The 9 Steps: How to Buy Property in Japan

With Tokyo’s real estate market currently booming (condo prices hit all-time highs for the second year in a row in 2022), there is growing customer interest in Japanese real estate for both residential and investment purposes.

Buying property in Japan can be rewarding but complicated, considering various costs and timelines. This article will guide you through the general steps to purchasing property in Japan , including expected costs and timelines.

Please note that this article is primarily intended for those who currently reside in Japan and are looking to purchase real estate to live in or invest in.

Although it is possible to buy Japanese real estate as a non-resident , banks will only lend money to residents. As a non-resident, you will need to consider the possibility of a cash purchase.

The process of purchasing property in Japan is as follows:

Find Your Real Estate Team : Finding a team with experience in the Japanese real estate market is crucial. You need to work with a team that knows the property market, the lending landscape and your overall financial goals. Argentum Properties can help you in this process, as they have a team of experienced and trustworthy agents who can help you find the perfect property that meets your requirements.

Initial Consultation : Once you have the right team, the next step is to clarify your property requirements such as size, location, budget and other needs. An experienced professional can give you feedback on what is and isn’t possible so you can set realistic goals and expectations.

Loan Pre-Approval : Before starting your property search, it is vital that you understand what type of loans you will have access to, how much you can borrow, how much down payment (if any) will be required and what your expected monthly repayment costs will be. Our real estate professionals work closely with top lenders in Japan and will know the most up-to-date information on the mortgage market so you can find the best deal for your situation.

Find the Right Property : Once you and your real estate team are clear on your goals, budgets, and borrowing limits, you can start looking for properties. For example, Tokyo has diverse properties, from high-end modern apartments to traditional Japanese houses, so it’s important to know what you’re looking for. Again, working with the right team is important here, as you’ll want to find deals that make financial sense.

Perform Due Diligence : Before making an offer on a property, it is important to perform due diligence. Depending on the complexity of the legal documentation for the property, this can take anywhere from a few days to a few weeks. Due diligence includes reviewing the property’s land record, title deeds, and any outstanding debts or liens on the property. You may also need to hire an attorney or property inspector to help you through the process.


Make an Offer and Negotiate the Price : Once you have found a property you want to buy, you can make an offer to the seller. The seller can accept your offer, reject it, or make a counter-offer. Depending on the negotiation and availability of the seller, this can take several days to a few weeks. Having an experienced and professional team on your side is key during this delicate stage of the process.

Sign the Contract : If your offer is accepted, you must sign a contract and pay an initial deposit. The contract will detail the terms of the sale, including the purchase price, payment schedule, and closing date.

Closing of the Purchase : On the closing date, you must pay the remaining balance of the purchase price and any associated fees, such as taxes and agent fees. The seller will then transfer the property to you and you will receive the keys and legal ownership of it.

Register the Property: Finally, you must register the property with the local government and obtain a property registration certificate. A professional, usually introduced by the bank or real estate agent, will take care of this for you.

Buying property in Japan can take from several weeks to several months, depending on the complexity of the process and the availability of the parties involved. The first step is to find a reliable team to begin the process. Fortunately, if you’re reading this article, you can now cross the first step off the list.