Licensed realtor and “Minpaku” manager.
Yoshihiro was brought up in an international school and speaks Japanese, English, German and Brazilian Portuguese. After selling over 200 investment properties in the domestic market, he then served foreign buyers with housing and investment purposes. He established JIN’S・HOMES in 2023 to support foreigners to invest, set-up(renovate, furnish and license), and manage properties for short term rental (Airbnb).
Purchasing property in Japan as an overseas foreigner may seem like a challenging task at first, but with the right guidance and understanding of the process, it can also be a smooth and stressless experience. In this article, we’d like to go through the procedures and considerations so you can prepare well in advance.
Step 1: Know what you really want
Properties in Japan can be as cheap as a million yen for 3 bedrooms, but also as expensive as a billion yen for the same size. Property prices can vary widely depending on area, distance to the closest train station, train line, age of construction, structure, view, etc. Start off from clarifying your priorities (what you can compromise and what you can’t), so you can narrow down your options when looking into properties.
Step 2: Talk to a real estate agent
There are multiple listing sites where agents list their properties. However, those listing sites are ran by different companies with different services. Many agents only use a few of them, and listings found on a certain site are often not found on the other. In addition, there are only limited listings published in English, and also off-marketf market listings which agents only share personally. Surfing through the internet can only get you to limited properties, and it is easier and more efficient to reach out to an agent to receive the right recommendations.
※Major consideration: Finance options
Unfortunately, it is very challenging for overseas foreigners to acquire finance in Japan. Most banks (especially those who offer the best terms) require the contractor to speak Japanese, reside in Japan, have a permanent residence, etc. However, there are a few banks which finance individuals who reside in specific countries or speak specific languages, and local corporates owned by overseas foreigners. Eligibility will depend on the background of each individual, therefore it is easier to talk to an agent who can guide you to the right bank.
Step 3: Look at properties and understand the market
As you look through properties, you will realize how construction age, facility, structure, location, land shape, road attachment, etc. can affect the property price. Also, how atmosphere can vary on different sides of the same train station, etc. I’m sure you will feel more comfortable and confident in choosing your property by going through this process and getting a feeling of the market.
