Real Estate Glossary
Terms used in the real estate industry that you want to and should know
Agency Fee

A fee paid to the real estate company. For rentals, this fee is usually around 1 month's
rent (not including common service charges/management fees, etc.)

Renewal Fee

A fee charged by the landlord to the renter when continuing the contract for a set period of time after it finishes.
This fee is usually 1 – 2 months' rent, or 5 – 10% of the lease value of the property.

Key Money

Key money is a fee paid to the landlord as a thank-you gift when moving in.
This fee is usually around 1 – 2 months' rent, but it varies depending on the region. Unlike rental deposit, this money is not returned when you move out.


A deposit is held by the landlord to cover non-payment of rent or the cost of returning the room to its original state at the end of the tenancy (excluding standard wear and tear).
When you move out these costs will be subtracted and the remainder will be paid back to you.

Advance Rent

Rent paid in advance when creating a rental contract. For example,
if the contract is created in the middle of a month, the rent will include a pro-rated rate for the rest of the month (starting from the move-in date).
It will also include the rent for the following month. Normally paid along with the deposit/key money, etc.

Common Service Charge

Upkeep fees for common-use areas of apartment/condominium buildings.
Charged separately to your rent cost. This includes water tank inspections, septic tank inspections,
as well as costs of cleaning and changing light bulbs in common areas.

Lock Changing Fee

A fee will be charged for changing the key lock of the previous tenant to a new key lock for the current tenant.
This is done to lower the risk of illegal entry, as the previous tenant may have had multiple keys copied.
*This fee will not be charged by Daito Trust Construction group if you return the keys issued at the start of your tenancy to us.

Fire Insurance Fee

Enrolling in a fire insurance policy is required when creating a rental contract.
Fire insurance covers a wide variety of risks to the property, from fires to wind/ water damage, robbery, etc. It can cover the building, the contents or both.
The insurance cost is determined based on compensation details, building construction, floor area, location, insurance period, and family structure.

Tenant Review

The landlord or managing company can differ in their decision,
but this is generally decided based on criteria such as whether the tenant is likely to pay rent with no issues and not cause trouble for other people living in the neighborhood.
Important Contents Explanation

When a real-estate company is acting as an intermediary, before the contract takes effect, they must explain certain important matters to the (prospective) tenant and printed information regarding important contents will be issued.
The important contents explanation includes items such as the condition of the facilities and how your deposit will be handled.
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