Useful information for living in japan

Thursday, February 28, 2008

保証人/Hoshonin (Guarantor)

Most of the landlord requires a guarantor of the lessee. The guarantor has to take a responsible for the lesee's actions.
If the lessee fails to pay the landlord, or damages the apartment for any reason, the landlord has the right to ask the guarantor for compensation. Japanese people normally ask their parents or relatives to be their guarantor. There exist a guarantee company, and they will undertake a role instead of the guarantor. Non-Japanese residents who have difficulty finding a guarantor for their apartment rental, they can ask guarantee company by paying some amount of guarantee fee.

火災保険/Kasai Hoken (Fire insurance)

管理費/Kanri hi=共益費/Kyoekihi (Management fee)

Management fee can be used for maintenance fee for elevators, janitors, garbage correcting and utilities, etc. Some landlords do not charge this fee, or it is already included in your rent.

仲介手数料 Chukaitesuryo (Agent fee)

The commission fee paid to the real estate agent.
Typically equal to one month's rent. But last a couple of years, some of real estate company started to discount the commission fee to the lessee at 50% of one month's rent. If you can find a signboard which says 仲介手数料52.5% in front of the office, they will change you 50% of one month's rent plus 5% cunsumption tax.
A realty agent in Japan has a right to charge both the landload and the lessee to pay the commission but the total amount should never exceed 1 month's rent.

敷引/Shikibiki, 礼金/Reikin (Keymoney)

A non-returnable fee at the start of the tenancy. It is determined whether the realtor says Shikibiki or Reikin depending on the region.
There are two type of descriptions for deposit and Keymoney.
When they use Shikikin (Deposit), they set Shikibiki (Keymoney). When they use Hoshokin (Deposit), they set Reikin(Keymoney).
Reikin can be translated for a a mandatory gift money to the landlord.
Shikibiki is a part of amount for Shikikin, and deducted from Shikikin when the contract is terminated.
Typically, reikin will amount to the equivalent of 2 months' rent.
Shikibiki typically amounts to the equivalent of 2 months' rent. Shikikin typically amounts to the equivalent of 2-6 months's rent.

Type:A
Hoshokin(Deposit):200.000yen
Reikin(Keymoney):100,000yen
-->The lessee pay 300,000yen for keymonety and deposit.
When the contract is terminated, 200,000yen should be refunded.

Type:B
Shikikin(Deposit):300,000yen
Shikibiki(Keymoney=Deduction):100,000
-->The lessee pay 300,000yen for keymoney and deposit.
When the contract is terminated, 200,000yen should be refunded(100,000yen is deducted).

敷金/Shikikin=保証金/Hoshokin (Depodit)

Landlord keeps the deposit, but no interest is added. The deposit will be returned when you vacate your residence. However, fees for the repair of damaged equipment and unpaid bills for utilities are subtracted if the tenant vacated the residence leaving these unpaid. Charges for replacing tatami mats and paper doors may also be deducted.
On the most of the leasing contract, it is mentioned that the deposit shall be refunded within a couple of month after the lessee vacates.

家賃/Yachin (Rent)

Rent is usually paid on a monthly basis. If you start your tenancy in the middle of the month, rent is allocated by the day and multiplied by the number of the days you will stay or have stayed. However when you move out, the final rent can not be allocated by the day in most of the case.
The lessee transfer the rent into the landlord's or management comapany's bank account.