As utility costs continue to rise, rental properties that include utilities are drawing more attention.These properties offer the benefit of predictable monthly expenses, but they can also be more expensive in some cases.This article explains the advantages and disadvantages while comparing them with average utility costs by household size.
Utility Cost Basics
Utility costs refer to total energy expenses such as electricity, gas, and kerosene.They consist of a base charge and usage-based charges.
What Are Average Utility Costs by Household Size?
| Household Size | Monthly Average | Breakdown |
|---|---|---|
| 1 person | Approx. ¥9,134 | Electricity ¥5,482 / Gas ¥3,001 / Other ¥651 |
| 2 people | Approx. ¥14,824 | Electricity ¥9,183 / Gas ¥4,330 / Other ¥1,311 |
| 4 people | Approx. ¥17,012 | Electricity ¥11,376 / Gas ¥4,882 / Other ¥754 |
Source: Government statistics portal e-Stat (Family Income and Expenditure Survey 2021)
What Are the Benefits of Rental Properties with Utilities Included?
- Monthly expenses stay consistentmaking household budgeting easier
- You can use air conditioning and heating without worrying about rising utility costs
- You can avoid the hassle of arranging separate utility contracts
What Are the Drawbacks of Rental Properties with Utilities Included?
- If you do not use many utilities,the total cost may be relatively high
- There is less incentive to conserve utilities
- You cannot choose your own electricity or gas provider
What Should You Check When Choosing a Property with Utilities Included?
Compare it with your average monthly utility costs and calculate whether it is truly cost-effective.
- It tends to be beneficial for people with high electricity use, such as remote workers
- It may be relatively expensive for people who live alone and spend a lot of time away from home
- Also consider regional differences in utility costs (Hokkaido is about ¥80,000 higher per year)
Rent Reduction Guidelines and the Civil Code Revisionis also worth understanding to help prevent disputes after moving in.
Frequently Asked Questions (FAQ)
Q. Are utilities unlimited in properties with utilities included?
In principle, yes. However, if usage is extremely high, you may face additional charges or receive a warning. Check the contract details in advance.
Q. Who are rentals with utilities included best suited for?
They are well suited to remote workers, people who spend long hours at home, and those who want simpler household budgeting.
Q. Are there only a few properties with utilities included?
They are less common than standard properties, but they are often found in monthly apartments and company housing.
