for the country.

Shampine joined WeWork in 2011 and cofounded WeWork Labs, the office-sharing company’s startup incubator. In 2018, he became general manager of WeWork Korea, where he met Dongnae cofounder Insong Kim, who serves as the company’s chief strategy officer.

Together, the pair launched Seoul-based Dongnae in 2020, with the aim to make moving into an apartment more affordable and accessible. Its key product, Dongnae FLEX, offers short-term, fully-furnished rental properties with low deposits, appealing to fresh graduates or travelers unable to cough up the exorbitant deposits—as much as 350 months of rent, the startup says—that are typically required of Korea’s apartments.

From left: Suzie Lee, Chief Revenue Officer; Matthew Shampine, cofounder and CEO; Insong Kim, cofounder and Chief Strategy Officer; Sunju Yook, CFO

RelatedPosts

Choosing the Right Construction Estimator: A Guide to Making the Best Decision

Choosing the Right Construction Estimator: A Guide to Making the Best Decision

November 29, 2024
Non-Cash Compensations to Keep Employees Motivated!

4 Powerful Non-Cash Compensations to Keep Employees Motivated!

November 15, 2024
Brand Awareness Measurement Strategies

8 Proven Brand Awareness Measurement Strategies to Grow

November 28, 2024
Eco-Friendly Bubble Mailers: Boost Green Brand Reputation

Eco-Friendly Bubble Mailers: Elevate Your Green Brand Reputation

October 10, 2024

Courtesy of Dongnae

“The way our product has come about is we really enable people to live the apartments that they want to,” Shampine says. “We unlock all these new options because you’re not limited by the amount of money you have set aside for a deposit.”

So far, Dongnae has opened its doors to both local and international investors. Its $21 million series A funding round in March included NFX, which has backed the likes of Lyft and Doordash, and proptech-focused MetaProp, a backer of Airbnb, along with Korea’s oldest investment fund Daol Investment and Hana Financial. The fresh capital brought the startup’s total funding to approximately $34 million, following its $4.1 million seed round in December 2020 and $700,000 pre-seed round the year prior. Dongnae declined to disclose its current valuation.

“Residential real estate is the largest asset class here in Korea,” said Kyung Kuk-hyun, managing director at Daol Investment, in a statement about Dongnae’s latest funding. “Dongnae’s incredible growth paired with their strong financial partnerships with leading financial institutions make this investment compelling.”

Over 80% of Korean household wealth is in real estate, compared to roughly 35% in the United States, but homeownership has proven increasingly difficult. The average price of an apartment in Seoul, the country’s capital and most populated city, doubled between 2017 and 2021 to over $1 million. Housing formed a centerpiece of Korea’s latest presidential debates, with newly elected President Yoon Suk-yeol pledging to cool down the market and construct 2.5 million new homes nationwide over his five-year term.

Protestors rally against Korean real estate policies on July 25, 2020 in Seoul.

Chris Jung/NurPhoto via Getty Images

Renting is not always an easier alternative. Korea’s rental housing market largely relies on jeonse, a unique payment system requiring tenants to provide large upfront deposits. Known as “key money,” these lump sums are up to 80% of a unit’s sale price—the average jeonse price for apartments in Seoul was approximately $516,000 in August, while certain districts could reach up to $572,400, according to figures from KB Kookmin Bank.

The widespread practice of taking out loans to unlock “key money” adds to Korea’s deepening household debt crisis, which topped 104% of Korea’s GDP in June. Among the country’s top five lenders, jeonse debt reached $106.4 billion last June, up from $37.8 billion that month in 2017. Over half of the outstanding loans stemmed from adults in their 20s and 30s, who owed $63 billion.

More Koreans are moving out of the high-deposit rental system. Of the total 258,313 lease transactions for apartments and houses in April, 50.4% of them were for monthly rentals, not jeonse, according to Korea’s Ministry of Land, Infrastructure and Transport—the first month since 2011 that jeonse did not lead transactions.

Shampine links the move away from jeonse to the evolving needs of young professionals, who are rethinking traditional ideals of marriage, child-rearing and homeownership. In addition to the “freeing” sensation of living without debt, short-term property rentals provide these adults the opportunity to explore more independent and flexible living arrangements, while prioritizing their careers or friendships – an apartment’s school district is less important than its proximity to work or location in a “cool neighborhood,” he says.

“For people in their late 20s and early 30s, the idea of being independent from your parents is different than being independent in terms of not having a roommate,” says Shampine. “You can both work together and really have an amazing apartment. In the past, here in Korea, your options were either living in a really small co-living space, or an officetel (a building with offices and residential units) with no amenities at all.”

Apartment buildings of the southern Seoul city skyline and Han river.

ED JONES/AFP via Getty Images

Dongnae began as a listing platform for potential renters to book visits with property agencies, but it met limited success. Shampine says his team did not foresee “cultural dynamics” that curbed demand for their product. “We realized here in Korea, it’s very easy to go to any apartment complex around the city, or have a kind of connection to a brokerage, to just ask for a tour whenever you want,” he said. “So the concept of going through an app and to book [a tour] for like, the upcoming weekend, just didn’t really seem that attractive.”

The initial lack of success prompted “good and healthy,” albeit painful, reflections on the business model, Shampine says. Conversations with customers, brokers and team members on the ground informed Dongnae’s goal of “becoming the supply, instead of hunting for the supply.” In July last year, Dongnae pivoted from apartment listings to serviced apartments. At the close of its latest funding, the startup said its properties spanned 60 apartment complexes—now, they span 80, across 12 districts in Seoul.

Looking forward, Dongnae plans to expand its home services offered to residents, tapping into Korea’s thriving market for furniture and lifestyle goods. Other startups developing solutions for living spaces have found considerable success. In May, interior design platform oHouse raised $182 million to become the latest Korean unicorn, at a valuation of approximately $1.6 billion.

