How to Buy Property
Agents in Japan work on behalf of buyers and sellers, and they share access to a national database of available properties. This means your agent can show you any property on the market, regardless of which agency is listing it.
After discussing your preferences, your agent will provide listings that match your criteria. This could be based on location, budget, property type, and more. Our agent experienced with foreign clients, especially English or Chinese speakers. Good ones can help with:
Explaining taxes, zoning, and building rules.
Once you’ve found the right property, you’ll submit an offer through your agent. In Japan, making an offer signifies that you are serious about purchasing the property. Be aware that once you make an offer and it is accepted by the seller, the contract process will begin immediately, making it challenging to back out. Once a purchase agreement is signed in Japan, it becomes legally binding, making it challenging to cancel the deal without significant penalties. That’s why thorough due diligence must be completed before signing the contract. You should investigate property condition, ownership, legal rights, zoning, and any potential risks carefully and completely.
Also, keep in mind that negotiation is not as common in Japan as it is in some other countries. Sellers may be less flexible on price or terms, especially in popular urban areas. Be prepared for the seller’s price to remain firm and make sure all your concerns are addressed before committing.
After your offer is accepted, you’ll sign a contract, which outlines all the important details regarding the property. At this stage, you’ll typically pay a deposit, which is usually around 10% of the purchase price.
Your agent and judicial scrivener (usually provided by your agency) will handle much of the legal work, including title transfers and ensuring the property has a clear history with no unresolved ownership issues.
On the day of closing, you’ll pay the remaining balance and receive the property deed. Your real estate agent and judicial scrivener will assist with this process to ensure everything is completed smoothly.
Estimated upfront costs: 〜6–8% of purchase price
| Type | Amount |
|---|---|
| Agent/broker fee | 〜3% + ¥60,000 + tax |
| Stamp duty | ¥200 – ¥600,000 |
| Registration tax | 〜0.1–2% |
| Acquisition tax | 〜3–4% of assessed value |
| Legal scrivener fee | ¥50,000–¥100,000 (optional) |
- You’ll sign the final agreement and pay the balance
- The title will be registered with the Legal Affairs Bureau
- You’ll receive the ownership documents
If you’re overseas, you may need:
- A local representative
- A notarized signature affidavit
- A Japanese bank account (sometimes optional)
| Type | Estimated Rate |
|---|---|
| Fixed asset tax | 〜1.4% of assessed value/year |
| City planning tax | 〜0.3% of assessed value/year |
| Management fee | (For condos) ¥10,000–¥30,000/month |
| Repair reserve | (For condos) ¥5,000–¥20,000/month |
If you’re interested in starting your property search in Japan, don’t hesitate to reach out to us and we can guide you through the process and help you find the perfect property!