Average Rent in Tokyo and Affordable Areas to Live – 2024 Guide

So, you are considering finding a job and living in Tokyo and are wondering what it’s like living here? And, yes, you would also be interested in knowing about the average rent in Tokyo. This is a very natural question; after all, renting an apartment is one of the first steps and a major cost factor. Moreover, you may also be looking for more affordable areas in Tokyo to save on rent.

Well, you have come to the right place to find out the cost of renting an apartment in Tokyo, the world’s largest metropolitan area!

Even if you have never been to Tokyo, you probably have seen on TV, in the movies, news, and on social media that Tokyo is an ultramodern metropolis of shiny skyscrapers with bright neon lights and busy streets, offering an endless choice of places to shop, dine, drink and be entertained.

You might even be surprised to learn that Tokyo also has lovely green gardens in its heart and many on the outskirts, just a short train ride from downtown.

Gardens are a part of Japanese culture, and Japanese people are very proud of them. Many gardens in Japan are also beloved historic places.

There are several national parks and mountains around Tokyo that you can explore on the weekends, making your experience of living and working in Tokyo endlessly interesting.

But what is it really like to live here? You might be asking yourself: “What is the cost of living in Tokyo?” How much is the average rent in Tokyo? What are the places with the most affordable apartments? Is it better to rent than buying an apartment in Tokyo? This article will do a deep dive into all these questions, so let’s go ahead and find out!

An Overview of Tokyo and its Wards

The current population of the metropolitan area of Tokyo (2023) stands at just under 38 million people. Out of this 38 million, Tokyo prefecture is home to over 13.99 million people. Of this, 9.71 million people live within Tokyo’s 23 wards.

Before we discuss the average rent in Tokyo, let us check the lay of the land. Central Tokyo is divided into 23 “Wards” or districts, namely:

• Adachi (足立区)
• Arakawa (荒川区)
• Bunkyo (文京区)
• Chiyoda (千代田区)
• Chuo (中央区)
• Edogawa (江戸川区)
• Itabashi (板橋区)
• Katsushika (葛飾区)
• Kita (北区)
• Koto (江東区)
• Minato (港区)
• Meguro (目黒区)
• Nakano (中野区)
• Nerima (練馬区)
• Ota (大田区)
• Setagaya (世田谷区)
• Shibuya (渋谷区)
• Shinagawa (品川区)
• Shinjuku (新宿区)
• Suginami (杉並区)
• Sumida (墨田区)
• Taito (台東区)
• Toshima (豊島区)

Chiyoda, Chuo, and Minato are in the Tokyo CBD (Central Business District). Chiyoda is the political capital of Japan, as it is the home of the Japanese Emperor and the government.

Minato Ward is home to the highest-end residential and commercial areas, including Akasaka, Aoyama, Roppongi, Azabu, and Omotesando. Many foreign embassies and multinationals have headquarters here, so you would pay the highest rentals in Tokyo.

Three other wards comprise the Central Six Wards: Shibuya, Shinjuku, and Bunkyo. So, you will find significantly higher rental prices in Tokyo in these areas.

The further north of the city you go, for example, to Arakawa, Itabashi, or Nerima, the less rent you can expect to pay.

Even if money is no object and you can afford to consider renting an apartment in Minato or Chuo, before we get into exactly how much rent to pay in Tokyo by ward, we must consider factors like apartment size and amenities for each property.

Where to Live in Tokyo – Pros & Cons

If we take JR Yamanote Line as a reference, since it is a circular loop running around Tokyo center, we can divide Tokyo’s central areas as follows:

• North to West: Ikebukuro, Shinjuku, Harajuku 
• North to East: Nippori, Ueno, Akihabara (electronic town)
• West to South: Shibuya, Roppongi, Shinagawa
• South to East: Hamamatsucho, Tokyo Station

West to South or South to East is the closest and most convenient route if you work in traditional business districts, where many large Japanese and multinational companies, especially banks and financial services, are located. 

However, rent is expensive, especially in popular areas such as Akasaka, Roppongi, Azabu Juban, Hiroo, Shibuya, Omotesando, and Nakameguro—which are also popular with many expats. 

