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Real Estate Terms

Real Estate Agent and Agent fee

A real estate agent is knowledgeable about the real estate in their area. A real estate agent helps people rents, buys and sells properties. Negotiate and arrange can include showing property, filling in contracts, listing agreements, and purchase contracts. It helps if real estate agents are pleasant and dress neatly. They should deal honestly with people and have good manners. There is a standard agents commission of one month` s rent.

Rent

This is the charge for renting the housing, and generally the rent for the current month is due at the end of the previous month. If you find something suitable, it probably would not be cheep.

Building Management fee

This is money that covers the cost of electricity used or cleaning fees, etc., for spaces used in common by the tenants, such as stairways and hallways. In Japan, you pay a management fee that is separate from the rent. This is generally paid for the current month together with the rent at the end of the previous month. In some typical Japanese style apartments a monthly building maintenance fee will be added to the rent.

Key money

In Japan, key(gratitude) money-(reikin) is payment to the landlord. This money considered a gift to the landlord and is not refundable. Key money is required usually 1 or 2 months rent. In recent years, an increasing number of landlords and real estate agencies have begun to offer Key money-Free.

Security Deposit money

You will be required to pay a security deposit of 1-2 months rent in advance to landlord for damage deposit. When you move out or at the end of the rental agreement, the cost of cleaning or repairs will be deducted from this security deposit.

Damage Insurance

It is common at rental agreement signing to acquire damage insurance coverage to protect against fire or water damage caused by the tenant. The Owner is not responsible for the actions of, or any damages, injury or harm caused by third parties, such as other moving costs or temporary lodging due to casualties such as burst pipes, leaking ceilings or basements, backed up sewer or water overflow, weather damages, vandalism, theft, etc,.

Guarantor

In general, the guarantor has to be those residing in Japan and who is a Japanese citizenship. A guarantor is a person who is financially stable and ensures the property owner that in case the tenant cannot pay for the rent, the guarantor will be responsible for the rent same as the tenant. Therefore it is advisable that you choose a relative.

Guaranty Company

There is a guaranty company which serves as a guarantor if you could not find a guarantor. A guaranty company that guarantees to pay the rent to the landlord in event that you do not pay the rent. To use such a company, you must pay a set guaranty fee about 35% to 50% of one month` s rent paid in advance as the guaranty fee for 2 years. The guaranty company will bill you for the rent that it paid for you.

Rental Agreement

Once the tenant has found an apartment or house to rent, an agreement must be reached with the landlord. In the landlord-tenant world, that contract is called a "rental agreement" which sets out the key things the landlord and tenant agree to do. The law required the landlord to provide a written rental agreement. The landlord can not refuse to renew the agreement at the end of the rental agreement period without due cause.

Contract Renewal Fee

Generally, a renewal fee (koushin-ryo) paid to the landlord by tenant when the rental agreement is renewed to continue it after 2 years. This renewal fee usually costs about 1 month` s rent.

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