7 Questions to Ask Yourself Before Buying a House in Japan

Buying a house in Japan is a dream for many foreigners but it’s also a big commitment in a market that works very differently from what you might expect. From abandoned countryside homes to Tokyo city condos, Japan’s property market is full of opportunities, but also unique challenges.

Before you make an offer, here are 7 essential questions to ask to avoid costly mistakes and ensure your investment is the right one for you.

1. Am I Allowed to Purchase Property in Japan as a Foreigner?

As of 2025, foreigners can legally buy property in Japan. You don’t need to be a resident or hold a visa to purchase a home, land, or apartment.

But there are important caveats:

• Buying property does not grant you residency or the right to stay long-term.
• Certain areas, like farmland or land near military bases, may have extra restrictions.

It’s essential to confirm that the property you’re interested in has no special limitations.

2. What Type of Property Am I Allowed to Buy?

Foreigners can buy almost any type of property in Japan, but there are key differences between them:

• Single-detached family houses: Available in cities, suburbs, and rural areas. Many rural homes (including akiyas) are inexpensive but often require major repairs that exceed the cost of purchasing the property.
• Apartments/condos/mansions: Comes with shared ownership of common areas and monthly maintenance fees. Some buildings have strict rules about renting or renovations.
• Land: Can be purchased and developed, but zoning laws may limit how you can use it. Make sure you understand the property type, ownership rights, and any community rules before committing.

3. Can I Get a Mortgage in Japan as a Foreigner?

Securing financing in Japan as a foreigner can be challenging. Most banks require borrowers to:

• Be permanent residents
• Have a long-term visa
• Show stable income within Japan

If you don’t meet these requirements, you’ll likely need to pay in cash or arrange financing in your home country. Always ask about your options early in the process.

4. Will It Need Renovations?

Many older Japanese homes, especially in rural areas, require significant renovations before they’re livable. Common issues include:

• Outdated plumbing and electrical systems
• Poor insulation and drafty windows
• Roof damage and structural wear

In May 2025, Japan introduced stricter renovation rules. Full-scale renovations must now meet modern earthquake and energy-efficiency standards. This can add time, cost, and paperwork to any project.

Even clearing out garbage from abandoned homes can be expensive due to Japan’s strict disposal laws. Get a professional inspection and renovation estimate before you buy.

5. How Do I Find a Real Estate Agent?

Navigating Japan’s real estate market requires the right support. Look for a bilingual agent experienced in helping foreign buyers. They can:

• Translate contracts and legal documents
• Negotiate with sellers on your behalf
• Guide you through Japan’s unique buying process

6. Are There Any Zoning Restrictions or Local Regulations to Consider?

Japan has complex zoning laws that dictate how land and buildings can be used. Some areas may limit:

• Short-term rentals (like Airbnb)
• Commercial use of residential properties
• New construction or renovations in certain zones
• Demolishing property

Ask your agent about local regulations, especially if you’re buying in rural or coastal areas where zoning laws are often stricter.

7. Are Utilities and Infrastructure Already Connected?

In rural Japan, it’s possible to find homes without active water, electricity, or gas connections. Some properties may have been disconnected after sitting vacant for years, while others might never have had modern utilities installed.

Reconnecting or installing these services can be costly:

• Running a new water line or sewage system can be a very costly and time-consuming process.
• Internet access in remote areas might be limited or require special arrangements.

Confirm the status of utilities before you buy and factor any connection costs into your budget.

Ready to Start Your House Hunt?

Buying a house in Japan as a foreigner is 100% possible, but it pays to ask the right questions upfront. Working with the right people and understanding the landscape will save you time, money, and stress during your journey. Start looking for your Japan home with Mapdomo.