Introducing the advantages of purchasing real estate in Japan for foreigners.

The difference is that buildings are more expensive in foreign countries while land is more expensive in Japan. However, the value of buildings declines over time. Land, on the other hand, rarely declines in price over time, and land costs more because the land area is small in relation to the population.

In fact, what are the advantages for foreigners in purchasing real estate in Japan?
Here are three advantages for foreigners to purchase real estate in Japan.

1. Low country risk

Country risk includes political, economic, and social risks, but there is no terrorism, no policy or major changes, and no sharp currency declines.

Therefore, the possibility of investment damage is very low, so you can purchase real estate with peace of mind.

2. Foreigners can easily buy real estate.

Real estate in Japan is now available to foreigners. Although there are some restrictions in Japan, such as not being able to purchase property around defense facilities, foreigners are rarely restricted because they are foreigners, and can purchase real estate under the same conditions that Japanese people can purchase real estate.

Taxes are the same as in Japan. Since there are no additional taxes imposed on foreigners, from the perspective of other countries, it is easier for foreigners to purchase real estate in Japan.

3. Cheaper than in other countries

Compared to other countries, real estate can be purchased cheaply in Japan. The purchase price of condominiums is the 8th lowest in the world. In contrast, rents are higher than in other countries, so you can set higher rents after purchasing real estate.

Especially in places where many schools and companies gather, such as Tokyo, Fukuoka, Hokkaido, and Osaka, many people rent their houses, so there is a high possibility of earning a high rental income.

For this reason, we recommend that foreigners actually see the property with their own eyes before deciding to purchase real estate.

After all, there is a difference between looking at pictures on the Internet and actually seeing the property, and there is a limit to what you can see on the Internet about the surrounding environment of the property.

By actually seeing with your own eyes whether there are supermarkets and convenience stores around the property and what kind of facilities are available around the property, you will be able to make a real estate purchase with full satisfaction.

It is better to buy a property that you are satisfied with than to buy a property based on speculation that it will be okay, so we recommend that you visit Japan at least once to see the property in person.

Conclusion

In closing
For first-time buyers in Japan, it is advisable to seek the assistance of a lawyer or judicial scrivener who specializes in real estate purchases by foreigners to ensure that the deal goes smoothly.

This is because, in order to purchase real estate under the same conditions as Japanese nationals, procedures will naturally be carried out in accordance with Japanese law. A Japanese “tax agent” is needed for procedures unique to Japan and for making payments.

For this reason, it is necessary to ask a lawyer or judicial scrivener to help you. Therefore, we recommend that first-time real estate buyers consult with a lawyer or judicial scrivener from the beginning of the process.

Also, in terms of payment, most Japanese loans are for people who have permanent residency in Japan.

If you have an account at a Japanese financial institution, you can send money from overseas to your Japanese account, making payments smooth. However, since many people do not have a bank account in Japan, many people ask a real estate company to act as an intermediary.

You need to choose a real estate agency that you can trust, even if only temporarily, because you will be depositing the money once with the real estate agency.

It may be difficult to go through the procedures in Japan, which you are not accustomed to, but if you have any problems regarding the procedures, you can leave everything to a lawyer, so please consider this option.