How to Save Money on Rent in Japan

Looking to save money on rent in Japan?  Well, I cover the top 11 ways you can save in this post!  Check them out below and see which ones you can implement today!

Renting in Japan can get pricey.  Especially if you are living in the Tokyo Metropolitan area.  But, contrary to popular belief, you can still find really nice places for $1000 (100,000 yen) or less a month.  

Seems impossible.  I know.  But it's totally doable.  Especially if you take into account some of the tips I mention below.

So if you're feeling that pinch and looking to save some extra cash on rent or if you're just moving to Japan and looking to start off right, you've come to the right place.

Implementing just a few of these strategies will help you save money on your rent.  And as they say, money saved is money earned.  But don't just let all that money sit around.  Invest it and start growing your wealth. 

Cause, I assume, you don't want to be an English teacher in Japan forever (though it's okay if you do!).

In any case, here are my 11 tips on how to save money on rent in Japan.

Check Out Share Houses

If you're looking to save money on rent, then share houses can be an easy and safe bet.  There has been a recent rise in the popularity of share houses in Japan as young people move out of their parent's homes and into the big city.

Share houses come in all shapes, sizes, and layouts but for the most part you will have your own room and share all the other facilities.   And, usually the water and utilities are included in your rent.

Sweet! Now you can crank up that AC in the summer and the heat in the winter!

Prices can range but the lowest I've heard is $200/ month (20,000 yen).  So cheap!  Although, with that kind of price, you just may be living with 20 other people! 

Look for Your Apartment in the Summer

The big moving time for people in Japan is late winter and early spring. That's because everything starts anew from April.  School starts.  Your new job starts.  Everything.

Because of this, everything will be much higher.  Rent included.  So the best time to shop around for your new digs is in the summer.

When I first came to Japan I thought that, naturally, (like in most places in America) moving in the winter would be the cheapest.  Because, does anyone like packing and moving in the freezing cold?  But that's actually not the case here.  

Luckily, a friend of mine finally enlightened me to the fact that the best time to go apartment hunting is during the summer.  Especially, July. Though you can still find some deals in August as well.

I mean I guess that kind of makes sense.  At the height of a Japanese summer, no one is trying to move and who can blame them.

Have you felt the Japanese humidity?

Needless to say, when the demand goes down, the price does as well.  So when in doubt, shop for housing in the summer.

Negotiate, Negotiate, Negotiate

Believe it or not, but you can actually negotiate your rent in Japan.  I know, I know.  That is impossible.  I mean, it is Japan we are talking about after all.

A stickler for rules, procedures, and things that are just absolutely set in the stone ages, it's hard to imagine Japan not giving a hard no for anything remotely common.

But even in Japan you can negotiate your rent.  

While they are pretty stubborn in every other area of life, apparently the housing market is not so different from other countries.  

There are times when people just aren't renting.  And, in such cases, you can for sure negotiate lower rent.

Also, don't be afraid to appeal to their emotional sensitivities.  If you are going through a tough time, say so.  They may be inspired to give you a break and let you get in on the cheap.

I have a friend who recently negotiated to have a lower rent for the first few years or so while they get settled in.  And another, who pleaded for a discount, as he was just moving out of his parent's place.

So it definitely works!

Grab an Apartment in the "Sketchy" Part of Town

Now, you may be wondering why I would ever say such a thing.  But for those of you who have lived in Japan long enough, you know that when Japanese people say a place is 'dangerous', it, usually, is not.

As a foreigner from America, the Japanese's idea of a dangerous place to live doesn't even compare.  This is not to say their concerns should be ignored but you will want to definitely look into it yourself before making any decisions.

Furthermore, sometimes, when they say a certain part of town is 'dangerous', they just mean that there are a lot of foreigners living there. 

I'm mildly insulted by that implication... Just a bit.

But, in any case, by choosing to live in the sketchy part of town or where the other foreigners live, you can find cheap, spacious housing. 

I've had friends living in a one room apartment in the most popular part of Osaka city for just $300 a month!  Crazy!  Think of the amount of money you could save with that!

Why Not Go For a One-Room Apartment

If it is just you and you are moving to a new city or just coming to Japan, it could pay to just get a one room apartment to start.  These apartments, while small, are totally livable.  And, really, is a great fit if it is just you.