However, the above-mentioned areas are convenient in terms of proximity and very trendy, where even local Japanese find it a measure of social status to reside. They are also popular since several international and reputable public and private schools are in the area.

You may also like to read about How to choose your neighborhood in Japan.

Pros & Cons

If a short commute and overall convenience are priorities, then living in Tokyo’s central districts is best. However, the average rent in these areas is expensive.

Typically, a newer 2LDK Mansion (the western equivalent of an Apartment or Flat), within a 15-minute walk to the nearest train station, will cost around ¥250,000 ~ ¥300,000 per month. However, this will comfortably accommodate a family of 2 to 3 people.

Pros

Access to various train lines, supermarkets, major department stores, restaurants, parks, and a mix of local and international cultures and communities.  Overall, convenience is the big winner. 

• Yamanote-sen, Chuo-sen, Sobu-sen, and Tokyo Metro lines are all easily accessible and convenient for traveling to Tokyo and Shinagawa station, the main terminals for the Shinkansen bullet train. Shinjuku, Shibuya, and Ikebukuro are also convenient hubs for traveling out of Tokyo despite not being Shinkansen stops, and they rank among the busiest stations in Tokyo.  
• International supermarkets: Kinokuniya and National Azabu (Azabu-Juban) are very popular, especially among expats. These places are convenient if you want international brands that you can only get overseas or items like whole Turkeys or even wild game and steaks cut to your preferred thickness.  For example, Picard Azabu Juban sells frozen French food and delivers it at relatively low prices.  Great selection, including frozen pre-made sauces such as béarnaise, gourmet soups, and a variety of appetizers, pre-cut vegetables, and desserts you definitely won’t find at your local grocery store.
• Mitsukoshi department store in Ginza (flagship) and Shinjuku is the oldest department store in Japan, dating back to the 1600s.  Also, Isetan (flagship) in Shinjuku has a dedicated Women’s and Men’s building and a sprawling food hall Depa Kachi in the basement sells local and international items and is a must-visit!  

Cons

Average rent is very high relative to the size of accommodations, so if you have a large family and are used to Western standards, it will feel cramped and may be more difficult to adjust. 

Car owners must pay a monthly fee to lease a parking space, which can be expensive. The overall cost of living is also high, with higher prices of groceries and other items. Still, it depends on whether you are single, have a family, and reside in the city center or further away. 

Suppose you prefer wide-open areas to relax and have fun unless you visit the popular parks (often crowded). In that case, the alternative is to live further out in Chiba, Saitama, or Kanagawa.  One needs to consider whether the preference is for city life or the quiet and relaxed environment of the countryside.

Factors That Impact Rent Prices in Tokyo

These are the main factors that affect Tokyo apartment rental prices:

• The specific area in Tokyo
• Size and layout of the apartment
• The distance from the nearest Tokyo Metro Station, the main form of public transportation in the city
• Age of the apartment: The newer the building, generally the more expensive it will be
• Floor number: Lower floors are generally less expensive, and higher floors are more.
• Amenities: Air conditioning, balconies, on-site parking, etc.
• The direction the apartment faces—South-facing units are the most popular, so they attract higher rents. On the contrary, North-facing units are cheaper.
• Construction materials: reinforced concrete, steel-reinforced concrete or steel frame, and the availability of earthquake-resistant construction, which can be an essential factor in earthquake-prone Tokyo
• Availability of higher-end amenities such as on-site gyms, concierge service, on-site building manager, etc. These are generally considered luxury amenities with corresponding higher rents.

Costs and Fees of Renting an Apartment in Tokyo

As a rule, standard leases in Japan are 2 years, which is considered long-term. However, you can also find accommodation on monthly short-term contracts. Unless the listing says otherwise, you can assume it is for a 2-year lease.

Long-term apartment rentals in Japan are usually unfurnished and do not include items such as sofas and appliances such as refrigerators or washing machines unless specifically stated in the listing, so you must purchase these.

Your utilities—electricity, water, gas, and Wi-Fi—are also not included, so you need to factor in these monthly costs as well when calculating your overall costs in Tokyo.

