So, you’ve decided to make Japan your new home—whether for work, study, or to dive headfirst into a culture that serves coffee jelly with a side of existential bliss. Congratulations! Now, you’re faced with one of the most daunting challenges for foreigners in Japan: finding a place to live. If you think this will be as simple as scrolling through an app and swiping right on a dream apartment, buckle up. Japan’s housing market has its quirks, and as of 2025, there are new trends and challenges to keep in mind.
This guide will walk you through the essentials of navigating Japan’s housing market, with tips on what’s changed, what to expect, and how to avoid common pitfalls. Let’s dive in.
1. The Basics: Types of Housing
Japan offers a variety of housing options, but for most foreigners, the choices boil down to:
Apartments
- Manshion (マンション): Sturdier, often newer, and typically made of reinforced concrete. They tend to have better insulation (a big deal in winter!).
- Apaato (アパート): Older, wooden structures that are cheaper but less insulated and less soundproof. Think “budget-friendly, noise-heavy.”
Share Houses
Popular among students and those just starting out, share houses provide a private room but shared kitchen, bathroom, and living spaces. These are managed by companies like Oakhouse and Borderless House, which cater to foreign residents.
Detached Homes
If you’re planning to stay long-term and have the means, detached homes can offer more space and privacy. The rise of cheaper land prices in some rural and suburban areas makes this a viable option, especially with Japan’s aging population leaving properties unoccupied.
2. What’s New in 2025?
The housing market evolves, and here’s what’s shaking things up in 2025:
Increased Foreign-Friendly Services
More real estate agencies now specialize in helping foreigners. Websites like GaijinPot Housing and Village House have expanded their services, offering English-speaking agents and more leniency on requirements like guarantors.
The Rise of Remote Work Housing
Remote work is here to stay, and with it, demand for home offices has surged. Landlords are adapting by marketing properties with dedicated workspace areas, better internet infrastructure, and even coworking spaces in large apartment complexes.
Sustainability in Housing
Japan is embracing eco-conscious living. New builds often include solar panels, better insulation, and energy-efficient systems. Expect to see landlords highlighting these features, and be prepared to pay slightly higher rents for them.
Decline in Key Money (礼金)
The infamous reikin (non-refundable “thank-you” money) that used to be a given in most leases is becoming less common. Some regions and agencies now waive this fee altogether to stay competitive.
3. The Rental Process: What You Should Know
1. Guarantors and Guarantee Companies
Foreigners are typically required to have a Japanese guarantor (someone who will vouch for your rent payments). If you don’t have one, many landlords will insist on using a guarantee company (hoshōgaisha), which costs an extra fee—usually 50-100% of one month’s rent.
2. Initial Costs Are High
Expect to pay:
- Key money (if applicable): 1–2 months’ rent
- Deposit: Usually 1–2 months’ rent, refundable (minus cleaning fees)
- Agent fees: 1 month’s rent
- Upfront rent: 1 month’s rent
In total, you’ll need 4–6 months’ rent upfront when signing a lease. Plan your finances accordingly.
3. Documentation
To rent a place, you’ll typically need:
- A valid residence card
- Proof of income (or a letter of employment)
- A Japanese phone number
- A guarantor’s information (if applicable)
4. Pitfalls to Avoid
1. Landlord Discrimination
Unfortunately, not all landlords are keen on renting to foreigners. Phrases like gaikokujin fuka (外国人不可, “no foreigners allowed”) still pop up in listings. Stick to foreigner-friendly agencies or platforms to avoid this issue.
2. Hidden Costs
Always ask for a detailed breakdown of costs. Cleaning fees, renewal fees, and even parking charges can creep up on you.
3. Long Commutes
Tokyo’s housing market might tempt you to live further out for cheaper rent, but think twice. A two-hour commute might seem doable at first—until you’re sardined into a train at 7 AM.
5. Insider Tips
1. Use Foreigner-Friendly Platforms
Websites like GaijinPot, Suumo (with English filters), and Sakura House are your best bet. These platforms often cater specifically to non-Japanese speakers and don’t require local guarantors.
2. Consider a Share House for a Soft Landing
If you’re new to Japan and don’t know the language, a share house can be a lifesaver. They’re a great way to make friends, practice Japanese, and avoid complicated paperwork.
3. Look Beyond Tokyo
If remote work or a slower lifestyle is an option, cities like Fukuoka, Sapporo, and Nagoya offer cheaper rents and a better quality of life. Inaka (countryside) areas can also be affordable, though you may need a car.
4. Hire a Relocation Consultant
If the process feels overwhelming, companies like Tokyo Move or H&R Group can help you navigate everything from housing to utilities setup.
6. Looking Ahead: Buying Property as a Foreigner
If you’re planning to stay in Japan long-term, buying property is an option. The good news? Japan doesn’t restrict foreigners from purchasing property, and some areas are offering incentives to lure new residents. For instance, rural towns often offer subsidies or free land to families willing to settle there.
Conclusion: Home Sweet Japan
Navigating Japan’s housing market can feel like solving a Sudoku puzzle—one where the numbers keep changing. But with the right preparation and a bit of persistence, you’ll find a place that fits your needs. Remember to arm yourself with information, budget carefully, and consider leaning on foreigner-friendly services if needed.
Your dream home in Japan is out there—it just might require a little more paperwork and a few extra train rides to find.