They range in size and you could luck up (like I did) and find a big one room apartment that is perfect for just you.  Typically though, you will find one room apartments are about 6-jyou (10.94 sq.m).  Which is enough for a bed, and a few other appliances.

I mean, quietly though, my apartment is a 10-jyou and I can fit a wardrobe, bed, kotatsu table, bookshelf, and more.  I think I may even be able to squeeze another person in here with me too.

So if you're looking to save some money on rent in Japan, snag a one-room.

Live Farther From the Station

Another way to save money on rent in Japan is to live farther from the stations.  Of course, everyone wants to live within a 5 minute walk from the station.  But such an amenity is gonna cost you.

So if you're looking to save some money and don't mind walking an extra ten minutes, you should consider getting an apartment just a bit further out.

Not only will it cost you less in rent but you could also get more space at the lower cost.  Furthermore, exercise does do the body good.  And a good brisk walk in the morning could do wonders for your health.

Skip the New Builds and Opt For the Older Ones

Everyone always wants the newest things with the latest technologies and smart systems especially in Japan.  But if you're looking to save some cash in the housing department, you may want to think again.

Renting an apartment in an older apartment building can save you hundreds of thousands of dollars in rent over the years.  Not a small chunk of change!

Look for the buildings that may not look like much on the outside but have been recently renovated on the inside.  These are the best ones. Because, despite the renovations, these will still go for much less than their newly built competitors.

Opt Out of Key Money (and Other Fees)

What is key money?

Just in case you don't know.  Key money is what you have to pay to move into many apartments in Japan.  It is more or less a bribe left over from the olden days when there was a housing shortage.

And, I must say, key money is no chump change.  It can run you 1, 2 or, sometimes, 3 times the monthly rent.  Yikes!  Talk about putting a dent in your wallet!

Luckily, although you may think key money is set in stone, it's not.  You can negotiate it down.  And, what's more, there are many places where you don't need it at all.  

Just make sure you tell your agent that you only want to see apartments with no key money required.  And they'll be sure to generate you a good list.

What about the other fees?

While you're out there kicking key money to the curb, you should minimize (and preferably, get rid of) the other fees associated with getting an apartment as well such as the agency fee and guarantor fee.  

The agency fee is the commission agents charge for finding you your apartment and the guarantor fee (required by most apartments) is usually charged by a company that guarantees your rent will be paid if you fail to pay it.

Like key money, the agency and guarantor fee can easily be done away with.  Simply search for a company willing to waive the agency fee and grab a Japanese friend, coworker, or employer to be your guarantor.

And if you really just want to push the Easy Button, just look up UR Housing.  They offer apartments that do not require key money, an agency fee, renewal fees, or a guarantor.

Look for Rentals on AirBnB

Believe it or not, but Airbnb is actually a great place to search for a long term rental.  Sure it may be a site mostly for tourists looking to live like a local for a week but many Airbnb owners would be more than willing to rent it to you for longer.

I mean that would mean they would have consistent money coming in monthly.  And who wouldn't want that? 

So if you have your heart set on a certain area, but you haven't seen a nice place at a decent price, give Airbnbs a try.  You never know what gems you may find.

Leave Some Amenities Behind

It's very popular in Japan to have the bath and the toilet in separate rooms.  Because of this, choosing an apartment with them separate will definitely cost you a bit more.

But if you're from most other countries, you're probably used to having both the toilet and the bath in the same room.  So why not just keep it that way?  By doing so, you can save a few extra bucks a month.

Share With Friends

Sharing is caring as they say.  And when you decide to open up your apartment to friends in need, you'll be able to slash your rent in half (at the least).

Not only will you be paying less in rent but with everyone pitching in, you may find that the amount of money you spend on groceries, your water bill, and utilities decrease as well.

So you'd be able to save some good coin and live with the people you love hanging out with the most! It's a win-win!

Roomies for Life!

All in All

Saving money on your rent in Japan is pretty easy once you know what to do and what to look for.  But don't just take my word for it.  Go out and do it.  Then let me know how it goes!  

Also, let me know if you have any other tips on how to save money on rent too!  You know I'm always looking for more ways to save! 

Happy Renting!