What’s the best management contract out there ?
There are several services such a vendor can provide, amongst which a rent guarantee whether there are tenants or not. But : the law says squarely that you can’t change the vendor even if you are unhappy with the service.
I want to avoid those one-sided services.
The package would include for example : maintenance and cleaning of common areas, finding tenants, collecting rent, etc.
by Bumblebeeee00
5 comments
> The package would include for example : maintenance and cleaning of common areas, finding tenants, collecting rent, etc.
This is a pretty standard package from any property management company.
You can search for them on google, I suggest you use one that is specialized in the area where you want to purchase the apartment.
Also, be wary of “rent guarantee” packages, if they are too good to be true, there is usually a reason behind that (higher fees elsewhere).
Please do not do sub-lease agreement. You can’t terminate it in Japan.
You’re looking at standard, run of the mill packages there.
For anyone who might happen upon this post: under no circumstances, *ever ever ever* sign a contract with names like サブリース or 一括借り上げ. They will essentially guarantee you rent money whether they are occupied or not. What you aren’t seeing in these contracts unless you read *very* carefully is that you still have to pay 修繕積立金、are responsible for repairs and renovations, and all those other fees. They will generally not pay you what you could be getting out of the rental, so they’ll be pocketing profits and leaving you with all of the costs. On top of that, they make these contracts either insanely difficult or prohibitively expensive to cancel. For instance, if they say “甲が乙に正当な事由がある場合にのみ解除できるものとする” then you are basically never getting out of it. I promise to anyone who signs one of these, that you should immediately ask a lawyer to help find a way out. It is that bad.
> amongst which a rent guarantee whether there are tenants or not.
This is often an indication of a shady deal. It means they’re making FAR too much money on the sale, or they’re not planning to be around to make good on the deal, or they will be collecting huge fees in some other way. There are **NO** free lunches, only scams.
Stupid question maybe but can I ask you why you choosing to go down this path instead of just throwing the money into an index fund or high yielding dividend stocks? Is it for the stable monthly income and tax write-offs? I have been interested in doing this for years but never was able to pull the trigger on a deal.