There are a number of providers of subsidized housing in Japan. The most common are individual employers and local governments. If you are teaching English in Japan, for instance, your school may be able to offer you subsidized accommodation. Advantages to subsidy housing include not having to pay ¨key money¨ to a landlord and much cheaper rent.
Government-subsidized housing is available for low-income households. For non-low-income subsidized housing, some areas require government employment while others do not. In many areas, including Tokyo and Osaka, the demand for subsidized housing far surpasses its supply, and lottery systems have been implemented in order to distribute properties.
Foreigners can apply for subsidized housing through the Japan Housing and Urban Development Corporation (JHUD).
Transitions in Japanese housing subsidies
Japan´s housing difficulties can be summarized simply: too many people paying too much to live in low-quality housing. The problem has been persistent since the 1990s, and thus far the Japanese government has been unable to implement an entirely successful subsidy scheme to combat it. Because of the severe housing shortage in major cities (in rural areas the demand is not nearly so high), you should have an alternate housing option if you intend to apply for government subsidized housing.