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What is a Subscription-Based Rental Service? Advantages and Disadvantages and Key Points for Choosing a Property

An explanation of the structure, benefits, and drawbacks of subscription-based rental services. We also introduce the lifestyle of address hoppers, 5 popular services, and key points for property selection.

About 3 min read

Subscription-based rental service is a new housing style that allows you to live in your preferred location for a fixed fee and move freely. It is attracting attention for its convenience and flexibility not found in conventional rentals. Interest is growing in this new way of living that differs from the traditional stress-free property management system.

This article provides a detailed explanation of the features, advantages and disadvantages of subscription rentals, and how to choose a property. We will also introduce the new lifestyle called address hopping and compare popular services.

What Kind of Lifestyle is Address Hopping?

Address hopping refers to people who live while moving to various locations without having a fixed home, and that lifestyle. It has increased as the spread of remote work has made location-independent working possible.

Accommodation and Costs

Mainly hotels, guesthouses, and monthly rental properties are used. With guesthouses and monthly properties, you can live at relatively low cost.

Advantages

  • You can enjoy a free lifestyle
  • No fixed costs such as rent and utilities
  • Not bound by troublesome contracts

Disadvantages

  • The hassle of constantly searching for accommodation
  • Physical burden from moving
  • Stress of adapting to new environments

What is a Subscription-Based Rental Service?

Subscription-based rental is a service where you pay a fixed fee to use housing. Unlike general rentals, it features no initial costs, simple contract procedures, and fully furnished with furniture and appliances.

Meaning of "Subscription"

An abbreviation of subscription, it is a business model where you purchase "usage rights" for a certain period. The basic concept is "use" rather than "ownership".

Differences from General Rentals

  • Initial costs: In many cases, security deposits and key money are not required
  • Procedures: Can be completed with just a smartphone through electronic contracts
  • Facilities: Furnished with furniture and appliances, reducing moving burden
  • Fees: Fixed rate including utilities and Wi-Fi charges

What Are the Advantages of Subscription-Based Rentals?

The greatest appeal of subscription rentals is the three points: low cost, simple procedures, and high degree of freedom.

Freedom to Move

You can easily move to your preferred area according to work or lifestyle changes.

Simple Contract Procedures

Some services support electronic contracts, significantly reducing the hassle of moving out and moving in.

Lower Costs Than Hotels or Regular Rentals

Since utilities and internet charges are included in the rent and furniture and appliance purchase costs are unnecessary, it's a structure that makes it easy to reduce total costs.

Various Ways to Use

A dual-location lifestyle is possible, such as using subscription rentals near the office on weekdays and staying at home on weekends. It can also be used as accommodation when traveling.

New Encounters

Through interactions in shared spaces, connections are formed with people you wouldn't normally meet.

What Are the Disadvantages of Subscription-Based Rentals?

While there is a high degree of freedom, you should also understand that there are uncertainties in reservations and constraints in living environment.

Possibility of Not Being Able to Reserve on Desired Dates

Popular properties fill up quickly, and there may be limits on the number of consecutive nights you can stay. It's important to check the contract details in advance.

Many Shared Rooms

Dormitory-style arrangements are common, making them unsuitable for those who want to spend time quietly alone. Private room types are available, but kitchens and living rooms are generally shared.

Cannot Customize Rooms

Since furniture and appliances are provided, you cannot enjoy decorating rooms with your own preferred interior.

Mobile Living Consumes Energy

The labor involved in moving, such as searching for the next facility and transporting luggage, is greater than you might imagine.

What Are the Key Points When Choosing a Subscription Rental Property?

When choosing subscription rentals, focus on four points: base area, contract period, housing type, and total cost.

Check the Base Area

Check the internet environment, surrounding convenience, and security in advance. Service coverage areas vary by provider.

Confirm Minimum Contract Period

It varies by company, from 1 month to 3 months or 1 year. Hotel-stay types may be available from as short as 1 night.

Choose Housing Type

  • Dormitory: Shared room type, lowest cost
  • Share house: Private rooms available, shared bathrooms
  • Partner rental properties: Type where you can rent regular private rooms or apartments

Consider Costs in Total

Compare based on the total including initial costs, monthly fees, and moving costs. Even if it looks cheap at first glance, it may become expensive if you move frequently.

How Should the Issue of Resident Registration Be Resolved?

When moving around with subscription rentals, the practical solution is to keep your resident registration at a specific location (such as your parents' home or a share house).

Problems That Occur Without Resident Registration

  • Cannot renew driver's license
  • Difficult to pass credit card screening
  • Cannot use public facilities
  • Cannot participate in elections

There is an obligation to submit a notification of moving in under the Basic Resident Registration Act, and a fine of up to 50,000 yen may be imposed if violated.

ADDress

Utilizes over 210 vacant houses nationwide. Includes utilities and Wi-Fi, and can be used by families.

Xross house

Over 300 properties in Tokyo. Private rooms with locks and free transfer between properties. Recommended for those who prioritize privacy.

Hostel life

Unlimited stays at hostels nationwide from 15,000 yen per month. Can be used from a minimum of 1 month, ideal for dual-location living.

HafH

Approximately 809 locations worldwide. Stay at hotels for a fixed monthly fee, and accumulate coins to stay in luxurious rooms.

unito

Hotel living possible from 5 days a month. A system where days not at home are refunded, allowing efficient use without waste.

Frequently Asked Questions (FAQ)

Q. What is a subscription-based rental service?

A service that allows you to use housing by paying a fixed monthly fee. Features include no initial costs, fully furnished with appliances, simple contract procedures, and the freedom to change your place of residence.

Q. What is the difference between subscription rental and regular rental?

Subscription rentals do not require security deposits or key money, and in many cases, utilities and Wi-Fi fees are included in the monthly fee. Procedures are also simple with electronic contract support.

Q. What should I do about resident registration for subscription rentals?

It is recommended to keep your resident registration at a specific location such as your family home or share house. Transferring your resident registration is a legal obligation, and violations may result in fines.

Q. Who are subscription rentals suitable for?

Suitable for remote workers, freelancers, businesspeople with frequent business trips, and those who wish to live in two locations. Recommended for those seeking a free lifestyle not tied to a specific location.

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

Author

President & CEOINA&Associates Inc.

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 holds eleven Japanese professional qualifications: 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