Legal & Regulations Archives - Yamamoto Property Advisory

Legal & Regulations

The Dark Side of Japan’s Special Zone Minpaku: Osaka’s Struggle with Regulation, Displacement, and Foreign Ownershi

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As Osaka’s Deregulated Minpaku Booms, Residents Are Forced Out—Is Japan Trading Its Cities for Short-Term Gains?

Introduction

Japan’s post-COVID tourism recovery has been dramatic. With a record 36.87 million foreign visitors in 2024 and a national goal of 60 million by 2030, the demand for lodging has skyrocketed. To meet that demand, Japan introduced Special Zone Minpaku—a deregulated short-term rental scheme allowed only in government-designated areas.

But as the number of these properties explodes—particularly in Osaka, where over 90% of Special Zone Minpaku facilities are concentrated—so do the complaints, legal concerns, and social frictions. What began as a creative hospitality solution is now raising urgent questions about housing stability, governance, and even immigration abuse.

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Tokyo Property Prices, Foreign Capital, and the Policy Void: What the Experts Are Saying

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Freedom, Fairness, and the Future of Japanese Real Estate

A Deep Dive into the PIVOT Debate between Norihiko Sasaki and Tomohiro Makino

Introduction: Japan at a Tipping Point

As residential property prices in Tokyo and other major cities surge to historic highs, a fundamental question has entered public discourse: Should Japan begin to regulate foreign ownership of its real estate?

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No Residency, No License: What Japan’s New Driver Rules Mean for Foreign Home Seekers

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Driving in Japan Now Requires Proof of Residence – What It Means for Foreign Residents and Property Buyers

Japan’s National Police Agency (NPA) will implement stricter rules for converting foreign driver’s licenses into Japanese licenses (commonly called gaimen kirikae) starting October 1, 2025. This move is aimed at improving road safety and ensuring that foreign drivers fully understand Japanese traffic regulations.

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Chiyoda Ward Moves to Curb Speculative Buying: A New Era for Tokyo Condos?

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No More Flipping: Tokyo’s Chiyoda Ward Bans Resales for 5 Years

Introduction: The First of Its Kind

On July 18, 2025, Tokyo’s Chiyoda Ward took a groundbreaking step in Japan’s real estate policy: it formally requested cooperation from the Real Estate Companies Association of Japan to curb speculative condominium transactions. This marks the first time a Japanese local government has directly asked the real estate industry to limit short-term resale activity due to housing price inflation and supply pressure.

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Hidden Costs of Condo Ownership in Japan: What Every Foreign Buyer Must Know

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Rising Monthly Condo Fees in Japan: What Foreign Buyers Must Understand Before Investing

Introduction

Japan’s condominium market continues to attract global investors and foreign residents, thanks to its stability, location appeal, and urban infrastructure. However, one crucial aspect is often underestimated: the monthly ownership costs associated with condominiums.

If you are considering purchasing a condo in Japan, understanding monthly management fees and repair reserve funds is essential for long-term financial planning.

What Are Condo Management and Repair Fees in Japan?

In Japan, condominium owners pay two key recurring charges aside from mortgage payments and property taxes:

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Navigating Withholding Obligations for Foreign Investors: A Comprehensive Guide for Buyers and Landlords

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Tax implications: When a non-resident sells

or rents out real estate in Japan

OLYMPUS DIGITAL CAMERA

 

 

(Case study)

 

In Japan, taxes are levied on residents (referred to as “residents”) regardless of nationality.

 

In this case, the income subject to taxation includes not only income generated within Japan

 

but also income from around the world.

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Japanese Real Estate Essentials: City Planning Law for the residential districts.

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The city planning law, which was created by the ministry of land, infrastructure, transport and tourism, exist to regulate urban development.

The law divides all Japan into mainly two parts; city planning area which is regulated by the city planning law and the non-city planning area which is not regulated by this law.

The law defines 12 zoning districts within urbanization promotion areas.

Of these zoning districts, three have a primary effect on real estate projects residential district, commercial districts and industrial district.

Specific regulations for each district such as allowable use, building coverage ratio and floor area ratio are defined by the building standards law.

When you buy a property in Japan, it is very important to know which district your property exists.

Because each district is highly regulated by the specifics of city planning law(and building standards law)

and such regulations always affect the neighbourhood.

The law regulates the hight, allowable use, building coverage ratio, floor area ratio, type of the business and the size of the business and so on.

For example, you can not open a restaurant in category 1 low-rise exclusive residential districts.

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Japanese real estate essentials: The city planning law : You need to understand before you buy a property in Japan

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What is the purpose of the city planning law ?

The city planning law which is set by the Ministry of land infrastructure transport and tourism (MLIT)

exists to regulate urban development.

The law divide Japan into mainly two parts :

1.The city planning area which is regulated by the city planning law

2. The non-city planning area which is not regulated by this law

City planning area is mainly divided into urbanization promotion areas where development is promoted and urbanization restricted areas where the development is restricted.

Urbanization restricted areas consist of agricultural, forestry and fishery projects.

Urbanization restricted areas are not allowed to build residential, office and retail properties.

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For example, if you want buy a land in the agricultural areas, you may not able to build your own house.

Don’t forget to check the relevant law and regulation before you purchase such land.

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Japanese real estate essentials: What kind of laws do you need to understand before you buy a property in Japan ?

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Here is  how it works : Japanese real estate essentials.

What kind of laws are protecting rights of your real estate in Japan ?

The civil law describes the general rules for the purchase and sales (and lease) of the property.

The civil law regulates ownership and superficies and also provide the definition of rights such as pledge and mortgage.

As a conventional individual, I think you only need to know how the mortgage works in Japan.

The land lease and building lease law, which is special law of civil law, provides

the general rules of land lease and building lease.

The act on sectional ownership of buildings provides the general rules on sectional ownership, meaning

the law is for the condominiums.

The real estate registration law is for the real estate registration system.

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Essentials : How is the real estate ownership registered in Japan ?

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Just the basics.

Today I am going to share some basic laws and regulations on the real estate in Japan.

1 How does the real estate registration work in Japan ?

The real estate registration system is governed by the real estate registration law (不動産登記法）

Properties are registered in the real estate register which gives the basic information of the property and its

rights/titles.

The registration record can be reviewed at the legal affairs bureau. (法務局)

The registration information can be accessed by the internet by paying a small fee (you can also

get a copy of registration at local legal affairs bureau.

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