Real estate for sale in Osaka

Real estate in Osaka

As both a major port and a centre of nightlife, Osaka attracts foreigners from all over the globe, many of whom choose to purchase real estate in Osaka for investment. Some are drawn to the region for long-term residence, such as those employed by local companies, starting businesses in Japan or marrying locals. Properties like apartments or houses can also generate income through short-term rental. Investing in land for development saw a modest 1% increase in value in 2023, but constructing on such land can yield substantial profits.

Legislation in Japan does not require non-residents to obtain a residence permit or any permission from the immigration service before purchasing land, commercial property, a house or a flat. A residence permit is only necessary if one intends to secure a mortgage from a local bank.

The selection of apartments in Japan in cities like this one is extensive, with properties on the secondary market being highly valued for their prime locations in or near the city centre. New projects, on the other hand, are predominantly situated in the suburbs and developing areas where prices are generally lower, making the purchase more profitable. However, you will not be able to move in or generate passive income from renting to tenants immediately. Depending on your purpose for purchasing, personal requirements and financial capabilities, you can choose from:

• A studio apartment with a combined kitchen, sleeping and living area;
• Apartments ranging from 1–4 bedrooms, often with a balcony;
• Detached houses featuring a yard and parking space;
• Townhouse;
• Land plot for building purposes;
• Commercial premises such as warehouses or retail spaces.

When analysing the options for properties in Osaka, Japan, you should consider the costs of ongoing maintenance such as water supply, sewerage, electricity, rubbish disposal and building maintenance, as well as the year of construction. Modern houses built 5-10 years ago typically cost more due to increased seismological stability, making them safer and more durable. Key aspects to note include the materials and thickness of the walls, bathroom layout which may differ from the European standards, the presence of a full-fledged hallway and overall layout design.

Real estate prices in Osaka vary significantly depending on the neighbourhood. The most expensive options are found in Kita-ku, Chuo-ku, Naniwa-ku and Minami, while housing in the western part of the metropolis tends to be more affordable. For those seeking the most budget-friendly homes and apartments, neighbourhoods like Ikuno-ku, Higashisumiyoshi-ku and Sumiyoshi-ku are best suited. If you're relocating with your family, consider Nishi-Umeda, Kitahama and Midosuji, while Shinsekai, Tamatsukuri and Fukushima are ideal for long-term investments. Young professionals employed by local businesses often choose Umeda, Namba and Shinsaibashi.

It can take several months for a foreigner to complete a sale, depending on whether you deal directly with the seller or through an intermediary. Organising a personal visit is crucial as an inspection allows you to verify that the property matches the stated parameters and ensures you make the right choice. A personal inspection will require a tourist visa and agree a date with the owner. Alternatively, a fully remote format of purchase is available, suitable when travel to Japan is not possible. In such cases, buyers can arrange an online tour to get a comprehensive understanding of the property.

Reasons for investing in real estate in Osaka

In terms of economic importance, Osaka ranks second only to Tokyo. The city actively develops various industries including trade, finance and technology and the IT sector. The metropolis is also renowned for its vibrant nightlife, numerous restaurants and a plethora of sights and attractions that appeal to tourists. The city is considered safe and comfortable for locals and expats alike, making it an attractive location for foreign investors. Other advantages include:

• The presence of the underground, Hanshin, Hankyu, Nankai and Kintetsu railways, guaranteeing transport accessibility;
• High quality of education with Osaka University ranked among the top 300 universities globally;
• Stable, albeit small, GDP growth, expected to increase by 1.6% in 2024, with experts predicting a 4.4% increase over the next 5 years;
• A buoyant short-term rental market: If you buy a home in the city, you will be able to rent it out without any problems. In 2024, the average yield was 4.5%, but some properties yield as much as 13% annually;
• Ease of concluding transactions with non-residents;
• Low domestic ownership rates, as the Japanese predominantly rent, offering promising income prospects for foreigners who own property.

The cost of real estate in Osaka is more favourable compared to the capital, with a current slowdown in the construction of new properties and a decrease in sales. However, this situation is likely to change in the future.

Now is the optimal time to invest, although investors should be prepared for additional costs, including:

• Legal fees
• Realtor's commission
• Stamp duty
• Property registration tax
• Acquisition and consumption taxes

Buying real estate in Osaka

Osaka is an excellent location for relocation and earning rental income from apartments and houses in Japan. All you need to do is to select a property in Osaka with a good location and suitable characteristics. Our database features listings from reliable developers and agencies, offering highly liquid options for investment real estate in Osaka, including commercial premises and land plots. You can evaluate these properties by sorting them based on price and popularity, reviewing photos and descriptions and utilising a comparison feature which is useful for selecting several attractive properties.

The listed property prices in Osaka are up-to-date and can be automatically converted into euros and other currencies. To contact the seller directly, simply send him a private message or call him.