Japan`s rental property market, tenancy laws, and traditions can make the rental process very complicated. Thankfully, there is another way.
Japanese government subsidised housing, or danchi properties, once intended for lower-income families, are fast becoming a very popular option with younger Japanese people, no longer willing to pay traditional key money payments. Now represented by the UR “Urban Renaissance” brand, danchi properties are also very popular among non-Japanese residents.
UR properties do not require a personal guarantor, or enrollment with a guarantor company, there is no key money, and agents are not allowed to charge their usually agency fees for UR properties, while insurance is recommended, unlike renting a standard Japanese apartment, it is not a contractual requirement.
Unlike private tenancy agreements or leases, there are no penalties for early termination, and in most cases, you are only required to give 14 days notice before moving out.
The initial cost of moving into a UR property is your first month`s rent, and a refundable security deposit equal to 2-3 month`s rent. That`s it. You will be asked to show proof of income no less than three times the monthly rental cost of the apartment you want to rent.
The application process is simple, and any agent registered with UR should be able to assist you with the required paperwork.
Sounds great right? There are a few things to be aware of before you decide to cancel your current lease.
1) these properties are so popular, they are advertised from the day the current tenant gives notice, and in most cases will be rented again within one month.
2) many of the more affordable UR properties have 3 year maximum fixed term leases, allowing low-income families and individuals a chance to live in affordable housing while starting out.
3) while there are thousands of these properties nationwide many of them are intended for families and many of the locations are less convenient for singles and young people.
4) Those properties in more central locations are so popular they are only available “first come, first served” and people who live in these properties will usually stay as long as possible.
5) Many of the buildings are older, and while they are very well constructed and maintained, they are low-cost housing, and the aesthetics and design reflect this.
There are many reasons to rent a UR property, and alot of options to choose from. If you are interested in hearing more about UR or viewing a property, please feel free to contact us.