Upfront Costs to Rent an Apartment in Tokyo

These can be higher in Japan than anywhere else, so you must consider the following upfront costs when you want to move into an apartment in Tokyo:

• First month’s rent upfront
• Deposit of 1-2 month’s rent (returnable to you at the end of the lease, minus a cleaning fee when you vacate the property)
• Agent’s commission of 1 month’s rent + tax
• Guarantor company fee: 1 month’s rent + tax. In Japan, a co-signor or guarantor or hoshonin agrees to cover the cost if you default on your rent or damage the property, and they must prove they have the financial means to pay. While the recently revised Civil Code allows limits on the Guarantee Amount, the need for a guarantor is one of the most challenging hurdles for foreigners looking to rent an apartment in Japan.

If you are relocating to Japan from a foreign country to work for a Japanese company, your company should be able to assist you.

Many multinational companies can be guarantors for you when you need to move into an apartment in Japan by being the co-signer on your lease.

Otherwise, a guarantor company (hoshonin-gaisha) can be your guarantor for a fee.

Be aware that many real estate rental agencies require you to use their recommended guarantor company. The fee varies depending on the company and can be equivalent to a one-off fee of 10% to 100% of a month’s rent).

Miscellaneous Other Costs

There might also be an annual renewal fee, so check your rental contract carefully for future costs before signing it. More specifically, you should check your lease agreement for the following costs:

• Property Maintenance Fee
• Rental/Fire Insurance
• Lock change fee. Landlords commonly change the locks for every new tenant, which is charged to the new tenant.
• Key-Money: If the landlord asks you for “key-money,” or reiki in (礼金) in Japanese, this is a payment that you make to the landlord as part of your move-in fees. It is a gratuity and will not be returned to you when you vacate your apartment. This is a cultural relic from the post-war period when prospective tenants would pay “key money” to secure a place to stay in a time of acute housing shortages.

In 2020, the Japanese Ministry of Land reported that about 41.6% of tenants still paid key money, and about 66.8% reported paying one month’s rent as key money. These are mainly for the more sought-after properties in desirable neighborhoods, where landlords have no problem finding tenants.

Another factor in charging “Key Money is when landlords advertise properties at lower monthly rentals but then ask for 1-2 months’ “key money” upfront to cover the shortfall. You can, of course, exclude listings that require key money when looking for an apartment in Tokyo.

You may also like to check our article about finding and renting an apartment in Japan for foreigners.

With this information, are we ready to examine rent prices in Tokyo? Before doing so, we must examine how real estate listings in Japan work!

How to Read Real Estate Listings in Japan

Real estate listings in Japan seem to be written in some form of code, with puzzling acronyms, so let me break these down briefly for you. It’s quite simple once you know that these acronyms describe the size of the apartment and the number of rooms and amenities.

• R: The R stands for “room,” so a 1R apartment is a single room, otherwise known as a studio apartment. These average about 13 sqm (square meters) to 20 sqm.
• K: The K “kitchen,” so if you see 1K, it means that it’s a one-room studio apartment with a separate kitchen or sometimes an open kitchen layout. These average about 13 sqm to 25 sqm in size.
• D: In Japanese, restate listings D is for the “dining space,” so 1DK means you have a one-room studio apartment with a dining area and a kitchen. The average size for apartments in Tokyo like these is between 25 sqm and 30 sqm.
• L: Well, L is for “living room,” so if you see 1LDK, you’re getting an apartment with one bedroom, a living room, a kitchen, and dining space—these range between 23 sqm and 35 sqm.
• S: Sometimes you will see a listing of apartments with the layout “2LDKS”. This refers to an additional storage space, which can be valuable as most apartments in Tokyo tend to be small. These spaces are valuable for storing luggage, sports equipment, and other items.

So, a 2LDK means a 2-bedroom apartment with the same amenities, averaging about 40 sqm to 80 sqm, and so on, according to the number of bedrooms.

Okay, we are ready to examine average rental prices in Tokyo by ward and apartment type.

