What Are Property Hoarding and Double-Sided Brokerage?
Have you ever noticed that certain rental properties seem to be available only through one agency? This isn't coincidental—it's often due to an industry practice known as "property hoarding."
Double-sided brokerage refers to a transaction where a brokerage firm collects agency fees from both the landlord (property owner) and the tenant. Typically, the agency fee from a tenant is capped at one month's rent, but in double-sided brokerage, the firm also collects a fee from the landlord, effectively doubling their commission.
Property hoarding is the practice of intentionally monopolizing property information to prevent other agencies from offering the same unit—all to secure a double-sided brokerage deal. Even when a property is registered on REINS (Japan's real estate information network), some agencies falsely tell competing firms that applications have already been submitted.