9月 20, 2025 | 11:12 AM

Complete Guide for Foreigners: Renting an Apartment in Japan and the “Overseas Screening” Process

For foreigners looking to rent an apartment in Japan, one of the biggest hurdles is the overseas screening process. Since rental contracts in Japan rely heavily on credit history and guarantors, foreigners who are new to Japan often face challenges in securing a lease. This guide explains in detail the procedures, required documents, screening process, and contract steps, along with practical examples and tips for a smooth rental experience.

1. Challenges for Foreigners Renting in Japan

Japanese rental contracts place significant emphasis on credit information and guarantors. Residents with a long-term presence in Japan can provide proof of income, bank accounts, and rental history to establish creditworthiness. However, newcomers or foreigners without these records may face difficulties, and standard rental applications can be rejected.

1-1. Why Overseas Screening Is Necessary

Overseas screening is a special procedure that allows foreigners without domestic credit history to rent an apartment by verifying their income and stability through overseas employment and bank information. Companies that handle overseas screening evaluate applicants for:

Income and stability of employment abroad
Rental history and risk of default
Alternatives when a guarantor in Japan is not available

1-2. Basic Structure of Japanese Rental Contracts

Foreigners may be unfamiliar with the typical costs of renting in Japan. A standard rental contract usually includes:

Security Deposit (Shikikin): Usually 1–2 months’ rent, used to cover potential damages
Key Money (Reikin): A non-refundable “thank you” to the landlord, typically 1 month’s rent
Agency Fee (Chukai Tesuryo): Paid to the real estate agent, generally 1 month’s rent
Advance Rent: Payment for the first month
Guarantor Company Fee: Required if a guarantor is not available; often 50–100% of one month’s rent

For foreigners, using a guarantor company is almost always mandatory. Fees for overseas screening can increase the initial costs.

2. Preparing for Apartment Hunting

2-1. Choosing the Right Area

Selecting a suitable area is crucial for commuting, lifestyle, and convenience. Here are examples:

Tokyo 23 Wards
- Shibuya: Trendy, busy, young population, higher rent
- Shinjuku: Central transportation hub, convenient, many foreign-friendly apartments
- Ikebukuro: Relatively affordable, popular among students and young foreigners
Kanagawa / Yokohama
- Slightly lower rent than central Tokyo
- Calm living environment with easy access to Tokyo

2-2. Estimated Rent

Foreign-friendly apartments often have higher initial costs. Typical ranges:

Monthly rent: ¥100,000–¥150,000 in Tokyo 23 wards
Initial costs: 1–2 months deposit + 1 month key money + 1 month agency fee + guarantor company fee (0.5–1 month’s rent)

Be aware that guarantor company fees for overseas screening can be 50–100% of one month’s rent.