Average Rent in Tokyo by Type of Apartments

Let’s start with a ballpark figure or a general breakdown of average rents in Tokyo across all its 23 wards per month by apartment size. Prices are in Japanese Yen (JPY); data points are from the National Association of Real Estate Transactions Association of Japan, July 2020.

• 1R: JPY 71,583
• 1K: JPY 81,217
• 1LDK: JPY 120,974
• 2LDK: JPY 181,996
• 3LDK: JPY 266,352
• 4LDK: JPY 456,886

Average Tokyo Rental Prices by Area

Now let’s break down average rents per month in Tokyo by ward, according to size:

Most Affordable Places to Live in Tokyo, by Ranking

These figures clearly show the considerable difference in rental rates in Tokyo between the Central Six Wards and the rest of the city.

As I mentioned earlier, the further north you go from the Central Six, the more affordable rentals are. The northern wards include Adachi, Arakawa, Edogawa, Itabashi, Kita, Nerima, and Suginami.

However, if you have to travel into the city for work, remember that living away from central Tokyo means a longer commute.

Ward-Wise Average Rents for 1 Room Apartments

Following are the rankings from the lowest to the highest average monthly rentals for a 1R apartment in Tokyo:

So, the average monthly rental for a 1R apartment in Tokyo is 71,583 JPY, with the median being 65,400 JPY.

Ward-Wise Average Rents for 1 K and 1 DK Apartments

If you’d like more living space, look at the rankings from the lowest to the highest average monthly rentals for 1K/1DK apartments in Tokyo:

So, the average monthly rental for 1K/1DK apartments in Tokyo works out to be 81,217 JPY, with the median at 74,000 JPY.

Comparing these figures, you can also see that the average quantum of difference between a 1R apartment and a 1K/1DK apartment in a ward such as Adachi is not huge. Thus, these breakdowns can show you how to shop around and get more value for your rental money.

If you need even more space, we can look at the rankings from the lowest to the highest average monthly rentals for Tokyo’s 1LDK/ 2K / 2DK apartments.

Ward-Wise Average Rents for 1LDK/ 2K / 2DK Apartments

The average monthly rentals for 1LDK/ 2K / 2DK apartments in Tokyo are 120,974 JPY, and the median is 105,000 JPY.

Ward-Wise Average Rents for 2LDK/ 3K / 3DK Apartments

Following are the rankings by ward for larger apartments in Tokyo, from the lowest to the highest average monthly rentals for 2LDK/ 3K / 3DK apartments:

So, the average monthly rentals for 2LDK / 3K / 3DK apartments in Tokyo are 181,996 JPY, and the median is 158,800 JPY.

Ward-Wise Average Rents for 3LDK / 4K / 4DK Apartments

Following are the rankings by ward from the lowest to the highest average monthly rentals for 3LDK / 4K / 4DK apartments:

The average monthly rentals for 3LDK / 4K / 4DK apartments in Tokyo are 266,352 JPY, and the median is 204,100 JPY.

Once again, you can see from this data that you can get more value for your rental money in some wards. For example, the difference in average between a 3LDK / 4K / 4DK apartment and a 2LDK / 3K / 3DK in Kita is only 8,800 JPY! So, it’s worth comparing various wards to find the best apartment in Tokyo that suits your needs and budget.

Ward-Wise Average Rents for 4 LDK or Bigger Apartments

Here are the ward-wise rankings from the lowest to the highest average monthly rentals for 4LDK apartments and up in Tokyo. There is insufficient data for apartments of this size in Chuo, in the heart of central Tokyo, where the famous shopping precinct of Ginza is located:

The average monthly rentals for apartments with 4LDK or higher in Tokyo are 456,886 JPY, and the median is 303,250 JPY.

Sumida stands out here for location and apartment size versus affordability – a larger apartment in this ward that borders Chuo in Central Tokyo will cost only around 23,000 JPY more than a smaller one.

Places with Affordable Rentals Outside Central Tokyo?

