Buy Guide

Guide to Buying House in Japan

How is the contract executed?

  • The purchase agreement is written in Japanese and all terms are subject to Japanese law.
  • Agents can prepare a translation of the contract upon request; if discrepancies or conflicts exist between the Japanese version and the translation, the former shall take precedence.
    * Document of identification (e.g. passport) is required
  • If the purchaser is a corporation, a certificate of corporation is required; documents that show evidence of the relationship between the contract signer and the registered corporation is also needed

Documents required when signing contracts

  • Seal/ signature (Please ensure to bring both parties‘ seal in case of joint ownership)
  • Passport
  • Affidavit

How is the payment settled?

  • Payment is settled in Japanese Yen
  • Payment has to be transferred directly into our bank account
  • 10 to 20% deposit and stamp fee is required when executing the contract
  • The rest of the payment and other fees have to be settled at the time of property handover

Can I acquire a visa or residency after buying a property in Japan?

No. Immigration laws are quite strict in Japan. One may apply for a permanent residency after living in Japan for at least 10 years and an applicant has to go through a very careful inspection and application review progress.

What to do with my property when I am not in Japan?

  • As an overseas purchaser, you can choose to employ a property management company to manage your properties.
  • Property management service can help you deal with leasing, tenant management, payment, taxes, etc.

The need for an agent to pay taxes and other fees on behalf of non-residents

If a non-resident of Japan acquires property as an investment or second house, it will be difficult for that person to pay fixed asset tax, city planning tax, management fees, and maintenance fees, as well as to collect rent. Therefore, most people in this situation entrust these tasks to an agent. This requires paying a fee, but it is a useful service for non-residents of Japan who wish to continue owning real estate in Japan. We can find you such an agent for this situations.

At what rate do buildings depreciate in Japan?

According to the Tax Office :

Concrete construction

  • pension, inn, hotel: 34 years
  • rental cottage: 39 years
  • commercial building: 31 years
  • residence: 47 years

Timber construction

  • ppension, inn, hotel: 20 years
  • rental cottage: 22 years
  • commercial building: 17 years
  • residence: 22 years