Japan
Last verified August 7, 2026
Written for U.S. passport holders
Deposit & Key Money
- Security deposit (shikikin) is typically 1โ2 months' rent, refundable at move-out minus documented damage beyond normal wear and tear โ a 2020 Civil Code revision explicitly clarified that ordinary wear and tear is the landlord's cost, not the tenant's.
- Key money (reikin) is a separate, one-time payment to the landlord โ commonly 1โ3 months' rent โ that is never returned under any circumstances. It's a market custom, not a legal requirement, and isn't charged everywhere (Hokkaido and Okinawa rentals often skip it; Tokyo, Kyoto, and Osaka commonly still charge it).
Move-Out Disputes
- The most common dispute is over 'genjo kaifuku' (restoration to original condition) โ whether the tenant or landlord pays for a given repair at move-out. The government has published official guidelines specifically to reduce these disputes.
- Normal wear and tear (fading, minor scuffs from ordinary living) is legally the landlord's responsibility; damage from negligence or misuse is the tenant's.
The Gotcha
Key money (reikin) is genuinely different from a deposit โ it's not held as insurance against damage, it's a one-time non-refundable payment to the landlord, essentially built into the cost of moving in, and it's easy for a first-time renter in Japan to assume it works like a deposit and expect some of it back. It doesn't, and you won't get any of it back, regardless of how well you take care of the place.
Sources
This page was drafted from the primary sources below. Rules change โ check the linked page directly before relying on any of this.
- Points for Restoring Rental Housing to Its Original Condition โ Ministry of Land, Infrastructure, Transport and Tourism (MLIT), Japan