The initial cost of moving into a long-term Japanese rental ranges from three to five months of rent or higher. This is comprised of:
- 1–2 months of deposit
- 0–2 months of key money
- First month of rent in advance
- Agency fee
- Guarantor fee
- Other fees
Fees can be negotiable depending on the competitiveness of the market, but you won’t be able to start this process until you’ve submitted your application. If the owner is confident another applicant will come along and not ask for a cheaper deal, they’ll decline the offer
COPY-PASTE DESCRIPTION BELOW
Deposit
All properties in Japan require a deposit. The size of the deposit may very from as little as two months rent all the way up to four or six months rent for expatriate grade properties. The deposit is "technically" refundable. In most cases, a portion of the deposit is deducted to pay for the maintenance of the property.
Key Money
Sometimes called "thank you" money. A sum generally around one to two month's rent is paid to the lessor at the initiation of the lease. It is not refundable.
Agent Fee / Commission
Industry standard requires that one month's rent be paid to the real estate agent as commission.
Management (Maintenance) fee
A monthly fee for general building maintenance and possibly to contribute to the cost of an on-site building manager.
Renewal fee
Money to be paid to the owner when you renew the lease contract upon the expiration of a lease's term. The amount is in most cases equivalent to one month's rent.