Living costs in Hiroshima can be very affordable once you pay for the admittedly steep initial move-in fees. 

Here is our breakdown of initial move-in costs in Hiroshima. Keep in mind that these are general guidelines and results vary based on the landlord and management company.

 

First-month rent

The first month of rent is typically a prorated calculation based on your move-in date. For instance, Ryowa House managed properties have their first-month of rent organized into 30-day payment blocks. So for example, if you moved in on the 25th of the month of March (with 31 days) and you subtract 25 from 31, that leaves you with 6 days to pay for. Divide that by 30, take that percentage times your rent and you will get the amount to be paid for your first month. If the rent is 30,000 yen per month and you move in on the 6th of March, then your 1st month’s rent will be 6,000 yen. 

31days – 25 = 6 days of residence

6 days / 30-day payment block = ⅕

⅕ x 30,000 yen rent = 6,000 yen for 1st month

 

Security Deposit  (shikikin 敷金)

Security deposits in Hiroshima and Japan are conceptually the same as the western world. Pay the security deposit (usually 1 – 3 times your price of rent) forward and get back the remaining money.

30,000 yen rent, 2 month deposit = 60,000 yen rent deposit

 That being said, unlike English speaking countries, there are required non-negotiable fees that will be taken out of the security deposit.

These fees include:

Cleaning fee: A professional cleaning company will be hired to come in after the tenant moves out.

Air conditioner cleaning fee: This fee is applied to all properties that include an air conditioning unit. Extra fees if there are multiple units.

Replacement fees: The tenant will be required to finance the replacement of all tatami, shower curtains and sliding paper doors upon move out. *Only applicable to properties that included these items when the tenant moved in.

Key/Lock exchange fee: While optional in certain circumstances, it is common for landlords to automatically change the lock between the time the previous tenant moves out and the new tenant applies for the property. If this is the case the tenant will be responsible to pay for the lock exchange. If you lose your key during your stay and need another, an additional charge will be made.

Key money (reikin 礼金)

Key money (sometimes translated as gift money and not to be confused with the key/lock exchange fee) is a gratuity you pay to the landlord. It will not be returned and in Hiroshima, it will generally cost 1 month’s rent. This can vary based on the popularity of the property.

 

Brokerage fee　(chukai ryoukin 仲介料金)

This is the fee charged by the real estate company and typically costs 1 month’s rent (results may vary). Keep in mind that by law real estate companies are not permitted to charge the tenant more than 1 month’s rent (plus consumption tax).

 

Property Management fee (kanri-hi 管理費)

Property insurance, (commonly referred to as fire insurance) is required and should set you back around  ¥18,000 – ¥22,000 for two years of coverage. Keep in mind that this fee is paid separately from your initial fees. You can apply for a prorated refund if you leave the contract early.

 

Property Insurance (Kasai hoken) 火災保険

Property insurance, (commonly referred to as fire insurance) is required and should set you back around  ¥15,000 for two years of coverage. Keep in mind that this fee is paid separately from your initial fees.

Guarantor company fee (Hoshougaisha 保証会社)

 

 

 

 

In Japan, a guarantor (person who signs on to be financially liable if the tenant is unable to pay rent) has traditionally been required for long term accommodation. This person guarantees rent, building damages (outside of the fire insurance) and is the emergency contact. Recently, landlords and property management prefer that the tenant uses a guarantor company rather than (sometimes in addition to) a guarantor. The guarantor fee varies among companies but in general, we see the one-time enrollment fee as ½ to ⅔ of one month’s rent plus a yearly renewal fee around 10,000 yen (plus consumer tax). 

Sanitation fee (殺菌料金)

Another optional service (not to be confused with cleaning services) is room sanitation. Before moving in, the room can be sterilized ensuring that the tenant won’t be moving in with any six-legged roommates. For those who prefer to move into a property that has been sprayed for bugs, this option is also available.

 

In conclusion

Moving in Japan is complex and filled with kanji riddled contracts, intricate explanations, and pricy initial fees, but I believe the juice is worth the squeeze. Hiroshima offers reasonably priced downtown properties and having a choice in your living situation is a beautiful thing.

If you are looking for a Hiroshima or Okayama house/apartment and require English support, Ryowa House has you covered! We offer English, Spanish, Chinese and Vietnamese language support.

 

-Ryowa House international team member.