Property Management Companies In Japan: A Quick Guide

Managing tenants, scheduling repairs, and completing administrative tasks can feel overwhelming, especially if you are managing your Japanese property from abroad.

You can lessen this burden by outsourcing what needs to be done to property management companies in Japan.

Let's take a quick look at what they can do for foreign property owners.

What is a property management company?

Property management companies operate and oversee properties such as houses and apartments, helping to minimize costs and risks for owners and investors. 

While the owners can be property managers (賃貸管理士 chintai-kanri-shi), many foreign property owners hire Japanese property management companies to help them out.

Property management companies (賃貸管理業 chintai-kanri-gyō or 管理会社 kanri-gaisha) will often offer services such as screening tenants, managing lease agreements, customer service, coordinating maintenance and repairs.

What can property management companies do?

Property management companies offer various services to help manage properties for the owner or those living there.

1. Be your communication bridge.

Japanese property management companies act as a communication bridge between property owners, tenants, contracts, and local authorities. They are extremely helpful when a property owner manages more than one property. 

Property management companies in Japan handle various tasks, such as owner-tenant liaison, tenant screening, and lease agreements, and help tenants deal with any problems that may arise. 

Additionally, they will coordinate with contractors and service companies for required maintenance and repairs, such as landscaping and cleaning, to maintain the property’s condition.

2. Offer customer service to tenants.

Many factors come into play when you’re not on-site, have multiple tenants, and need to facilitate repairs or inspect issues. That’s where property management companies can handle customer-related services for you.

Especially if you have English and Japanese-speaking customers, a property management company that offers bilingual customer service can handle your tenant's needs.

3. Handle tax payments.

Good property management companies can manage rent, but great ones will help you pay your taxes.

Property taxes in Japan can be complicated, especially for foreigners. So why struggle when your property management company can handle them for you?

As an owner of property in Japan, you're subject to an annual fixed asset tax and city planning tax. These bills are sent to your property and must be paid within a specific amount of time.

Some property management companies will act as your tax representative so you can be away from your property without worrying about payments or late fees.

4. Facilitate inspections.

Safety inspections and obtaining fire and earthquake insurance are required for a minpaku license in Japan.

If you cannot speak Japanese, calling for an inspection or filing for insurance will be difficult. When staff comes in to inspect your property, you’ll need to be present to understand any additional paperwork. 

Property management companies and their staff can help make servicing of your utilities and property maintenance much easier.

5. Tenant placement.

Many property management companies will help place tenants into your properties. By working with local real estate agents, your property will be in front of those looking to rent.

Once a tenant is found, property management companies will screen them to find the best fit for your property.

6. Rent management.

Another common service that property management companies will do is to collect rent from your tenants.

While the owner has the right to decide the rent, the management company will ensure the amount is paid.

Once the amount is collected, the property management company will send a bank transfer to your bank account.

What are the benefits of using a property management company in Japan?

Property management companies can help you and your property in 3 ways.

1. Save time.

Property management companies will handle the daily tasks that are associated with property ownership, such as:

• Scheduling repairs and installations

• Conducting inspections

• Dealing with tenant issues

Outsourcing these tasks to the management company allows you to focus on aspects of your life or business.

2. Peace of mind when abroad.

Property management companies will ensure everything will continue to be smooth sailing when property owners are off-site or abroad.

The company will be the point of contact for property owners and tenants for emergencies and other property-related matters.

3. Handle your legal and administrative tasks.

Property management companies are well-versed in Japanese laws and regulations related to property owner and tenant compliance. 

As such, they can handle the necessary paperwork, lease agreements, and tenant screenings on the owner’s behalf.

Top property management services in Japan 

1. MailMate

If you’re new to managing properties or need additional bilingual support as a property owner, MailMate is an all-in-one property management service. 

Here's a brief overview of what property owners get when choosing MailMate.

a. Bilingual support

Most, if not all, property management companies in Japan only speak Japanese. MailMate is different.

Their bilingual staff will be the communication bridge between you, your property, and the tenants. So, if the property needs maintenance or you need any other assistance, MailMate is on standby.

b. Centralized mail management

With MailMate, property owners can access and take action on mail from multiple properties and view them all in one dashboard, eliminating the need to go to each location and physically collect their mail.

When you receive mail, MailMate scans and translates it, making it easier to manage bills, invoices, and notices for your properties.

No more searching through paper files when you can search for important documents for any of your properties in your MailMate dashboard.

c. Automate repetitive tasks

With MailMate, create an automated workflow for specific purposes.

For example, automatically sort and categorize all mail based on whether it is tenant support, invoices, or notices.

Plus, you can decide to automatically have mail opened, forwarded, and more.

d. Bill pay and tax representative service

MailMate's fluently bilingual tax representative service helps property owners stay updated on their real estate tax bills by liaising between clients and the local government.

Additionally, if you use MailMate's tax representative service for property owners, MailMate will file the tax representative form with the relevant tax office on your behalf.

2. Daito Kentaku Partners

Daito Kentaku Partners is part of the Daito Trust Group, a famous house builder in Japan.

They specialize in rental property management and offer a range of services to ensure the stability and reliability of your property.

One of their main features is ensuring that the rent arrears or the percentage of tenants who are behind on their rental payments is less than 0.1% to ensure you will have a stable passive income.

Being fluent in Japanese is not entirely required as they have Daito Kentaku English Support, mainly for tenants who want help dealing with contracts, rent matters, garbage, and facilities.

3. Daiwa House

Also known as 大和ハウス工業, Daiwa House is one of Japan’s top property management companies for renting your properties out. 

They’re most well-known for being a trusted partner between property owners and investors across Japan. 

One key feature is that they will take care of the repairs when a tenant moves out for a fixed monthly fee. This approach will ensure that your properties are maintained and ready for new occupants.

Daiwa is a great option for property owners with a high level of Japanese who want to communicate their goals.

4. Tokyu Housing Lease

Tokyu Housing Lease, or 東急住宅リース, is part of Tokyu Fudosan Holdings, which is a major Japan real estate management that will manage and operate any rental housing for you.

They will ensure smooth operation and maintenance of your properties with their 24-hour contact system. Residents can send and receive assistance during the weekends and holidays.

With strong Japanese skills, you can optimize your rental portfolio with the Tokyu Housing Lease.

In closing

Property ownership doesn't have to be complicated. Choosing the right property management company in Japan can ensure you achieve your property goals.

For property owners living abroad, consider simplifying your real estate investment with MailMate.

Founded in 2019, MailMate has simplified property ownership for foreigners living abroad and is an increasingly popular option recommended by users and well-known industry figures.