Purchase Guide
Complete guide to buying Japanese real estate for foreign investors
Purchase Process
Search & Select
Find suitable properties through our platform. Evaluate yields, location, building condition and area risks.
View & Due Diligence
Visit in person or via video tour. Check physical condition, surroundings, current tenants.
Deposit & Contract
Pay deposit (5-10%). Sign purchase agreement (売買契約書) through a licensed agent.
Payment & Transfer
International wire transfer (SWIFT). Pay purchase price + acquisition costs. Open Japan bank account if needed.
Registration
Judicial scrivener (司法書士) registers ownership transfer at local Legal Affairs Bureau.
Management & Income
Hire management company (5% of rent). Receive monthly rent. File annual taxes.
Regulations for Foreign Investors
No Nationality Restrictions
Japan allows property ownership regardless of nationality. No visa or residency required.
Transaction Reporting
Report to Bank of Japan via foreign exchange transaction form within 20 days after purchase.
Perpetual Ownership
Property ownership in Japan is perpetual and inheritable. Land is also owned (except leasehold).
No Visa Granted
Property ownership does not automatically grant residency visa or Japanese citizenship.
Taxes & Purchase Costs
Acquisition Costs (one-time)
| Item | Rate / Amount |
|---|---|
| Agent Fee | 3% + ¥66,000 + 10% tax |
| Registration Tax | 2% |
| Acquisition Tax | 3% |
| Stamp Duty | ¥5,000〜¥160,000 |
| Judicial Scrivener | ~¥150,000 |
| Total | ~6-8% |
Annual Taxes
Many countries have tax treaties with Japan to prevent double taxation. Rental income taxed in Japan, but may be credited on home country returns.
Required Documents
Passport (notarized)
Notarized copy. Must be translated to Japanese by certified translator.
Seal (印鑑 / Inkan)
Have personal name seal made in Japan. Or use signature (署名) confirmed by consulate.
Power of Attorney
Required if not present in Japan. Needed for legal representative.
Address Proof
Utility bill or consulate confirmation of current address.
Bank Statement
Proof of financial capacity (last 3-6 months).
Japan Tax ID
Register tax ID (マイナンバー) at local tax office. Required for tax filing.
Tax Treaty
Vietnam-Japan Tax Treaty (Effective 1995)
Key points of the treaty to prevent double taxation between Vietnam and Japan.
- Rental income: Taxed in Japan → Foreign tax credit in Vietnam
- Capital gains: Taxed in Japan → Foreign tax credit in Vietnam
- Inheritance tax: Japanese inheritance tax law applies (not covered by treaty)
Double Taxation Avoidance Steps
Earn real estate income in Japan
Rental income or capital gains generated
Pay taxes in Japan
20.42% withholding tax as non-resident
Obtain tax payment certificate
Get certificate from Japanese tax office
File tax return in home country
Declare Japanese income
Apply for foreign tax credit
Deduct taxes paid in Japan
Double taxation avoidance complete
Pay any remaining difference in home country
Tax Rate Comparison
| Item | Tax in Japan | Home Country Filing |
|---|---|---|
| Rental Income Tax | 20.42% | guide.tax_credit |
| Capital Gains (Short-term ≤5yr) | 30.63% | guide.tax_credit |
| Capital Gains (Long-term >5yr) | 15.315% | guide.tax_credit |
| Inheritance Tax | Japanese inheritance law applies | Not covered by treaty |
Important Notes
- Non-residents are exempt from resident tax
- Assumes no permanent establishment (PE) in Japan
- Required: residency certificate, tax return, tax payment certificate
This information is general guidance, not tax advice. Please consult a tax professional for your specific situation.
Remittance Guide
Remittance Methods Comparison
| Method | Fee | Transfer Time | Limit | Feature |
|---|---|---|---|---|
| WISE | 0.5-1.5% | 1-2 business days | ~¥100M/tx | Best exchange rate |
| Bank Transfer | ¥3,000-8,000 | 2-5 business days | No limit | For large amounts |
| Escrow | 0.5-1.0% | At contract | No limit | Safety for transactions |
AML Compliance Checklist
Transfer Flow
Contact your financial institution for transfer details. Exchange rates fluctuate constantly.