Contracts

jusetsu -重説

“重說” is short for “重要事項説明”, means an explanation of imprtant matters. In real estate transactions, according to Article 35 of the Real Estate Brokerage Act, agents are required to prepare and explain a document called the “Important Matters Explanation” to the buyer or renter before signing the contract. This includes details about property registration, building restrictions, water and drainage systems, and whether the property is in a hazard zone.

ryote -両手

In property transactions or rental agreements, it is common to charge a fee to both parties involved—this is known as “full commission.” On the other hand, “half commission” means the fee is only charged to one side, such as just the buyer or the tenant, while the other party does not pay any fees.

chukaitesuryo -仲介手数料

This refers to the fee paid to the real estate or broker that helps you through the process of finding a property and finalizing a deal. Whether it is for renting or buying, the real estate company supports the client by searching for properties and facilitating the agreement between the client and the landlord.

In the case of sales
2 million yen or less Sale amount x 5% x Consumption tax
2~4 million yen Sale amount x 4% + 20,000 yen x Consumption tax
Over 4 million yen Sale amount x 3% 60,000 yen x Consumption tax

In the case of rentals
For rental agreements, the brokerage fee is determined based on the rent amount. Typically, real estate agencies specify the fee as a percentage of the rent, such as “〇% of the rent,” meaning the fee will vary with the rent amount.

tetsukekin -手付金

“手付金” is the money paid when signing a purchase contract, intended to stabilize the legal relationship and secure the contract. Paying “手付金” helps ensure the commitment between both the buyer and the seller. Although the maximum “手付金” is typically set at 20% of the sale price, the usual range is between 5% and 10% of the total sale price.

owner change -オーナーチェンジ

This refers to when the owner of a rental property sells the property with tenants still living in it. This approach is convenient for buyers because they don’t have to find tenants themselves, and they can start earning income right after the purchase.

atamakin -頭金

It is the amount you need to pay yourself when buying property, after subtracting the mortgage loan amount from the total price. For example, if you’re buying a property worth 40 million yen and taking out a loan of 35 million yen, your “頭金” would be 5 million yen. In other words, it is the portion of the property price covered by your own funds or other sources, rather than the mortgage. This payment is usually made between signing the purchase contract and the final transfer of the property.

teikishakuyakeiyaku -定期借家契約

It is one where the rental period is set in advance and the contract does not automatically renew when the period ends. Unlike regular rental agreements, once the term is over, it doesn’t automatically continue. If you want to extend the lease, a new contract must be signed. Landlords can manage their property more flexibly according to future plans, and tenants can meet their short-term housing needs.

torihikitaiyo -取引態様

It is a term used to describe the role and position of agents or representatives in real estate transactions. It clarifies the role of the agent in property sales or rental agreements. For example, agents might act as representatives for the seller or buyer, or they might handle the brokerage of the transaction. Understanding transaction status helps to better grasp the contract details and responsibilities. Agents are required to explain the transaction status to ensure transparency for their clients.

jitsuin, ginkoin, mitomein -実印、銀行印、認印

「実印」 is a formal seal used on legal documents and requires government registration. It is typically used for real estate transactions or important contracts. 「銀行印」 is used for transactions with banks and must be registered with the bank. It is used for activities such as withdrawing money or transferring funds. 「認印」 is used for general documents or daily use and does not require registration. It is used for less formal documents like contracts or application forms. Each seal serves a distinct purpose, and it is important to use the appropriate seal for each situation.