How to Buy an Akiya in Japan as a Foreigner: Steps, Costs and Pitfalls

Japan has millions of vacant houses, known as akiya, and many of them in rural towns are offered for very low prices. Foreigners, including non-residents, can buy them. But the purchase price is rarely the biggest number in the budget.

Can foreigners buy property in Japan?

Yes. Japan has no general restriction on foreign ownership of land or buildings, and you receive the same freehold title as a Japanese buyer. The main exception is a notification system for land in designated areas near defense facilities and on remote border islands.

Owning property does not give you a visa or the right to live in Japan. If you plan to live in the house, you need a separate visa.

Where akiya are listed

• Municipal akiya banks: many towns run an "akiya bank" website that matches owners with buyers. Listings are usually in Japanese, and some towns ask buyers to move in or register as residents.
• Real estate agents: agents list akiya on the usual property portals. Since July 2024, agents may charge up to ¥300,000 plus consumption tax for properties priced at ¥8 million or less, so very cheap houses are no longer unattractive for agents to handle.
• Sites like this one: we collect akiya and closed schools and add an estimate of the total cost to start.

The steps

1. Find a property and visit it. Photos rarely show the roof, foundations, termite damage or water leaks.
2. Check the legal points(see below) with the agent or the town.
3. Make an offer and sign the contract. The agent explains the important matters in Japanese before the contract. Bring an interpreter if you need one.
4. Pay and register the transfer. A judicial scrivener (shiho shoshi) registers the change of ownership.
5. Set up utilities and insurance, and register the house for fixed asset tax.

Costs beyond the price

• Taxes and fees: real estate acquisition tax, registration tax, the judicial scrivener's fee, stamp duty on the contract, and the agent's fee.
• Repairs: roofs, plumbing, septic tanks, wells and electrical wiring are common surprises in houses that have stood empty for years.
• Annual costs: fixed asset tax (standard rate 1.4% of the assessed value), city planning tax in some areas, fire insurance and basic utilities.

Each akiya page on this site shows an estimate of repair costs and annual running costs.

Pitfalls to check

• Can it be rebuilt? A plot that does not touch a public road of at least 4 m for at least 2 m cannot normally get a building permit for a new house. These plots are cheap for a reason.
• Old seismic standard. Buildings permitted before June 1981 were designed to the old earthquake standard and may need reinforcement.
• Land category. Farmland cannot be bought freely, and houses in urbanization control areas can be hard to rebuild or convert.
• Septic tank and water. Many rural houses have no sewer connection and rely on septic tanks or wells.
• Neighborhood rules. In small communities, you may be expected to join the neighborhood association and help with local work.

Financing

Most Japanese banks lend only to residents with a local income, so many overseas buyers pay in cash. Low akiya prices make that possible, but keep enough budget for the repairs.