BecomeHHJapan is one of the few major economies that places no restrictions on foreign property ownership. Non-residents can buy freehold land and buildings outright, with the same legal rights as Japanese citizens — no residency, visa or partner requirement.
The headline attraction is financing: mortgage rates are the lowest in the developed world at roughly 1.2–1.55% (variable). The catch is access — most domestic banks lend only to residents or permanent residents, so non-resident buyers typically pay cash or use a specialist international lender.
Market overview
Prices vary enormously by location: central Tokyo, Osaka and Kyoto command a premium, while rural regions hold large numbers of cheap akiya (vacant homes). Buildings depreciate fast in Japan — much of a property's long-term value sits in the land. Acquisition and registration taxes add roughly 3–6% on purchase, and owners pay an annual fixed-asset tax of about 1.4%.
Popular locations:
Mortgage rates in Japan (October 2026)
| Bank | Rate | Max LTV | Website |
|---|---|---|---|
| 🏆 MUFG Bank | 1.20% | 80% | www.bk.mufg.jp/kariru/jutaku/index.html |
| Mizuho Bank | 1.28% | 85% | www.mizuhobank.co.jp/retail/products/loan/housing/index.html |
| SMBC | 1.53% | 80% | www.smbc.co.jp/kojin/jutaku_loan/ |
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True cost of buying & owning
If you rent it out: Non-residents: 20.42% withheld on gross rent paid by corporate tenants; the final tax is assessed on net income at progressive 5–45% national rates plus local tax. Compare all countries →
Get your exact numbers with the Hidden Buying Costs and Annual Ownership Costs calculators.
Step-by-step buying process
- 1Find property via agent
- 2Submit purchase application
- 3Receive Important Matters explanation
- 4Sign contract + 10% deposit
- 5Arrange financing
- 6Final settlement & registration
- 7Pay acquisition + registration tax
- 8Receive keys