TERMINOLOGY

There are several unique words when renting an apartment in Japan. We are introducing one example.

Rent

Paid monthly in advance to the landowner / property agent. A late fee will be charged if rent is overdue. Payment of the first and next month’s rent is generally required when you move-in.

Security Deposit

The size of the deposit may vary from 1 month rent up to four to 2-3 months. In most cases, a portion of the deposit is deducted to pay for restoration and cleaning of the property when the tenant leaves.

Key Money

This is thank you money. A sum generally around 1 month’s rent and paid to the landowner when you contract. It is not refundable.

Agent Fee / Brokerage Fee

The real estate industry standard is for 1 month’s rent to be paid to the real estate agent as commission.

Management Fee

A monthly fee for general building maintenance and, possibly to defer the cost of an on-site building manager.

Renewal Fee

Money to be paid to the landlord when you renew the contract on expiration of a lease term. The amount is normally equivalent to one month rent.