How Much Are the Upfront Costs? Understanding Japan's Rental Move-In Fees
One of the first surprises for many people renting in Japan is the size of the 'move-in costs'. Before you even pay your first month's rent, you're usually asked to prepare several separate items at once: a deposit, key money, an agent's fee, a guarantor fee, fire insurance, and a lock-change fee.
The names alone don't tell you which of these come back to you and which don't. This article breaks down what each item is, what it's for, and what's worth double-checking as a foreign resident signing a lease.
What exactly counts as move-in costs?
A typical lease in Japan involves a deposit (shikikin), key money (reikin), an agent's fee, a guarantor fee, fire/contents insurance, a lock-change fee, and a prorated first month's rent. Not every item applies to every property — whether each one is charged, and how much, depends on the property and local custom.
As a rough guide, all of these combined often come to about four to six months' rent, though 'zero deposit, zero key money' listings and other variations mean the actual breakdown and total vary property by property.
What's the difference between the deposit and key money?
The deposit is money the landlord holds from the tenant, meant to cover unpaid rent or restoration costs (repairs beyond normal wear and tear) when you move out. In principle, whatever remains after those deductions is returned to the tenant.
Key money, on the other hand, is a one-off payment made to the landlord at signing, and by its nature it is generally not refunded when you leave. Whether key money is charged, and how much, varies by region and by property.
Rough guide to move-in costs (as a multiple of monthly rent)
- Deposit
- 1–2months' rent
- Key money
- 0–2months' rent
- Agent's fee
- 0.5–1month's rent + tax
- Typical total move-in cost
- 4–6months' rent
The remainder is, in principle, refunded when you move out
Generally not refundable
Capped by law
Varies by property and region
Is a guarantor company fee always required?
If you can't provide a joint guarantor, or if the landlord requires the use of a guarantor company as a condition of the lease, you'll typically sign with a guarantor company and pay a guarantor fee. Pricing varies by company and plan — some charge roughly half a month's rent upfront, others add an annual renewal fee on top.
For foreign residents, screening standards can differ between guarantor companies depending on your visa type and remaining period of stay. It's worth asking the leasing agent, before you sign, whether a guarantor company that works with your specific visa status is available.
Can you choose your own fire insurance?
Most leases make joining a fire insurance policy (typically bundled with contents and tenant-liability coverage) a condition of the contract. This isn't a legal requirement, but landlords and management companies commonly require enrollment in a policy they specify.
Premiums are often in the range of ¥15,000–20,000 for a two-year term, though this varies with the coverage. Even where the policy is specified for you, it's worth confirming exactly what's covered before you sign, and asking questions if anything is unclear.
Relevant laws and regulations
- Civil Code (民法), Article 622-2
- At the end of a lease, the landlord is required to return the deposit balance after deducting unpaid rent and similar amounts. This is the basic framework for understanding what a deposit is.
- Building Lots and Buildings Transaction Business Act (宅地建物取引業法), Article 46
- Caps what a licensed real estate broker can charge as an agent's fee (in principle, the equivalent of one month's rent plus consumption tax, combined across landlord and tenant).
- Consumer Contract Act (消費者契約法), Article 10
- Contract terms that are one-sidedly unfavourable to the consumer can, in some cases, be void. Useful to keep in mind if you have questions about how restoration costs are allocated.
Main move-in cost items and what they're for
| Item | What it's for | Refundable? |
|---|---|---|
| Deposit | Covers unpaid rent / restoration costs | Balance refunded, in principle |
| Key money | One-off payment to the landlord | Generally not refundable |
| Agent's fee | Success fee for the real estate agent | Not refundable |
| Guarantor fee | Payment for the guarantor company's service | Not refundable (plan-dependent) |
| Fire insurance premium | Fire and tenant-liability coverage | Not refundable (covers the policy term) |
Common gaps and how to close them
✕Signing based only on a 'zero deposit, zero key money' ad, then being billed an unexpectedly large actual cleaning fee at move-out.
→Check the restoration and move-out cost clauses before signing, and compare properties on total cost.
✕Not checking whether a guarantor company would approve your specific visa status, then being turned down right before signing.
→Ask the leasing agent, during viewing or application, whether a guarantor company that works with your visa status is available.
✕Enrolling in the specified fire insurance without checking what it actually covers.
→Confirm the coverage (including whether tenant-liability coverage is included) before signing, and ask the agent or insurer if anything is unclear.
✕Assuming key money would come back like a deposit, not realising it generally doesn't.
→Check the cost estimate before signing to see exactly which items are refundable and which are not.
What to check before signing
- Confirmed the exact amount of the deposit, key money, agent's fee, guarantor fee, fire insurance, and lock-change fee in the estimate
- Calculated the total move-in cost as a multiple of monthly rent
- Confirmed a guarantor company exists that accepts your specific visa status
- Checked what the fire insurance covers and whether you can choose your own provider
- Reviewed the lease clauses on restoration and move-out costs
- Identified which items (key money, guarantor fee, etc.) are non-refundable
Frequently asked questions
- Q. Can I pay the move-in costs by credit card?
- A. It depends on the property and the agency. Some companies support instalment or deferred-payment services, so it's worth asking before you sign.
- Q. When is the deposit refunded?
- A. After you move out, the balance remaining once restoration costs and similar deductions are made is generally refunded by the date specified in your contract — often around a month after move-out.
- Q. Can I sign without a guarantor company, using only a joint guarantor?
- A. It depends on the property. Many properties require a guarantor company as a condition of the lease, so it's worth confirming this at the viewing stage.
- Q. Does a 'no key money' property usually mean higher rent?
- A. Not necessarily. That said, some properties balance a lower move-in cost against the monthly rent or other fees, so comparing on total cost is the safer approach.
Inside the SUMIMOTO Hub app, a 24-hour AI advisor explains, in multiple languages, how to read a move-in cost estimate and what guarantor companies typically look for. Since terms vary by property and company, please confirm the specifics with the leasing agent or, where needed, a licensed professional such as a gyoseishoshi.
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