Forum In Tokyo 1 #1314

Management Fee is a payment to the building management company for the upkeep of the building, building amenities, and common areas.

First Month's Rent covers Rent + Management Fee (Total Rent) for the first FULL month. If the move-in date is much after the first day of the month, most property managers also charge Prorated Rent for the incomplete month.

For example, if your lease begins on the 26th of July, your Advance Rent paid before move-in, will be August's Total Rent, plus Total Rent for 6 days in July.

Along with the First (full) Month's Rent, Prorated Rent for an incomplete month is also paid for initial move-in costs. As such, the most affordable time to move into a rental is towards the end of a month.

For example, if your lease begins on the 26th of July, your Advance Rent will be August's Rent + Management Fee, along with Rent + Management Fee for 6 days in July.

The security deposit covers for any damage to the property during the lease period. It will also be used for any delinquent rent payment or if you terminate the contract with penalty conditions. In addition to repair costs for damages- excluding natural wear-and-tear- the cleaning fee may also be deducted from your security deposit; remaining amount will be refunded to you upon vacating the apartment.

Closing Costs are the calculated amount of the "cost of changing the apartment", for your reference and information. This value does not include the Advance Rent or Deposit.

Key Money is a payment made to the landlord as gratitude. Although this obsolete post-war custom persists, there has been an increase of landlords whom disregard this fee. Please note that this money is considered a "gift" to the landlord and is non-refundable. For highly attractive rentals, Key Money unfortunately can be common.

Guarantor or co-signer fee, is usually required for rentals in Japan. This payment acts as an insurance policy for the landlord, where the guarantor is accountable for any financial obligations if the lessee is delinquent on payment.

Guarantor Service Company

The roll of a guarantor company is to cover for any financial obligations if the lessee is not able to make payment. They are also responsible for screening your application, during which, you may get a call from them confirming your personal information. In most cases, enrolling in a guarantor company negates the need for a personal guarantor. However, some property managers may ask for both, depending on your place of employment. In modern times, most rentals require the use of a guarantor company.

The Lock Replacement Fee is a non-refundable fee charged by the landlord to replace the apartment's front door lock(s), for your security.

Fire Insurance is rental insurance.

Fire Insurance will cover damages and liabilities such as fire, water leaks, theft, personal property, earthquakes, and floods. Depending on the coverage and room, the average cost is around 20,000 JPY per 2 years, with a renewal fee most commonly after 2 years. Fire Insurance is compulsory.

At Apts.jp, we charge a standard 1 month's rent (plus tax) as commission fee, and that includes our on-going support during the entirety of your lease. The full extent of our services is included in our Agency Fee.

Our service includes:

• Finding you a rental that suits your lifestyle
• Taking care of any problems you may have during your leasing process
• Negotiating on your behalf
• Explanation of your contract terms in English
• Guidance with address registration at ward offices
• Guidance with bank accounts, mobile phone, internet, and utilities
• After move-in, if you have any issues with your apartment, just let us know

Please check out Our Services page for more details.

Initial Costs generally consist of the following fees: Advance Rent (First FULL Month, plus Prorated Rent for an incomplete month), Deposit, Key Money (not on all Rentals), Guarantor Service Fee (most often 50% of Rent + Management), Lock Replacement, Fire Insurance, Disinfection, Property Manager Document Processing, and Agency Fee. However, some costs are not always applicable, and some Property Managers have some miscellaneous costs which we can estimate for you.

Initial Cost estimates shown on our website are the best estimates we can give, based on all available information provided by the Property Managers. Our Initial Cost estimates are a great guide for preparing for the upfront payments you'll have to make before your contract signing.