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When Do You Get Your Security Deposit Back in Japan? A Foreign Investor's Guide to the Genjo-Kaifuku Restoration Guidelines

A plain-English guide to Japan's shikikin (security deposit) refund rules and the genjo-kaifuku restoration guidelines. Learn why normal wear and tear isn't charged to tenants, and how to avoid move-out disputes over a Japanese rental deposit.

Last updated: About 3 min read

When you move out of a rented apartment in Japan, one question comes up almost every time: will you actually get your shikikin (敷金, security deposit) back? Japan's leasing system is built around a distinctly Japanese pair of upfront payments — shikikin and reikin — plus a set of restoration rules with no exact Western equivalent. Understanding how the deposit works, and how the genjō-kaifuku (原状回復, restoration-to-original-condition) rules apply, is essential for avoiding move-out disputes and recovering as much of your deposit as possible.

What Is Shikikin? How Is It Different From Reikin?

Shikikin (敷金) is a refundable security deposit that a tenant pays to the landlord at move-in, held against unpaid rent or damage to the unit. If the conditions below are met, it is returned when the tenancy ends. Reikin (礼金), by contrast, is a one-time, non-refundable gratuity to the landlord — there is no equivalent to reikin in most Western markets, where a security deposit, usually capped by law at one to two months' rent, is the only upfront payment beyond rent itself. In Japan, tenants routinely pay both a refundable shikikin and a non-refundable reikin, so it pays to budget for them as two separate line items. Knowing this distinction before signing a lease is the first step toward protecting your deposit.

What Is the Genjo-Kaifuku (Restoration) Guideline?

The 原状回復をめぐるトラブルとガイドライン (Guidelines for Restoration-Related Disputes), published by Japan's 国土交通省 (Ministry of Land, Infrastructure, Transport and Tourism, MLIT), sets out how move-out costs should be split between landlord and tenant. Unlike many U.S. states, where deposit deductions are governed by binding statute, the MLIT guideline is not legally enforceable — it is a reference standard. In practice, though, courts and consumer-affairs offices rely on it so consistently that it functions as Japan's de facto rulebook, making it just as important to know as if it were binding law.

How Genjo-Kaifuku (Restoration) Is Defined

Genjō-kaifuku (原状回復) is legally defined as restoring only the damage caused by the tenant's intent, negligence, or breach of the duty of care expected of a reasonable occupant. Normal wear and tear from ordinary living is entirely outside the tenant's responsibility. This is a more precise standard than the vaguer "reasonable wear and tear" clauses common in Western leases, which rarely come with a published government framework spelling out exactly what qualifies.

What Is the Keika-Nensu (Depreciation-by-Years) Share?

経過年数 (keika-nensu) is the decline in an item's value from the simple passage of time, regardless of how carefully a tenant lived in the unit. Wallpaper, for example, is assigned a six-year useful life; after six years its residual value is treated as zero, so even if a tenant caused damage requiring replacement, they owe only the depreciated remaining value, not the full cost. Most Western jurisdictions leave wear-and-tear valuation to case-by-case negotiation rather than a published depreciation table, so this useful-life concept should not be assumed to translate from a foreign investor's home market.

The Segmented Repair Unit (Shiko Tan-i) Principle

Repair costs apply only to the damaged portion, not the whole surface. Wallpaper is billed by the single wall panel, tatami by the individual mat, and flooring by the square meter actually affected. A tenant never has to pay for re-papering a whole room over one cigarette burn on a single wall — a unit-based billing principle that caps what can legitimately be charged back at move-out.

Why Checking the Lease Contract Matters Most

Because the MLIT guideline is only a reference standard, the lease contract can override it. If the lease contains a shōkyaku (償却, amortization) clause, a specified portion of the deposit is contractually non-refundable regardless of the unit's actual condition — closer to a fixed cleaning fee than a damage deposit. Read the contract carefully for this clause before signing, and photograph any pre-existing damage at move-in.

When and How Much of the Deposit Comes Back?

Typical Refund Timing

As a rule of thumb, the deposit is refunded within about one month of move-out. That timing means it usually cannot be counted on to cover the upfront costs of a new apartment, so tenants should budget separate funds for the move rather than assume a quick turnaround.

