The Complexity of General Rental Procedures in Japan

Renting a property in Japan can be a challenging experience for foreigners. Japan’s rental process involves unique customs and practices that differ significantly from global standards, making it difficult to understand and navigate. In this article, we’ll explore the complexities of renting in Japan and introduce a solution that simplifies the process for foreigners.

1.  Challenges When Renting in Japan

Japan’s rental process includes several unique aspects that can be difficult for foreigners to manage. Below are some of the most common challenges:

1. Key Money and Deposit
   Tenants are often required to pay a refundable deposit (“shikikin”) and non-refundable key money (“reikin”) upfront. Key money is a unique practice in Japan and can significantly increase initial costs.
2. Guarantors and Emergency Contacts
   A guarantor (a Japanese resident fluent in Japanese) is often required for rental agreements. Securing one can be a major obstacle for foreigners.
3. Guarantor Companies and Tenant Screening
   While guarantor companies are an alternative to personal guarantors, many companies do not accept foreign tenants, adding to the difficulty of securing a rental.
4. Automatic Rent Payments
   Rent is typically paid through automatic withdrawals from a Japanese bank account. However, opening a bank account in Japan can be complicated for short-term residents.
5. Important Explanations (Jūyō Jikō Setsumei)
   If you deal via real estate brokerage agencies, before signing a lease, tenants must go through a legally required explanation of important terms and conditions. These explanations shall be done on face-to-face, are often detailed and conducted in Japanese, and making them hard to follow for non-speakers.
6. Lease Terms vs. Residency Status
   Standard rental contracts in Japan are usually for two years, which may conflict with the residency period of some foreigners, especially short-term residents.
7. Unfurnished Properties
   Unlike in many other countries, rental properties in Japan typically come unfurnished, requiring tenants to purchase all necessary furniture and appliances.

Additional challenges include:

• Hanko (personal stamp) requirements for lease agreements instead of signatures.
• Delayed move-ins due to lengthy application and approval processes.

2. Impact of Japan’s Unique Practices on Foreigners

These unique practices often lead to:

• Language Barriers
  Most rental documents and procedures are conducted in Japanese, with technical terms that are difficult to understand for non-speakers.
• High Initial Costs
  Deposits, key money, and guarantor fees significantly increase the financial burden of moving into a new property.
• Cultural Misunderstandings
  Practices like key money and the use of hanko may seem unusual to foreigners and add to their confusion.

3. A Solution: Apartment Japan

To address these challenges, Apartment Japan offers a rental platform tailored specifically for foreigners. Here’s how it simplifies the process:

1. Automatic Rent Guarantee
   Apartment Japan eliminates the need for personal guarantors by automatically including a rent guarantee in the rental process.
2. Online Contracting
   The entire process—from searching for properties to signing the lease—can be completed online, even before arriving in Japan. This allows you to find and secure a comfortable home from overseas, giving you peace of mind before your move.
3. Foreign-Friendly Property Listings
   All properties on Apartment Japan are foreigner-friendly, and the platform supports multiple languages. Key information, such as whether a property includes key money or furniture, is clearly displayed.
4. Flexible Lease Terms for Stays Over One Month
   Apartment Japan accommodates leases of various durations, starting from one month or longer. This flexibility allows you to find properties that match your desired stay or residency period.
5. Automatic Quotation Feature
   With Apartment Japan’s automated quotation tool, you can accurately calculate all rental costs—including monthly fees and initial expenses—directly online. This eliminates the hassle of back-and-forth communication across time zones. (Note: Some properties may not support this feature, requiring direct communication with landlords.)
6. Diverse Property Options
   Apartment Japan offers a wide range of properties, including furnished and unfurnished options, luxury apartments, and budget-friendly choices. All listed properties are available for foreign tenants, ensuring inclusivity and convenience.
7. Quick Move-In Options
   Many properties on the platform allow for immediate move-ins, making it ideal for those with urgent housing needs.

Conclusion

Japan’s rental process can be challenging due to its unique customs and complex procedures, especially for foreigners unfamiliar with the system.
However, Apartment Japan offers a seamless and efficient solution, removing the barriers and making it easier for foreigners to find and rent their ideal home in Japan.

Whether you’re planning ahead from overseas or seeking a quick and flexible housing solution in Japan, Apartment Japan simplifies the process and helps you start your new life with ease.