Report on the Operation of Real Estate Company Review and Penalty System, Including Membership Termination for Low-Rated Members

<Key Points of This Release>

・Rakumachi conducts pre-contract reviews of real estate companies and implements transaction suspension measures based on its penalty system when issues are identified.

・In the first half of 2026, 14 cases were suspended through review processes, and 17 enforcement actions were taken under the penalty system.

・Starting this period, Rakumachi also reports on account suspensions for members found engaging in malicious behavior. In the first half of 2026, 34 member accounts were suspended.

Rakumachi Co., Ltd. (Headquarters: Chuo-ku, Tokyo; TSE Standard, Securities Code: 6037), which operates Japan’s largest real estate investment platform “Rakumachi” (https://www.rakumachi.jp/), announces the operational results of its “Real Estate Company Review” and “Penalty System” for the period from January to June 2026. In the first half of 2026, 14 transaction suspensions were imposed through the review process, and 17 enforcement actions were taken under the penalty system. Additionally, starting this period, Rakumachi will also publicly report on account suspension measures taken against members confirmed to have engaged in malicious behavior.

The company will continue to strengthen its initiatives toward achieving its mission of “healthy development of the real estate industry.”

Unauthorized Listings Most Common Violation in First Half of 2026

Among the 17 penalty enforcement actions in the first half of 2026, the most frequent violation was “unauthorized listings,” accounting for 11 cases. This includes advertising properties without the seller’s permission or using property photos without authorization. This was followed by 2 cases of “bait advertising,” 1 case of “dishonest customer service,” and 3 cases of other terms-of-use violations (such as inadequate property management systems).

For real estate companies found in violation, Rakumachi’s franchisee support team conducts direct guidance, imposes advertising suspension, and requires submission of improvement reports. If no report is submitted or improvements are not confirmed, transaction suspension measures are implemented to prevent recurrence.

As a result of these advertising suspension measures, a total of 3,435 property listings were removed during the first half of 2026.

About the Real Estate Company Review and Penalty System

Under its vision of “creating a fair real estate investment market,” Rakumachi has established a “Real Estate Company Review” and “Penalty System” to ensure a fair environment for real estate transactions.

The review process involves specialized departments conducting assessments before contract signing, with periodic checks conducted even after registration on the platform. If issues are identified, transaction suspension measures are implemented.

Additionally, property listings must comply with the “Fair Competition Code on Real Estate Advertising” established by the Japan Federation of Real Estate Fair Trade Councils. Violations of these rules result in penalties, including site usage suspension or membership termination.

34 Member Accounts Suspended Due to Low Ratings; Operational Status to Be Reported Semi-Annually

In addition to the review and penalty systems for real estate companies, Rakumachi has established terms of use for platform members. Members found engaging in malicious behavior are subject to account suspension (membership termination). Starting this period, Rakumachi will publicly report on the status of these member-related measures on a semi-annual basis.

In the first half of 2026, 34 member accounts were suspended. Decisions are made using the platform’s “evaluation function,” which allows members and real estate companies to mutually assess service quality and conduct. Members receiving significantly low ratings from multiple affiliated real estate companies, or reported for potentially violating usage terms, are investigated. If violations are confirmed, their accounts are suspended.

Rakumachi will continue its efforts to promote the healthy development of the real estate industry, aiming to create a fair, win-win real estate investment market for investors and real estate companies alike.

[Company Overview]

Company Name: Rakumachi Co., Ltd.

URL: https://rakumachi.co.jp/

Listing Market: TSE Standard (Securities Code: 6037)

Headquarters: 5F, Sumitomo Real Estate Hatchobori Building, 3-3-5 Hatchobori, Chuo-ku, Tokyo

Established: August 23, 2005

Business: Operation of Japan’s largest real estate investment platform, “Rakumachi”