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).
Japan’s real estate market offers a mix of modern apartments, traditional houses, and commercial spaces, attracting both local and international buyers. However, purchasing property in Japan comes with unique challenges that require careful consideration. Here are five critical precautions to take when buying real estate in Japan:
1.Boundaries: Clear but Often Overlooked
One of the significant issues in Japanese real estate is the clarity of property boundaries. Boundary rivets, which mark the corners of a property, can often be demolished or become unclear over time. This can lead to disputes with neighbors and difficulties in determining the exact property lines. Before purchasing, it’s ideal to hire a professional surveyor to verify the boundaries. Ensure that the property’s boundaries are clearly marked and documented to avoid potential legal issues.
2.Completion Certificate: A Key Document
Many older properties in Japan lack a completion certificate, a document that certifies that the building complies with local building codes and regulations at the time of construction. Without this certificate, obtaining financing from banks can be challenging. This not only limits your ability to purchase the property but also affects its resale value since future buyers may face the same financing issues. When considering properties, check for the presence of a completion certificate or be prepared for potential hurdles such as illegal construction, securing finance, and limited resale price.
