How to Structure Keibai Support Fees: Legal Revenue Models That Exceed Brokerage Fee Limits

While many real estate agencies in Japan are interested in entering the foreclosure (Keibai) support market, the biggest barrier is often a misunderstanding regarding the legal limits of commission fees.

Under the Building Lots and Buildings Transaction Business Act (宅建業法 - Takken Law), standard brokerage commissions are strictly capped at "3% + 60,000 JPY" (plus tax) for standard real estate transactions. However, because foreclosure support services are fundamentally different from standard sales mediation (brokerage), agencies can legally charge consultation fees that exceed this brokerage cap by structuring their contracts correctly.

This article provides an in-depth guide on market fee standards, legal contract design, and the optimal monetization models for support companies (サポート会社).

1. Market Standards for Keibai Support Fees

Currently, the fees charged by professional foreclosure support agencies in Japan generally fall into two categories:

① Fixed Consultation Fee (Basic Survey & Valuation Fee)

This is a baseline fee covering pre-bid property investigation, "3-document set" (三点セット) analysis, rights-relationship clarification, and financial planning.

• Market Rate: 100,000 JPY to 300,000 JPY (plus tax).
• Characteristics: This fee is typically earned regardless of whether the client wins the auction. It is crucial for covering the agency's initial survey and administrative overhead costs.

② Success Fee (Successful Bid Commission)

This fee is charged only when the client successfully wins the auction and acquires the property.

• Market Rate: 3% to 5% of the winning bid price (or the property's estimated market value).
• Characteristics: This model is highly attractive and easy to pitch because the client faces zero cost risk if their bid fails.

2. Legal Approaches to Exceeding the 3% + 60,000 JPY Brokerage Cap

The commission caps under the Takken Law strictly apply only to "mediation/brokerage" (媒介/仲介) of sales transactions.

During a court auction, the support agency does not act as a broker between two parties, since the Court itself executes the sale. Therefore, by signing a "Consulting Services Agreement" (コンサルティング業務委託契約) for specialized tasks, the agency can legally receive consultation fees outside of the standard brokerage framework.

Three Golden Rules for Legal Compliance:

1. Draft a Clear "Consulting Services Agreement" When signing the contract, avoid terms like "brokerage" or "mediation" in the title or clauses. Clearly define it as a "Service Agreement for Property Investigation, Title Coordination, and Eviction Support in Foreclosure Auctions".
2. Provide Substantive Consulting Services Do not simply fill out paperwork. You must provide actual professional services and document them in report formats:
   • Eviction risk simulation and occupant negotiation advice.
   • Renovation and repair cost estimations.
   • Inspecting court records at the competent local court.
3. Specify the breakdown of consultation fees Clearly list the exact scope of services corresponding to each fee in the contract rather than a single lump sum.

Conclusion: Maximize Inquiries with Keibai Finder

To successfully grow your auction support business, the key is reaching buyers who are looking to purchase foreclosure properties early in their search process.

At keibai-koubai.com, tens of thousands of active buyers search for auction listings every month. By registering as a partner Support Company for free, your company's contact window will be automatically promoted on property detail pages in your service areas, allowing you to capture high-intent inquiries directly without any advertising costs.

Equip your agency with the correct legal knowledge and professional consultation workflow to build a highly profitable second revenue stream today.