How Much Is Real Estate Commission in Japan?
Learn how real estate commission works in Japan, including standard fees, who pays, and what services are included. A clear guide for home buyers and sellers, especially those dealing with akiya properties.
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How Much Is Real Estate Commission in Japan?
Whether you're buying or selling a home in Japan, one of the key costs to be aware of is the real estate commission fee. This fee is paid to the real estate agent for their services and is a standard part of the transaction process.
In this guide, we'll break down how real estate commission works in Japan, how much it costs, who pays it, and what services are typically included.
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1. What Is a Real Estate Commission?
The real estate commission is the fee paid to a licensed agent for helping facilitate the sale or purchase of a property. This includes tasks such as:
- Listing and marketing the property
- Scheduling showings and communicating with potential buyers
- Assisting with price negotiations
- Drafting contracts and legal paperwork
- Coordinating closing and transfer procedures
In Japan, commission fees are regulated by law, which means there’s a standard maximum that agents can charge.
2. Standard Real Estate Commission in Japan
The legally allowed maximum commission for real estate transactions in Japan is:
For Properties Over ¥4,000,000:
➡️ 3% of the sale price + ¥60,000 (+ consumption tax)
Commission Breakdown Example:
Let’s say you sell your home for ¥10,000,000.
- 3% of ¥10,000,000 = ¥300,000
- Add ¥60,000 = ¥360,000
- Plus 10% consumption tax (¥36,000)
- Total commission: ¥396,000
✔ This fee is typically paid at the time of contract closing.
3. Who Pays the Real Estate Commission?
In many transactions, both the buyer and the seller each pay commission to their respective agents.
However, in Japan it’s common for a single agent to represent both parties (known as dual agency or 両手仲介 – ryōte chūkai).
In this case:
- The agent may receive commission from both the buyer and seller.
- Each party pays up to 3% + ¥60,000 (+ tax), meaning the agent could receive double commission.
✔ Always clarify the commission terms with your agent in advance.
4. Are There Any Discounts or Negotiable Fees?
While the 3% + ¥60,000 rate is the legal maximum, some agents—especially for high-value properties or competitive markets—may offer reduced rates or waive part of the fee.
You can ask:
- “Is your commission negotiable?”
- “Do you offer a reduced rate for vacant homes or akiya?”
✔ Be aware that discounting commission might affect the level of service or marketing your home receives.
5. What Does the Commission Cover?
Here’s what you’re typically paying for:
For Sellers:
- Pricing strategy and valuation advice
- Professional listing on real estate websites
- Photography and property descriptions
- Buyer inquiries and negotiations
- Paperwork, contracts, and legal coordination
- Assistance with closing and ownership transfer
For Buyers:
- Property search and recommendations
- Scheduling viewings and tours
- Negotiation support
- Contract explanations and guidance
- Help with financing or mortgage referrals
- Support throughout the closing process
6. Real Estate Commission for Akiya or Cheap Properties
If you’re selling or buying an akiya (vacant house) or a home under ¥4,000,000, the commission fee follows a different rate structure:
Sale Price RangeMaximum Commission RateUp to ¥2 million5% of sale price (+ tax)¥2M – ¥4M4% of sale price + ¥20,000 (+ tax)Over ¥4M3% + ¥60,000 (+ tax)
✔ Akiya commission fees tend to be lower in absolute cost, but they are still subject to the same regulations.
7. Tips for Managing Real Estate Commission Costs
✔ Understand the breakdown – Always ask your agent for a written explanation of their fees.
✔ Know your responsibilities – Clarify if you or the buyer will be covering the agent’s commission.
✔ Get quotes from multiple agents – If you’re selling, compare services and commission rates.
✔ Ask about bundled services – Some agents may include photography or listing upgrades in their fee.
Final Thoughts: Real Estate Commission in Japan Made Clear
Real estate commission is a standard and necessary part of buying or selling a home in Japan, helping ensure the process is smooth, legal, and well-coordinated.
✔ The maximum fee is 3% + ¥60,000 + tax for most properties.
✔ Buyers and sellers typically each pay their own commission, unless otherwise agreed.
✔ For akiya or inexpensive homes, different commission tiers apply.
Need help navigating your sale? Old Houses Japan connects sellers and buyers with trusted agents, transparent fees, and expert support. Contact us today to get started!
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