You can consider living on the outskirts of Tokyo, where you can enjoy perks such as lower rents, a lower cost of living, and more space. It may mean a slightly longer drive or train commute into the city. However, renting an apartment outside Tokyo may be viable if this suits you. Some of these places include:

Kichijoji

Only about 12 kilometers west of Shinjuku or a half-hour ride from Kichijoji to Tokyo Station. The Ghibli Museum is located near Mitaka, which is a very popular neighborhood with a relaxed visitor vibe. It is certainly more affordable than Central Tokyo, but it is not cheap either.

Mitaka

A 56-minute train ride from Mitaka takes you to Tokyo Station. This is one of the most popular places for Japanese families to live outside Tokyo, with pretty parks and a serene environment.

Machida

Machida is 42 kilometers south of Tokyo and is accessible by a 55-minute train ride to Tokyo Station. Rental rates here are definitely lower than in Central Tokyo, but you will have all the basic amenities.

Kokubunji

Also, Kokubunji, which is only about an hour’s ride from Tokyo Station, is not far from Kichijoji. There are several international universities here with international exchange students, so it has the lively vibe of any university town and landlords that are more used to renting apartments to foreigners.

Okutama

If nature and the great outdoors are more your pace, or if you can work remotely outside Tokyo, you can consider Okutama, located about 80 kilometers from Central Tokyo, or about 90 minutes commute by train to Tokyo Station.

Okutama is a rural place surrounded by mountains and greenery, with plenty of opportunities for a great outdoor lifestyle.

Final Considerations on Renting an Apartment in Tokyo

After you have successfully completed your lease term and are thinking of moving out, there are some things you need to know about. Here is a handy checklist for moving out of an apartment in Tokyo.

Inform your landlord!

You should allow 1-2 months to plan when you move out of your apartment. Inform the landlord of your move-out date, giving at least one month’s notice or longer, as stated in your lease agreement.

Unless otherwise stated in your lease, the landlord must give you six months’ advance notice if they need to terminate your existing lease agreement earlier than the agreed date. A valid reason must also be provided. This will only happen if you agree to the termination.

Sort out your belongings!

Decide on what you want to throw out, give away or sell. Furniture can be sold second-hand on sites like Jimoty, Mercari, and Off Mall. If you have oversized items like appliances or mattresses, they cannot be thrown out like garbage!

You must call and arrange for your city council or local waste processing center to pick up the items. They will ask you to identify the objects and their sizes, and you will then need to purchase the required number of stickers at a local convenience store. You may like to read the article about garbage disposal in Japan.

Removal rates range from a few hundred to a few thousand JPY, depending on the size of the item you need to dispose of. On the scheduled pick-up day, you must attach the stickers to your unwanted items and place them in the garbage collection area.

Inform your utility providers!

You must arrange for your gas, electricity, water, internet, and other utilities to shut off on your chosen date. The phone numbers are on the providers’ websites or your monthly bills. Final bills can also be paid at a convenience store.

Pay Your Residence Tax

The residence tax is based on your previous year’s income, and you must pay the full amount before leaving Japan or appoint a tax manager who can pay the tax on your behalf.

Conclusion

Renting accommodation in expensive cities like Tokyo needs careful planning because the average rent in Tokyo is quite high.

However, apart from the rent, there are other aspects, such as the size of the apartment, amenities in the building and the neighborhood, distance from the station, and the travel time to the workplace and schools of the kids.

However, Tokyo’s convenient infrastructure and public transport system allow you to have multiple options for renting an apartment or house of your choice within your budget.

Some say quiet areas do not exist in Tokyo. Unlike most metropolitan U.S. cities, where most suburbs are outside the central Downtown areas, Tokyo has a mix of both.

You can find quieter areas to live in, even downtown. Areas near busy train stations usually have a unique downtown or shopping district called Shotengai (商店街). There may be smaller parks, though.

However, the further you move from the station, the quieter the residential areas will be. This makes it possible even to rent an apartment inside Tokyo’s 23 wards at a reasonable rent.

You may also like to read about various tourist attractions and things to do in Tokyo.

Naoko Takahashi

A bilingual native Japanese, Naoko accumulated 14 years of experience in multinational companies’ diverse fields like HR, accounting, and sales support after graduating from the State University of New York. She is a co-founder of ReachExt K.K. and EJable.com.