Apartment Cost in Japan: Fixed vs Negotiable Initial Fees

When it comes to renting a place in Tokyo, the apartment cost in Japan go far beyond just the monthly rent you see advertised. Many people from abroad are surprised at how much money they need before they even turn the key in the door. This article breaks down the typical initial move-in costs (初期費用) that you will likely encounter when you rent apartment in Japan, explains what is negotiable, and shares practical tips to make this process easier and more predictable for anyone planning a move to Japan.

What You Can Expect to Pay When You First Move In

Unlike many Western countries, Japan has a unique rental system that includes several fees at the start of a lease. In Tokyo, it is common for the total required upfront costs to equal several months of rent before you can move in. For example, some estimates say move-in costs in central Tokyo can run 4–6 months’ worth of rent or more depending on the property and neighborhood. 

Here are the main items you are likely to see:

1. First Month Rent (前家賃)

This is simply your first month’s rent paid in advance and is not refundable. It’s usually required before the contract is signed or before you pick up your keys. For example, if you move in on January 10, you pay in advance the prorated rent through January 31, plus the full rent for February.

2. Security Deposit (敷金, Shikikin)

A security deposit is held by the landlord and may be refundable when you leave, minus any costs for damage or deep cleaning. In Tokyo, landlords typically require a security deposit equal to one or two months’ rent, depending on the property, although some apartments require no deposit at all. If pets are allowed and you plan to keep one, an additional one to two months’ rent is often added to the deposit.

3. Key Money (礼金, Reikin)

This is one of the biggest surprises for newcomers. Key money is a non-refundable thank-you payment to the landlord. While this custom is fading in some areas, it is still quite common in Tokyo, often amounting to one or two months’ rent. However, some properties do not require key money.

4. Agency Fee (仲介手数料)

If you use a real estate agent, you normally pay a fee equal to one month’s rent plus consumption tax for their services.

5. Guarantor or Guarantor Company Fee (保証会社利用料)

Most landlords require tenants to have a guarantor, a person in Japan who promises to cover your rent, if you cannot pay. Since many foreigners do not have a personal guarantor, they instead sign with a guarantor company. Recently, it has become increasingly common for Japanese tenants to use rent guarantee companies as well. These companies charge an initial fee typically between 50% and 100% of one month’s rent, plus a yearly renewal fee of around ¥10,000–¥20,000.

6. Fire and Liability Insurance

Fire insurance is usually mandatory. Expect to pay around ¥15,000–¥30,000 for two years of coverage.

7. Lock Change Fee

For safety, landlords often change the locks before a new tenant moves in. This can cost ¥15,000–¥55,000.

8. Renewal Fee (更新料)

In Tokyo, leases are typically two years long, and when you renew you may have to pay a renewal fee equal to one month’s rent. This is separate from initial costs and comes due at the end of your lease term if you decide to stay.

To put it in perspective, let’s say you are looking at a ¥100,000/month (approx US$650) apartment in Tokyo:

*The actual fee depends on the guarantor company you use. Some charge as high as 100% of one month’s rent. 

This example shows that the initial apartment cost in Japan can easily add up to the equivalent of 5-6 months’ rent or more before you move in, especially in central Tokyo. Additionally, In case of using a parking space, the first month’s fee may apply, and depending on the property, an administrative fee of several tens of thousands of yen may also be charged.

What Is Standard and What You Can Negotiate

Many of these costs are standard in Japan, but some items are easier to negotiate than others.

Standard Fees That Are Usually Hard to Change

• First Month’s Rent: always required

   

• Agency Fee: usually one month’s rent plus tax, with the legal maximum capped by law.

   

• Fire Insurance: often mandatory for contract approval

   

Fees That May Be Negotiable

• Key Money: you can sometimes find properties with no key money requested, especially in competitive markets or newer buildings. Even if key money is listed in the terms, there may still be room for negotiation if the property has been vacant for a long time or if the owner is eager to secure a tenant quickly.

   

• Security Deposit:  some landlords waive part or all of this to attract tenants.

   

• Guarantor Fee: you may be able to negotiate a lower percentage or ask the agent to recommend a company with lower fees. However, in the case of foreign tenants, landlords or agents often require the use of specific guarantor companies that specialize in supporting foreign residents, including handling matters involving the tenant’s home country.

   

• Lock Exchange and Optional Services: you can sometimes negotiate these fees if the landlord or agent is willing.

   

A good approach when you rent apartment in Japan is to politely ask,

Do you offer zero key money or lower deposit?

in Japanese (for example, 少し礼金を減らすことはできますか？) or, if needed, ask your agent to communicate this for you. Some foreigners report success in reducing costs this way. 

Additionally, timing matters. The peak hiring and school year season (February–April), as Japan’s companies and schools typically start their new academic and business year in April, may see higher upfront costs. Looking for apartments outside that season may give you more negotiating power. 

Practical Tips

Prepare a Realistic Budget

Because upfront costs are high, plan to have 5–6 months’ worth of rent available in savings before your move. This is in addition to the cost to move to Japan, which includes visa fees, flights, temporary accommodation, and the cost of shipping or buying furniture and appliances once you arrive.

Consider Guarantor Company Alternatives

If you have a Japanese friend willing to act as a personal guarantor, landlords may waive or reduce guarantor fees. However, this is often harder for foreigners. Most people use a guarantor company due to the convenience and lack of a personal sponsor requirement. 

Explore Zero-Fee Buildings

Some newer buildings or share houses offer reduced or zero key money and lower guarantor fees to attract tenants, especially when demand is softer. 

Renting a home in Tokyo is exciting but costly. Understanding the apartment cost in Japan upfront ensures you are prepared and helps you make informed decisions as a international student, or expatriate. Understanding these fees early also helps you calculate the real cost to move to Japan, allowing you to plan your relocation budget with fewer surprises. Knowing what fees are standard and which ones you might negotiate gives you confidence, whether you are renting your first place in Japan or upgrading to a larger unit. 

Planning carefully and asking the right questions when you rent an apartment in Japan can make the journey smoother and less stressful. Take time to compare apartments, costs, and terms so you can find a home that fits both your lifestyle and your budget.