Summary of Costs Required to Start a Real Estate Brokerage Business

To newly start a real estate brokerage business, several initial costs are required, including obtaining a license, providing a security deposit, company incorporation, and office setup.

Here, we clearly organize and explain the costs by separating them into “mandatory costs that are always required” and “costs that vary depending on individual circumstances,” so that prospective business owners can easily understand what to expect.

Main Mandatory Costs

① Real Estate Brokerage License Application Fee

📌 Prefectural Governor License: JPY 33,000
📌 Minister of Land, Infrastructure, Transport and Tourism License: JPY 90,000

These are statutory application fees payable to the prefectural government or the national government at the time of application.

② Business Guarantee Deposit or Contribution to the Compensation Business Guarantee Fund

In the real estate brokerage business, participation in a guarantee system for consumer protection is mandatory.

The option most commonly chosen

When joining a real estate association
📊 Contribution to the Compensation Business Guarantee Fund: approximately JPY 600,000

When not joining an association

📊 Business Guarantee Deposit: JPY 10,000,000
  (to be deposited with the Legal Affairs Bureau)

In practice, the vast majority of real estate businesses choose to join a real estate association rather than depositing the business guarantee in cash.

Admission Fee and Annual Membership Fee for a Real Estate Association


The amounts vary depending on the association and region, but the general guidelines are as follows:

📌 Admission fee: approximately JPY 150,000 to 400,000
📌 Annual membership fee: approximately JPY 60,000 to 100,000

Costs Required Depending on the Case

Company Incorporation Costs (For Corporations)

📊 Approximately JPY 250,000 to 300,000

  • Registration and license tax
  • Articles of incorporation notarization fees
  • Judicial scrivener fees (if services are used)

This cost is not required if operating as a sole proprietor.

⑤ Costs Related to the Appointment of a Licensed Real Estate Transaction Agent

📌 A Full-Time Licensed Real Estate Transaction Agent Is Required
📌 No additional cost if the representative themselves holds the license
📌 If an external agent is hired, personnel costs will be incurred

⑥ Office-Related Costs

📊 Office Rent, Security Deposit, Furniture, and Equipment, etc.

・The office must meet the statutory requirements
・Costs may be reduced if the office is combined with a residence

Estimated Initial Costs

CategoryEstimated Amount
Application Fee for License33,000 yen – 90,000 yen
Contribution to the Business Guarantee Fund600,000 yen
Association Admission Fee and Annual Membership Feeapproximately 200,000 – 500,000 yen
Company Incorporation Costs (Corporation)approximately 250,000 – 300,000 yen
Costs Related to the Appointment of a Real Estate Transaction Agentapproximately 250,000 – 300,000 yen
Office-related Expensesapproximately 250,000 – 300,000 yen
Estimated Totalapproximately 1,500,000 – 2,000,000 yen

Figures may vary depending on conditions, location, and whether the applicant is a corporation or an individual.

Summary

Starting a real estate brokerage business generally requires initial costs of approximately 1.5 to 2.0 million yen.

However, the total amount can vary significantly depending on:
📌 Whether you operate as an individual or a corporation
📌 Which real estate association you join
📌 The type and scale of the office

If you are unsure where the costs arise or how much is really necessary,
and if you want to avoid unnecessary expenses,
then careful planning in advance is extremely important.

For Those Considering Obtaining a Real Estate Brokerage License

✅ If you are planning to obtain a real estate brokerage license, leave it to Administrative Scrivener Taro Fujita Office!
✅ We provide proxy services at highly competitive, industry-leading low fees.
Guarantee association enrollment procedures and photo shooting are free of charge.
Free consultations available! We support a smooth and hassle-free license acquisition process.