Guarantors in Japan: How Guarantor Companies Work for Apartments

Published July 7, 2026 | Kurabeel

"You need a guarantor" is one of the most stressful sentences a foreigner can hear while apartment hunting in Japan. The good news: you almost never need to find a Japanese person to vouch for you anymore. Most apartments today use commercial guarantor companies instead. Here's how the system works, what it costs, and how to pass the screening.

Why does Japan require guarantors at all?

Japanese landlords bear significant risk: eviction is legally slow and difficult, so a tenant who stops paying can be costly. Traditionally, a personal guarantor (連帯保証人, rentai hoshonin) — usually a parent or relative in Japan with stable income — accepted unlimited liability for the tenant's debts. For foreigners without family in Japan, this was often an impossible requirement.

The modern solution: guarantor companies (保証会社)

Today, the overwhelming majority of rental listings — by some industry estimates over 80% — require a guarantor company (hosho gaisha) instead of (or in addition to) a personal guarantor. You pay them a fee, and they guarantee your rent to the landlord. If you ever miss a payment, they pay the landlord and then collect from you.

What it costs

You usually cannot choose the guarantor company — the landlord or management company designates one. The fee is a standard part of move-in costs in Japan.

What the screening actually checks

• Income vs. rent — the golden rule: rent should be under roughly 1/3 of your monthly income
• Visa status and length — a residence card with reasonable remaining validity; work visas and student visas are both fine
• Employment — a certificate of employment or contract; new arrivals can often use a signed job offer
• Contactability — a Japanese phone number and an emergency contact in Japan (a friend or your company's HR is usually acceptable)
• Payment history — some guarantor companies (LICC/CIC affiliated) check past rent or credit issues in Japan

Screening usually takes 2–5 business days and may include a short confirmation phone call — your agency can help you prepare for it or arrange language support.

What if you get rejected?

Rejection is not the end. Common workarounds, roughly in order of effectiveness:

1. Try a different property — each landlord designates a different guarantor company, and standards vary a lot. Independent-type guarantor companies are generally more flexible than credit-bureau-affiliated ones.
2. Lower the rent target — dropping rent to well under 1/3 of income resolves most income-based rejections.
3. Add documentation — bank statements showing savings, or a letter from your employer, can flip a borderline case.
4. Use an agency that pre-screens — an experienced agency knows which management companies and guarantor companies are foreigner-friendly and will route your application there before you waste an application fee.

Guarantor FAQ

Can my employer be my guarantor?

Some companies offer corporate leases (shataku) or act as guarantor — ask HR. Even then, many landlords still require a guarantor company on top.

I have a Japanese friend — can they be my guarantor instead?

Sometimes, but many properties now require the guarantor company regardless. Using the company also spares your friend from unlimited liability — most people prefer it.

Is the guarantor fee negotiable?

Practically never — it's set by the guarantor company. Save money elsewhere instead: the agency fee (up to one month's rent + tax) can be ¥0 depending on which agency you sign with. See our first-timer's overview: Renting in Tokyo as a Foreigner.