The 6-Year Depreciation Rule Explained

How depreciation reduces your liability for move-out repairs in Japan

Overview of the 6-Year Rule

One of the most important things to know about move-out costs in Japan is the '6-year rule.' According to the MLIT (Ministry of Land, Infrastructure, Transport and Tourism) guidelines on restoration to original condition, major fixtures like wallpaper, carpet, cushion flooring, and air conditioners have a useful life of 6 years. The longer you live in a property, the less you pay — and after 6+ years, the residual value drops to essentially ¥1, meaning you cannot be charged the full replacement cost even if there is damage.

What Is Depreciation?

Depreciation is the concept that equipment and interior finishes lose value over time. Rent is understood to include the cost of the landlord recovering this natural decline in value. Therefore, tenants only need to pay for the 'value they consumed' — the value lost simply due to time is the landlord's responsibility. The Supreme Court affirmed in a 2005 ruling that 'the cost of restoring normal wear and tear is included in rent.'

Calculation Formula & Depreciation Table by Years

Tenant's share = Repair cost × (Useful life − Years of tenancy) ÷ Useful life Example: If wallpaper repair costs ¥100,000 and you lived there for 3 years: Tenant's share = ¥100,000 × (6 − 3) ÷ 6 = ¥50,000 (50% liability) After 6+ years, residual value is ¥1, so even if full replacement is needed, your actual liability is nearly zero. ・1 year: ~83% ・2 years: ~67% ・3 years: ~50% ・4 years: ~33% ・5 years: ~17% ・6+ years: ~0% (residual value ¥1)

What the 6-Year Rule Applies To

The following fixtures and finishes have a 6-year useful life: ・Wallpaper (all walls and ceilings) ・Carpet (all rooms) ・Cushion flooring (all rooms) ・Air conditioners (landlord-owned units) ・Tatami base (note: tatami surface covers are consumables and excluded) Flooring full replacement uses the building's useful life (wooden: 22 years, RC: 47 years, etc.). Lost keys have no depreciation (full tenant liability).

Calculation Example: Wallpaper After 4 Years

[Scenario] 1LDK apartment, wallpaper replacement billed at ¥120,000, tenancy of 4 years Landlord's bill: ¥120,000 Guideline calculation: Residual value = ¥120,000 × (6 − 4) ÷ 6 = ¥40,000 Fair tenant liability: ¥40,000 (33%) Potential savings: ¥80,000 With 4 years of tenancy, you can argue a ¥120,000 wallpaper bill should be reduced to ¥40,000.

Exceptions and Special Cases

Depreciation does NOT apply or works differently in these cases: ・Partial flooring repairs: No depreciation (actual cost of repair area only) ・Shoji/fusuma paper: Treated as consumables, no depreciation ・Lost keys: Full tenant liability ・Tobacco/pet damage: Depreciation still applies, but additional deodorizing/cleaning costs may be charged separately ・Intentional damage (graffiti, etc.): Repair costs may exceed residual value

Frequently Asked Questions

Q: If I lived there 6+ years, do I pay nothing for wallpaper? A: In principle, the residual value of wallpaper drops to ¥1, so you should not be charged the full replacement cost. However, intentional damage like graffiti may incur separate cleaning/repair charges. Normal living stains and discoloration are not your responsibility. Q: Does the 6-year rule apply even if I smoked? A: Yes, it applies. Tobacco damage is classified as 'tenant negligence,' but wallpaper depreciation (6-year rule) still applies. After 6+ years, you should not pay the full wallpaper replacement cost due to nicotine stains. However, deodorizing treatment may be charged separately. Q: Does the 6-year rule apply to cleaning fees? A: No. House cleaning costs are not subject to depreciation. However, cleaning is only the tenant's responsibility if the lease specifically states a concrete amount. Without such a clause, cleaning is the landlord's responsibility by default.

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