Original post is here.
In response to the above, I first consulted a few Japanese legal sources online and also visited the Tokyo Metro Government's Realty Section and Housing Planning Department (who were only moderately helpful). the tl;dr is that the realty company who handles our property is playing dumb with us and we're still stuck at square one.
Regarding security deposit increases: From my research, I learned that landlords CAN ask you to increase the security deposit when increasing the rent (total bullshit) because, under the law, security deposits can be used (among other things) as guarantee against unpaid rent. So, if the rent is raised, then the deposit can be raised to match the new rental rate. HOWEVER, if your rental contract lists a security deposit as a set amount and not as a certain number of months' rent, then you have legal basis to refuse the deposit increase.
Our initial rental contract from 2016 listed the security deposit as "2月賃貸 – ï¿¥480,000" — but the contracts from each subsequent two-year renewal since 2016 included a nice little line in Japanese only that essentially states, "the conditions of the original contract apply, except in matters as listed above." Well, sucks for the realtor, because each renewal since our very first only lists a deposit amount without any stipulation that the deposit is a set number of months' rent. So, our current contract legally states the security deposit is ï¿¥480,000 and not two months' rent in the amount of ï¿¥480,000. Hah hah, fuckers.
Regarding rent increases: As everyone helpfully explained in my original post, the law states the landlord must show that the current rent is out of scope with other similar rentals in the area. I had mentioned previously that the realty company provided a list of six properties as their "proof" rent in the area has increased. The issue? None of those properties were even remotely similar to ours. Our house was built in 1985 and is about 108 sq m. The houses provided were all built in 1995-2022, which was an immediate red flag. Only one was about the same size; the rest were all significantly larger — I'm talking 130-180 sq m. Then comes the issue of location. Only one property was in our actual neighborhood, but it was one of the super massive ones. Another was in a completely different ward, about a 15 min drive from our house. The rest were in a less than five-minute walk to the station; our place is a 10-12 min walk from the two nearest stations.
Obviously, the vast majority of us here can see the issues with this "proof" of out-of-scope rent. The newer a property is, the more expensive the rent. The larger the property, the more expensive the rent. The closer to a station, the more expensive the rent. The law is pretty clear on what constitutes "similar" — similar age, similar size, similar location. Renting to foreigners or allowing pets, as our places does, is not considered a basis for determining whether or not a property is similar to the rental in question.
Armed with this knowledge, I went to numerous realty websites and even visited a realtor in our neighborhood posing as a potential tenant looking to relocate. Our current rent of ï¿¥240,000 is not out of scope for the area and property type. In fact, it's exactly in line, if not slightly more, with rent for detached homes in the area built between 1980 – 2000ish. Anything approaching or exceeding that ï¿¥275,000 rent increase that the landlord is asking for was significantly larger, significantly newer, or both.
I then drafted a six-page letter detailing the following:
Acknowledgment of the request to increase rent
Our desire to enter into negotiations regarding the rent increase as permitted by law
Rejection the request for security deposit increase based on the language in the current contract negating the "two months' rent in the amount of ï¿¥480,000" clause from the 2016 contract
Citation (in Japanese) of legal precedent regarding the aforementioned point
Copies of all lease renewals since the original 2016 contract with the ï¿¥480,000 security deposit and the "the conditions of the original contract apply, except in matters as listed above" bits highlighted
Detailed, point-by-point breakdown of how each property provided as "proof" of market rental costs are in no way similar to our property (ie: age, size, location)
A list of 12 similar detached homes currently or recently (less than one month prior) rented in the neighborhood whose rent ranged from ï¿¥180,000 to ï¿¥260,000
The rental listings for each of the aforementioned properties, with build year, size, rent, and detached home status highlighted
I really just wanted to send the letter in English to scare them with big words (lol) — but I paid to have it professionally translated to make 110% sure the language and concepts were as accurate as possible, as well as to keep the same language level/tone used in my original letter. Sent via Letter Pack Plus so someone had to sign for it well in advance of the reply deadline.
I didn't hear from the realty company for a month. This was more or less their response:
This a detached house, so there are not many similar properties around. Rent can vary depending on the age and size of the property.
No shit? So what about the 12 listings I sent?
We understand it is difficult to find with a comparable property that you would like.
The fuck? Did you completely misunderstand why I sent listings? (Narrator: Yes, they did misunderstand why she sent listings.)
The owner initially asked our company for advice as follows.
"Property taxes and other taxes have gone up, and I need your help in increasing the rent."
Are they seriously trying to make me have sympathy for a landlord? lmaooooo
Taxes increased 15% from 2017 to 2023, and from 2023 to 2024 they went up by 5.7%. [Note: They did not specify which taxes; for all I know, they could be talking about banana tax increases. Remember: the landlord cited "other taxes" going up as their reason for wanting more rent money.]
There is no doubt that the taxes owed by owners are increasing. We are asking for a rent increase on this basis.
Boo hoo? Welcome to being a landlord? Welcome to owning property? How is this my problem? It's not!
Anyway, I countered with the same basic requests: Show us similar rentals, negotiate with us. I then threw in a little, "We acknowledge taxes have increased. However, as you are likely aware, costs of living have increased dramatically while salaries have not increased. We are both paid in Yen, employed by Japanese companies, and have not received an increase in salary." I also told them I could continue to send similar property listings if they do not understand the "similar property clause."
I haven't heard from them since. It's been a week.
Fun stuff! Any advice welcome.
by laika_cat