Japan Real Estate Purchase for Foreigners — Complete Guide

⚡ 30-second answer: Foreigners can buy regardless of visa or nationality. Price range ¥30M-300M, with a 20-30% down payment, 6-10% closing costs, plus registration tax, real estate acquisition tax, and fixed-asset tax. Mortgages are possible with permanent residency or a spouse visa, primarily through SBI, Rakuten, and Tokyo Star Bank.

Quick Reference	Value
Used 1LDK in Tokyo 23 wards	¥30M-70M
New 2-3LDK in Tokyo	¥80M-200M
Luxury tower condo	¥150M-300M+
Closing costs (% of price)	6-10%
Last verified	June 2026

30-Second Answer

Anyone can buy property in Japan regardless of nationality or visa status. Foreigners receive full ownership rights, and permanent residency is not required. Pricing: ¥30M-70M for a used 1LDK in Tokyo's 23 wards, ¥80M-200M for new family units, and ¥150M-300M+ for bayside towers and central luxury units. Closing costs are 6-10% of the price (3% + ¥60,000 broker fee, registration tax, acquisition tax, stamp duty, judicial scrivener fees, etc.). Foreign nationals with permanent residency or a spouse visa can obtain mortgages; others typically need to pay cash. Annual running costs include fixed-asset and city-planning taxes (0.3-0.5% of price) plus management fees and reserves of ¥20,000-60,000 per month.

🏠 Top 12 Areas & Price Ranges

💰 Cost Breakdown

Typical purchase costs:

• Property price: ¥30M-300M+
• Broker fee: Price × 3% + ¥60,000 + consumption tax
• Stamp duty: ¥10,000-60,000 (contract)
• Registration tax: Assessed value × 2.0% (transfer of ownership)
• Real estate acquisition tax: Assessed value × 3-4% (within 6 months)
• Judicial scrivener fees: ¥80,000-200,000
• Fire insurance: ¥10,000-50,000/year
• Earthquake insurance: ¥10,000-30,000/year
• Down payment: 20-30% (with mortgage)
• Loan handling fee: ¥30,000-300,000
• Guarantee fee: 0-2% of loan amount
• Management fee: ¥10,000-40,000/month
• Repair reserve: ¥10,000-30,000/month
• Fixed-asset + city-planning tax: 0.3-0.5%/year

A handy rule of thumb: total cost = property price + 6-10% (closing costs).

🌐 Foreigner-Friendly Services

English-speaking brokerages include Plaza Homes, Ken Corporation, Mitsui no Rehouse (foreign desk), Tokyu Livable's foreign desk, and Sumitomo Realty's English Desk. Mortgage windows: SBI Shinsei, Tokyo Star Bank, Rakuten Bank, and Sony Bank (limited) offer English consultations for holders of permanent residency or a spouse visa. Wiring the down payment via Wise, OFX, or Revolut Business converts to JPY at rates 0.3-1.5% better than direct SWIFT. The Japanese contract takes legal precedence — English versions are reference only. Pick a judicial scrivener and gyoseishoshi with experience handling foreign buyers.

⏰ Purchase Flow

• STEP 1: Property search (SUUMO / HOMES / Real Estate Japan / Plaza Homes)
• STEP 2: Viewings and inspections
• STEP 3: Submit Letter of Intent
• STEP 4: Pre-screening for mortgage (foreigner-friendly bank)
• STEP 5: Sales contract + earnest money (5-10% of price)
• STEP 6: Full mortgage approval
• STEP 7: Final settlement + registration
• STEP 8: Handover
• STEP 9: Real estate acquisition tax (after 6 months)
• STEP 10: Fixed-asset tax starts next year

Contract to handover usually takes 1.5-3 months.

💳 Payment Methods

• Down payment / final settlement: Bank transfer (via Wise/OFX possible)
• Earnest money: Cash or transfer
• Closing costs: Mix of cash and transfer on the day
• Mortgage: Requires permanent residency or spouse visa (limited exceptions)
• International wire: Wise / OFX / Revolut Business
• JPY account: Open a Japanese bank account before buying
• FX hedging: Consider forwards for large amounts
• Credit card: Some closing costs only
• ATM: Bring your inkan, residence card, and passport

For a ¥30M down payment from USD, Wise charges roughly 0.4-0.6% in fees (depends on the period).

⚠️ Things to Watch Out For

• Visa status: Tourist visa is OK for purchase but not for mortgages
• My Number: Required at tax filing; obtain with your residence card
• Mortgages without PR: Only some banks, with rates 0.5-1% higher
• Joint ownership: Watch gift-tax implications between spouses
• Leasehold properties: Different from freehold — verify carefully
• Non-rebuildable: Avoid properties without legal road access
• High-floor tower units: Higher floors face an upward fixed-asset tax adjustment
• Capital gains: 20-39% separate-rate taxation on sale profit

5 Common Tourist Mistakes

1. Missing closing costs: Budget price + 6-10% from day one
2. Trusting the English contract: Japanese version is legally binding — have a specialist review
3. Expecting a mortgage on a tourist visa: PR or spouse visa is required
4. Forgetting acquisition tax: A separate bill arrives 6 months after purchase
5. Ignoring management fees and reserves: ¥20,000-60,000/month is forever

Pre-Trip Checklist

• Lock in visa status and budget (¥30M-300M)
• Prepare passport + residence card + My Number
• Open a Japanese bank account
• Set up wire routes (Wise / OFX) for the down payment
• Reach out to English-speaking brokers
• Gather mortgage documents (income & balance proof)
• Choose a judicial scrivener experienced with foreigners
• Define property type, area, and size requirements
• Simulate annual taxes and management fees
• Study capital gains tax for the eventual sale

FAQ

Q1: Can I buy on a tourist visa? A: Yes for purchase; no for mortgage. Assume cash purchase.

Q2: Can I get a mortgage without PR? A: SBI Shinsei, Tokyo Star, and others lend under conditions; rates are 0.5-1% above standard.

Q3: What is the acquisition tax? A: Assessed value × 3-4%, billed about 6 months after purchase.

Q4: What are the taxes on sale? A: Short-term (held 5 years or less) 39%; long-term (over 5 years) 20% (incl. resident tax).

Q5: How does FX work for the down payment? A: Wise/OFX run roughly 0.3-0.6% all-in; direct SWIFT runs 1-3%.

Editorial: Yen Finder Editorial / Last verified June 2026.