1. Why Do Rental and Purchase Standards Differ?
The MLIT Guidelines set different standards for rentals and purchases because the nature of these transactions fundamentally differs.
Rental properties assume tenant turnover. Once a certain period has passed and another tenant has lived in the unit, the impact of a psychological defect is considered to have diminished substantially. In contrast, purchasing a property means taking ownership, so past events are judged to have a longer-lasting effect.
Additionally, because the financial stakes in a purchase are significantly higher, more cautious information disclosure is expected to protect the buyer.
2. Disclosure Obligations for Rentals
The key points regarding disclosure obligations for rental transactions are as follows.
Disclosure Period: Approximately 3 Years
For incidents such as suicide, accidental death requiring specialized cleaning, and fire-related death, disclosure is expected for approximately 3 years from the date of the incident. After 3 years have elapsed, real estate agents are no longer obligated to disclose.
Exception: No Time Limit for Homicide
In cases of homicide (murder), disclosure is required regardless of how many years have passed, even for rental transactions. Due to the severity of social impact, no time limitation has been set.
Starting Point for the Period
The "approximately 3 years" is calculated from the time of the incident (time of death), not from the completion of specialized cleaning or renovation. Even if the property was vacant for a period, the starting point does not change.
Use of Fixed-Term Leases
Some properties during their disclosure obligation period are offered under short-term fixed-term lease contracts (teiki shakka keiyaku). Once the disclosure period expires, the property can be switched to a standard lease and marketed without disclosure. This means a fixed-term lease itself can sometimes be a signal that a property may be stigmatized.
3. Disclosure Obligations for Purchases
Disclosure obligations for purchase transactions are stricter compared to rentals.
Disclosure Period: No Limit
For purchases, the Guidelines do not set a time limit for disclosure. This means disclosure is required no matter how many years have passed since the incident.
Covered Incidents
Incidents requiring disclosure include suicide, homicide, fire-related death, and deaths requiring specialized cleaning. Natural death and accidental death during daily life generally do not require disclosure, though socially significant cases may be an exception.
Seller's Disclosure Obligation
Sellers are obligated to disclose facts they are aware of. Real estate agents must confirm with the seller whether any relevant incidents occurred. If the seller conceals facts, the seller may bear liability for non-conformity with contract (keiyaku futekigo sekinin).
4. Comparison Table by Incident Type
Below is a comparison of disclosure obligations for rentals and purchases by type of incident.
| Type of Incident | Rental | Purchase |
|---|---|---|
| Natural death / illness | No disclosure required | No disclosure required |
| Daily accidental death | No disclosure required | No disclosure required |
| Suicide | Approx. 3 years | No time limit |
| Lonely death (with specialized cleaning) | Approx. 3 years | No time limit |
| Fire-related death | Approx. 3 years | No time limit |
| Homicide (murder) | No limit | No limit |
* Even natural death or daily accidental death may require disclosure if the body was left undiscovered for an extended period and specialized cleaning was necessary
5. Practical Considerations
Points to Watch for Rentals
- - After 3 years, disclosure is no longer required, so you need to research using databases and other resources yourself
- - If you directly ask the real estate agent, they cannot give a false answer about facts they are aware of
- - Properties priced significantly below market rate may be stigmatized properties still within the disclosure period
- - Fixed-term lease offerings can sometimes be a signal of a stigmatized property
Points to Watch for Purchases
- - Since there is no time limit, incidents from decades ago may still be disclosed
- - You can directly ask the seller about past incidents
- - Check the property registry (touki-bo tohon) for any unusual ownership changes
- - If the contract includes a disclaimer clause for non-conformity, check the provisions regarding psychological defects
Guidelines vs. Court Rulings
The MLIT Guidelines are administrative guidance and do not bind courts. In past court rulings, there have been cases where disclosure obligations were recognized beyond 3 years for rentals, and cases where disclosure was deemed unnecessary for purchases. Individual cases are judged comprehensively, considering the severity of the incident and its social impact.
6. Impact on Price
Stigmatized properties tend to be priced below market rate, but the extent of the impact differs between rentals and purchases.
| Transaction Type | Estimated Price Impact | Notes |
|---|---|---|
| Rental (suicide, etc.) | Approx. 10-30% below market | Only during disclosure period; reverts to normal afterward |
| Purchase (suicide, etc.) | Approx. 20-50% below market | Varies significantly based on severity of the incident |
| Purchase (homicide) | 50% or more below market | Depending on the case, sale may be extremely difficult |
These are general trends only. Actual prices vary depending on many factors, including property location, building age, and the specific nature of the incident.
7. How to Check on JikoDB
JikoDB lists reference information regardless of whether the disclosure obligation period is still in effect. Because the database includes properties for which the rental disclosure period has expired, you can access information that may not be available through real estate agency disclosures alone.
Each property's detail page clearly displays the listing basis, so you can assess the nature of the information when making property decisions.
Related Pages
- Disclosure Obligation Guidelines -- MLIT 2021 Standards
- Disclosure Obligation Periods -- How Long Until Disclosure Is No Longer Required?
- How to Check for Stigmatized Properties -- Pre-Rental & Pre-Purchase Tips
- Search the Stigmatized Property Database
When researching a specific property, please also check the regional stigmatized property listings.
* The content on this page is a general explanation based on the Ministry of Land, Infrastructure, Transport and Tourism's "Guidelines on Disclosure of Deaths in Properties by Real Estate Agents" (October 2021). It does not constitute legal advice. Please consult a qualified attorney or legal professional for advice on specific cases.