A guarantor company (保証会社, hoshogaisha) guarantees your rent to the landlord so you don’t need a personal guarantor. Cost: 50–100% of one month’s rent upfront, plus ¥10,000–20,000/year renewal. Nearly all foreigners renting in Japan use one — landlords choose the company, you pay the fee, and screening takes 1–3 days.
The apartment listing looks perfect. Then the agent explains you need a guarantor — a person in Japan who legally promises to pay your rent if you can’t. You’ve been in the country three weeks. You don’t know anyone who would sign that, and honestly, you wouldn’t ask them to.
This is the exact problem guarantor companies were created to solve — and today they’re how the vast majority of foreigners (and increasingly, Japanese renters too) get approved. Here’s how the system actually works.
What a Guarantor Company Does
For a fee, the company acts as your guarantor:
- If you miss rent, they pay the landlord immediately — then collect from you
- The landlord gets guaranteed payment; you get approved without a personal contact
- Most rental contracts now require a guarantor company even if you have a personal guarantor
You don’t pick the company. The landlord or management company has contracts with specific guarantor firms, and you apply to whichever one they use.
What It Costs
| Fee | Typical amount |
|---|---|
| Initial fee | 50–100% of one month’s rent |
| Annual renewal | ¥10,000–20,000/year |
| Monthly plan (some firms) | 1–2% of rent monthly instead of upfront |
On a ¥80,000 apartment: expect roughly ¥40,000–80,000 upfront, then ~¥10,000 each year.
What They Check (Screening)
Guarantor screening (審査, shinsa) typically reviews:
- Income vs rent — rent should be under ~30% of gross monthly income
- Employment — full-time > contract > part-time > unemployed; length at current job matters
- Visa status and length — a 3–5 year visa reassures; 6 months remaining raises flags
- Phone reachability — they will call you (sometimes in Japanese) to confirm identity
- Payment history — some companies (the “credit-affiliated” ones, 信販系) check credit databases; independents usually don’t
Screening takes 1–3 business days. A quiet rejection often just means “try a different property” — different landlords use different companies with different standards.
Why Foreigners Get Rejected — and What to Do
Common rejection triggers:
- Rent too high for stated income
- Unreachable by phone / couldn’t complete the confirmation call
- Very new employment (started under 3 months ago)
- Short remaining visa
- Applied through a strict credit-affiliated company
How to improve your odds:
- Choose rent under 25–30% of your gross income
- Have your employment contract and residence card ready
- If your Japanese is limited, ask the agent to note this — some companies do English confirmation calls
- Ask the agent upfront: “外国人の審査に通りやすい保証会社ですか？” (Is this guarantor company foreigner-friendly?)
- If rejected, don’t panic — ask the agent for a property using an independent (独立系) guarantor company, which have the most flexible screening
If You Can’t Pass Screening At All
Some situations (no income yet, just arrived, freelance with no Japanese tax history) make regular screening genuinely hard. Alternatives:
- UR Housing — government housing, no guarantor company at all. Requires income proof or savings of 100x monthly rent
- Share houses — most operators skip guarantor screening entirely. Oak House rents rooms from ¥30,000/month in Tokyo and Osaka with no guarantor and no key money — you can be approved and moved in within days
- Monthly/weekly mansions — furnished, contract-free, higher monthly cost
See our full share house guide for how those work.
Frequently Asked Questions
What is a guarantor company in Japan? A hoshogaisha (保証会社) guarantees your rent to the landlord for a fee — typically 50–100% of one month’s rent upfront plus ¥10,000–20,000 annually. It replaces the traditional personal guarantor, and most rental contracts now require one.
Can foreigners use a guarantor company in Japan? Yes — this is how most foreigners rent in Japan. Approval depends on income relative to rent, employment stability, and visa length. If one company rejects you, a different property using a different guarantor company may approve you.
What happens if I miss rent with a guarantor company? The company pays the landlord, then collects from you — with late fees, persistent calls, and in prolonged cases legal action and eviction proceedings. A missed payment with a credit-affiliated company can also damage future screening.
Can I rent in Japan without a guarantor company? Yes: UR Housing (government apartments, no guarantor), share houses (no screening), and some landlords who accept a personal guarantor only. These are the main paths for people who can’t pass screening.