How the Refund Amount Is Calculated

The formula is simple: deposit paid minus the tenant's share of genjō-kaifuku restoration costs. If no chargeable restoration is required, the entire shikikin is returned. Thorough move-in inspections make it far easier to contest an unjustified deduction later.

Where to Turn When a Dispute Arises

If you believe a deduction from your shikikin is unjustified, first raise it with the property management company. If that does not resolve things, consult a 消費生活センター (Consumer Life Center) — a public consumer-affairs body in every Japanese municipality that mediates exactly this kind of landlord-tenant dispute, with no precise equivalent in most Western small-claims systems. Keep move-in photographs and other evidence on hand; they are essential to making your case.

Frequently Asked Questions (FAQ)

Q. Will I always get the full shikikin back?

A. If no chargeable restoration is needed and the lease has no shōkyaku (amortization) clause, yes. In practice, though, most tenancies see at least some deduction, so treat a full refund as the best case, not the default.

Q. Am I responsible for staining or fading caused by normal wear and tear?

A. No. Normal wear and tear from ordinary use is the landlord's cost to bear, not the tenant's. Only damage from intent or negligence is charged to the tenant — the same distinction behind Western "reasonable wear and tear" clauses, but here backed by the MLIT's published, itemized guideline rather than informal custom.

Q. If my lease has a shokyaku clause, does that mean I get nothing back?

A. The amortized (shōkyaku) portion itself is never refunded, by design. But if your actual genjō-kaifuku restoration costs come in below that fixed amortized amount, the difference is still returned — so the clause caps your exposure rather than eliminating your refund entirely.

Q. What should I do if the deposit refund is late?

A. Once the deadline stated in your lease has passed, send a written demand for payment. If that does not resolve it, escalate to your local Consumer Life Center or consider Japan's small-claims court (少額訴訟) process, built for exactly this kind of low-value, documentation-based dispute.

Daisuke Inazawa, President & CEO of INA&Associates Inc.

Author

President & CEOINA&Associates Inc.

President & CEO of INA&Associates Inc. Leads real estate brokerage, rental leasing, and property management across Greater Tokyo and the Kansai region. Specialises in income-property investment strategy and advisory for ultra-high-net-worth individuals.

Daisuke Inazawa is the President and CEO of INA&Associates Inc., a Japanese real estate firm headquartered in Osaka with a Tokyo branch. He leads the company's three core businesses — real estate sales brokerage, rental leasing, and property management — across the Greater Tokyo Area and the Kansai region.

His areas of expertise include investment strategy for income-generating real estate, profitability optimisation of rental operations, real estate advisory for ultra-high-net-worth individuals (UHNWIs) and institutional investors, and cross-border real estate investment. He provides data-driven, long-horizon advisory to investors in Japan and overseas.

Under the management philosophy "a company's most important asset is its people," he positions INA&Associates as a "people-investment company" and is committed to sustainable corporate-value creation through talent development. He also writes and speaks publicly on leadership and organisational culture in times of change.

He has passed eleven Japanese professional qualification examinations: Licensed Real Estate Broker (Takken), Certified Real Estate Consulting Master, Licensed Condominium Manager, Licensed Building Management Supervisor, Certified Rental Housing Management Professional, Gyōseishoshi Lawyer (administrative scrivener), Certified Personal Information Protection Officer, Class-A Fire Prevention Manager, Certified Auctioned Real Estate Specialist, Certified Condominium Maintenance Engineer, and Licensed Moneylending Operations Supervisor.

  • Licensed Real Estate Broker (Takken)
  • Certified Real Estate Consulting Master
  • Licensed Condominium Manager
  • Licensed Building Management Supervisor
  • Certified Rental Housing Management Professional
  • Gyōseishoshi Lawyer (Administrative Scrivener)
  • Certified Personal Information Protection Officer
  • Class-A Fire Prevention Manager
  • Certified Auctioned Real Estate Specialist
  • Certified Condominium Maintenance Engineer
  • Licensed Moneylending Operations Supervisor