Apartments and flats for sale in Japan

Apartments for sale in Japan

The combination of innovative technologies, ancient traditions, a stable economy, and a high standard of living makes Japan one of the most attractive destinations for relocation, recreation, and investment. You do not have to have a residence permit to buy a home here – non-residents can freely conclude sale and purchase transactions.

Flats for sale in Japan are more in demand than houses, especially in large metropolises like Tokyo, Kyoto, Osaka, and Yokohama, as well as in resort towns such as Fukuoka or Sapporo. Interest in this format is driven by the higher rental income and the property's excellent location near infrastructure facilities and business centres.

Apartment prices in Japan vary significantly depending on location, type, and characteristics. Objects in the city centre are more expensive, but they offer the opportunity to immerse oneself in cultural and business life and are more promising for renting and resale. Apartments in the suburbs are more financially favourable and ideal for families and those who value peace and privacy.

In the process of choosing a property, foreigners should consider the following nuances:

• Buying new houses with anti-seismic technologies is more advisable;
• The land for building in the country is small, so there are few new projects;
• Tokyo has the highest prices but has the best job prospects and educational opportunities. Osaka and Yokohama are also suitable for relocation. Still, in Kyoto, buying apartments for entrepreneurs and professionals who have signed long-term contracts with local companies makes sense.

The options for an apartment for sale in Japan are divided into traditional and modern styles. If you choose classic Japanese housing, be prepared for the absence of an entire oven, a sink built into the toilet lid, a genkan (place to remove shoes) instead of the hallway, hidden storage compartments, and a bath below floor level and without a tap. On the positive side, washing machines have a drying function.

Before analysing the offers, it is necessary to clearly define the purpose of the purchase. When choosing an apartment for yourself and your family, it is worth considering your personal wishes regarding layout, equipment, space, location, and budget. In large cities, one of the priority criteria is the distance to metro stations and bus stops, as you must travel long distances daily.

Properties in resorts should be evaluated based on the length of the journey to the coast and attractions. You can always ask for a virtual tour when you make a deal directly with the seller. If it is a project under construction, all serious developers have showrooms.

If everything is satisfactory, you can proceed with the purchase and sale transaction:

1. Contact the developer or agency to declare your intention to purchase the property;
2. Discuss the details and proceed with the property inspection. If there is a lack of funds, there is an opportunity to obtain a mortgage from a Japanese bank, but an impressive package of documents must be collected to approve the application. The plus side of such a decision is that the financial institution will conduct a detailed inspection of the object. In other cases, buyers are guided by Juyoujikou-Setsumeisho, with the critical information about the property, and enlist the support of a local lawyer;
3. Pay a 10% deposit;
4. Pay the necessary taxes and duties, including transfer taxes, registration and stamp duty;
5. Close the transaction and transfer the remaining balance;
6. Register the title deeds and pay off the lawyer and realtor.

The additional costs of buying and selling an apartment average 13.4% of the property's value.

Reasons for investing in an apartment in Japan

The absence of restrictions for foreigners when buying apartments and houses in Japan and the availability of various offers attract foreign investors. You can buy an apartment in Japan without fear for your rights – the national legislation protects non-resident owners in the same way as the Japanese. For those who regularly come to the country for work, it is a great way to save money on hotel accommodation. While you’re abroad, the home can be rented out.

It is important for investors that the cost of apartments and flats in Japan is growing. Still, the local market is not characterised by sharp price fluctuations. When making decisions about buying, take into account:

• buying activity has now decreased – in 2023, demand for properties decreased by 9.8%; in Osaka, there was a decrease of 3.3%;
• construction is gradually slowing down – last year saw a 4.7% decline;
• economic growth is forecast at 1.6%;
• external demand, as opposed to domestic market, is growing due to the government's soft financial policy and the weakening of the Japanese yen;
• inflation-adjusted apartment prices fell by 1.4% over Q3 2023, rising by 2.4% in December and 4. % year-on-year in early 2024. There were 7.2% and 6.3% increases between 2021 and 2022, respectively.

Japanese people mostly prefer to rent property, and the same applies to tourists and expats, so the demand for rental accommodation is high. Earnings are determined by the configuration and location of apartments – in Tokyo, you can rent out a flat and get 3.31 – 5.38% per annum; in Osaka – 4.5%; in Fukuoka – 4.34%; in Sapporo – 5.56%; in Kobe – 4.78%, in Nagoya – 4.2%, and in Yokohama – 3.97%.

Buying an apartment in Japan

Our portal makes buying property abroad as easy, fast and convenient as possible. You can buy a flat in Japan without intermediaries. Use filters and sorting to see properties with optimal location, area, layout and other characteristics. You can compare a few of the best options, and after making a decision, you can call or write to the seller and agree on a deal.