Property Management Hints and Tips from Japan

Delivering Japanese Real Estate Information and More!

Living in Japan Real Estate Investment

Solution to Limited Storage

投稿日:2019-09-19 更新日:

Storage is one of the most important factors being considered when looking for housing. Renovating a Japanese-styled wardrobe into modern closet, installing shelves and organizers to make storage more useful are ways to improve apartments’ value.

However, for rooms that are too small or with unique shapes preventing them from installing storage space can consider placing storage ”outside”.

Japanese Style Closet

Modern Closet

 

Rental Storage at Common Area

Following the rules of land-to-building ratio, it is possible to utilize the empty space in your property to install ”rental storage”.

For instance, it costs 500,000JPY to install five 1 m2 storage. Ideally, with the additional value of storage, owners can expect an increase of monthly rent by 2,000JPY from each tenant. In this case, annual profit increases by 120,000JPY and the break-even point will be after 4 years approximately.

On the other hand, even if monthly rent was not increased, the installation of storage contributes to tenant retention and prevents value deflation of the property.

Cloud Storage

Storage Warehouse

If pysical aspects of your apartment do not allow you to install extra storage, ”cloud storage” is the solution.

Cloud storage is a service that users store their belongings at provider’s warehouse. Users can manage their belongings via smart phone application, and derive specific items when needed.

Fee varies depending on the provider but usually costs around 200~300JPY each month for one box.

For instance, owners can bear the cost of cloud storage (ex. up to 1,000JPY) providing extra storage to tenants. This can reinforce the value of the property and may lead to monthly rent increase.

The lack of storage in apartments is an obstacle to many; it may be a good idea to consider the above options.

 

-Living in Japan, Real Estate Investment
-,

執筆者:


comment

Your email address will not be published. Required fields are marked *

CAPTCHA


関連記事

2020’s Major Events and Real Estate Trend – Civil Law Amendment, digital innovation, etc…

Japan has entered a new era – Reiwa. Below are some of the major events that happened in the real estate industry.   Civil Law Amendment in Real Estate The civil law amendment in April this year is getting the spot light in the real estate industry. One of of the major changes that will take place is the regulation regarding lease guarantor.   ・An upper guarantee amount must be set for a personal lease guarantor ・In case the lessee or guarantor passed away during the lease period, the principal amount will stop during the time of death.   …the …

Tenant-Satisfaction and Apartment’s Appearance – 24 Hour Accessible Disposal

Customers check not only the room, but also the common area of an apartment. According to the latest edition of tenant-satisfaction survey conducted by Recruit Sumai Company, more than half of the participants stated that they look at the condition of the common area when renting an apartment. Among the above participants, 84% of them answered that they take into consideration of the disposal station in the process of renting. The condition of the common area reflects how well a property management company is doing their job. Regardless of how nice a room can be, an unhygienic and faul smelled …

6 Ways to Lower Vacancy Rate

How is everyone dealing with high vacancy rate? Today, I will introduce some effective ways to shorten vacancy. Things to take in account when considering room vacancy measures When deciding which measure to make, take the below three points into account: Take advantage of search engine First impression during room viewing Fast-acting aid Most people use online search engines to look for apartments during the room searching process. In order to get your property appeared during the search, it is important to have qualities and equipment that match tenants’ needs.   6 Measures to Shorten Vacancy Time After getting picked …

Civil law amendment in 120 years! How does the new law affect rental in real estate?

Civil law in Japan was amended for the first time in 120 years and the new regulations have come to effect on April 1st 2020 (with exclusion). New regulations apply to all lease agreements ‘’signed’’ after the effective date. Keep in mind that ‘’signing date’’ and ‘’starting date’’ of a lease is different. Even if your lease starts after April 1st, if you sign your name on March 31st, the new regulations do not apply Let’s look at the changes that the amendments made in the rental market! Below are the most frequent asked questions. Will there be more or …

Types of Fees Involved in Selling a Property in Japan

Many investors purchased properties in Japan with the anticipation of an optimistic growth in the real estate market driven by 2020 Olympics in Tokyo. With a few months left to 2020 Olympics, investors are curious about the value of their properties. Today, I am going to introduce the expenses that comes along with property selling in Japan. Brokerage Fee This is a fee paid to the broker who conducts the selling process on behalf of the owner. The maximum amount is stated by the real estate brokerage act. For transactions over 4,000,000JPY, the fee is as below. Final sale price …