We analyzed the effects of rising Jeonse price on household consumption of tenants using data from the Korean Labor and Income Panel Study. We distinguished households that have moved from those that have not, and used Heckman’s two-stage estimation method to minimize the potential selection bias arising from the decision to move. We found that an increase in Jeonse price had a statistically significant negative impact on total household consumption and non-durable consumption of non-moving tenants. We also found that the negative impact on consumption was larger for tenants with lower household income or smaller financial assets, which is attributable to liquidity constraints.