Shampine hopes to usher in a broader cultural shift. “When I personally reflect on how WeWork changed commercial real estate here, from renting space and co-working to actual environments inside the offices, I really hope that we’re able to do something similar from a residential perspective,” Shampine says. “Making it a better experience … for the brokers, for the landlords, and especially for the tenants.”

Source by www.forbes.com

Related

Related Posts

How-To-Take-Your-Business-To-The-Next-Level

How To Take Your Business To The Next Level

December 6, 2021
How Can You find True Calling

How Can You find True Calling? These Tips Help You

February 14, 2023
One man’s food is another man’s junk. That’s the same concept with the regulation of cryptocurrency ads. While other platforms see it as a means of expanding the crypto community, others see it as taboo to promote such “Ponzi schemes.” Nonetheless, it should be noted that either platform allows crypto ads or not; it still wouldn’t stop cryptocurrency from existing or stop investors from investing. The only disadvantage is that it might take more time for the new cryptocurrency to circulate worldwide. The regulation of crypto ads by online platforms is synonymous with regulating crypto activities in some countries. Several individuals have their own opinion regarding what the crypto platform is or would turn out to be in the nearest future. So, it’s practically impossible for the crypto community not to have opposition. But, as an investor, you should note that crypto advertisement would not mean you make a little less profit, especially if you are a day trader. You do not need any crypto ads before you can buy Cardano; you just have to visit the right exchange platform to buy as many units of Cardano as possible. So, in the long run, banning crypto ads is insignificant. Crypto ads restrictions and bans Advertising of crypto-related projects has always been allowed till around 2018. However, just a few months into 2018, Google, Twitter, and Facebook banned cryptocurrency advertisements on their platforms. After this, there was no avenue to advertise crypto, such that no legal company could buy tokens even via the ICO. Before this, Facebook had labelled cryptocurrency and all crypto-related business as fraudulent and misleading. A few months later, Facebook and Google lifted this ban partially, thereby allowing the advertisement of crypto-related businesses and cryptocurrencies from approved advertisers alone in Japan and the United States. This year, Google has again loosened up its grip on the advertisement of crypto-related projects, allowing better propagation of crypto-related news via their platform. The inflow of large investors like Square and Tesla buying million’s worth of bitcoin this year boosted most platforms to allow the advertisement of cryptocurrencies on their platforms. Also, one of the oldest banks in the United States, BNY Mellon, has shown interest in the cryptocurrency community, forcing the hands of several notable platform owners like Facebook, Twitter and Google to allow crypto-related ads. On the other hand, Visa had also announced its cooperation with BlockFi to release a credit card that offers clients cashback in bitcoins. In 2021 alone, just after Tesla made its $1.5 billion Bitcoin investment, the cryptocurrency market cap for the first time in its history capped $1.4 trillion, surpassing Google stock. The crypto community had grown over the last couple of years, even before bans were lifted on crypto ads. However, it is worthy to note that the bans imposed on crypto ads had little influence on the propagation and growth of the crypto community, although this influence is not too pronounced. Some of the changes made by Google on August 3 this year will also help loosen its grip on crypto ads restrictions, allowing crypto wallets and exchanges to be announced and advertised using their platform. It should be noted that crypto ads regulations differ from one country to the other, and while some impose regulations on crypto ads, some went as far as banning any crypto-related ads platforms. How do Global Regulations affect Crypto Advertising? Currently, in some countries, advertising does not align with financial authorities. However, some countries do not rush to take restrictions or impose bans on innovations as others do. Instead, they study and analyse the situation weighing their opportunities and weakness as regards innovation. Thus, with this kind of orientation, crypto ads regulation could be predicted, especially from platforms to platforms. While one platform can impose stringent restrictions, others might have their dos and don’ts with fair judgments. As explained above, Google, Snapchat and Facebook, and other giant social platforms have embraced the advertisement of crypto and crypto-related projects using their platforms. And as they’ve done, more platforms are beginning to loosen up on their restrictions. However, it’s advisable that if you are a crypto ads investor, you should source for alternative platforms where you can get traffics and views from other than these big platforms. If you want to buy Cardano, you can visit the nearest reputable exchange platform at your fingertips to get as many Cardano as you deem fit. Who knows if you haven’t heard of Cardano, social media platforms could be the first place to start by learning from others’ experiences. This and many more are some of the advantages of allowing crypto advertisements on social platforms.

How are giant platforms reacting to the cryptocurrency ads regulations?

December 6, 2022
The Best Software Solutions and Tech Providers in the Franchising Industry

The Best Software Solutions and Tech Providers in the Franchising Industry

December 5, 2022

Trending

  • What Is a Back Pressure Regulator and How Does It Work?
  • How to Clone NVMe to NVMe SSD Without Reinstalling
  • Comprehensive Guide to Among Us Characters Everything You Should Be Aware Of
  • Having trouble with AirDrop? Discover ways to resolve the issue.
  • 10 Awesome Projects to Create in Minecraft
  • A Guide to Acquiring and Utilizing Command Blocks in Minecraft
  • MiniTool ShadowMaker Best Backup Software for Your Data
Daily illinois

© 2025 Dailyillinos.com

Navigate Site

  • Daily Illinois
  • About
  • Contact
  • Privacy
  • Terms
  • DMCA
  • Sitemap
  • Write For Us

Follow Us

No Result
View All Result
  • About Us Page
  • Contact
  • Daily illinois
  • DMCA Policy
  • Privacy Policy
  • Submit, Guest Post, Write For Us and Become a Contributor
  • Terms of Use

© 2025 Dailyillinos.com

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.