Tag Archive for Real estate investment

Investing in Japanese Real Estate through Mortgage Property Auctions: What Foreign Investors Need to Know

Investing in Japanese Real Estate: What Foreign Investors Need to Know

Japan is a country with a rich history and culture, and its real estate market is no exception.

With its unique blend of modernity and tradition,

Japan offers a wide range of investment opportunities for foreign investors.

However, investing in Japanese real estate can be a complex process,

and it is important to understand the legal and

cultural nuances before making an investment.

As a real estate agent based in Tokyo serving foreign investors,

I have seen first-hand the potential for growth and success

in the Japanese real estate market.

In this article, I will share some key information t

hat foreign investors should know before investing in Japanese real estate.

 

Understanding the Legal System

One of the most important things to understand

before investing in Japanese real estate is the legal system.

Japan has a civil law system, which means that the law is primarily

based on written codes and statutes.

This is different from common law systems,

such as those found in the United States and the United Kingdom,

where the law is primarily based on judicial decisions and precedents.

In Japan, there are several laws and regulations that govern real estate transactions.

For example, the Civil Code sets out the basic rules

for contracts, property rights, and other legal matters.

There are also specific laws that regulate real estate transactions,

such as the Building Lots and Buildings Transaction Business Act

and the Real Estate Specified Joint Enterprise Act.

It is important for foreign investors to understand these laws

and regulations before investing in Japanese real estate.

Working with a knowledgeable real estate agent

or attorney can help ensure that your investment is legally sound.

 

Cultural Differences

In addition to understanding the legal system, it is also important

to be aware of cultural differences when investing in Japanese real estate.

Japan has a unique culture that can impact the way business is conducted.

For example, in Japan, it is common for parties to engage in lengthy negotiations

before reaching an agreement.

This can be different from other countries

where negotiations may be more direct and straightforward.

It is important to be patient and respectful during these negotiations

to build trust and establish a good working relationship.

Another cultural difference to be aware of is the importance of

hierarchy and seniority in Japanese society.

In business dealings, it is important to show respect to

those who are older or more senior than you.

This can include using formal language and bowing when greeting someone.

Case Study: Mortgage Property Auctions

To illustrate some of the complexities of investing in Japanese real estate,

let’s look at a recent case involving a mortgage property auction.

In this case, a real estate company acquired a single-family home at auction

for resale purposes. However,

They discovered that the previous owner had rented out the property

and that the actual occupant was a subtenant who had sublet it without permission.

They demanded immediate eviction from the subtenant,

but they (the occupant) claimed that there was

a six-month grace period for eviction and refused to vacate.

This situation raised several legal questions

about the rights of the purchaser, tenant, and subtenant.

 

Under Japanese law, if mortgaged real estate subject to lease

is put up for auction, if a lease agreement was concluded before mortgage rights

were established and delivery was received by tenant,

then tenant’s lease rights take precedence over mortgage rights

and tenant can continue to occupy. However,

if tenant acquired lease rights after mortgage rights were established

and has been using or earning income from them before commencement

of auction proceedings, they are protected by six-month grace period

for delivery and do not have to deliver auctioned property to purchaser

(Civil Code Article 395(1)).

In this case, it was determined that no grace period for eviction

was granted to subtenants who had not obtained consent from their landlords (Civil Code Article 612).

As such, the real estate company was able to request eviction from the subtenant.

This case illustrates some of the complexities of investing

in Japanese real estate.

 

It is important for foreign investors to work

with knowledgeable professionals who can help navigate these complexities.

 

Conclusion

Investing in Japanese real estate can be a rewarding experience for foreign investors.

However, it is important to understand the legal system and cultural differences

before making an investment.

Working with a knowledgeable real estate agent or attorney can help ensure

that your investment is successful.

I hope this article has provided some useful information

for foreign investors looking to invest in Japanese real estate.

If you have any further questions or would like more information about investing in Japan,

please don’t hesitate to contact us.

 

Insight

Investing in Japanese real estate can be a great opportunity for foreign investors.

However, it is important to understand the legal and cultural nuances before making an investment.

Working with a knowledgeable real estate agent or

attorney can help ensure that your investment is legally sound and culturally appropriate.

If you are a foreign investor looking to invest in Japan,

don’t hesitate to take the first step.

Contact a real estate agent or attorney today to learn

more about the opportunities available to you.

With the right guidance and support,

you can successfully navigate the complexities of the Japanese real estate market

and make a profitable investment.

So why wait? Take action today and start your journey

towards success in the Japanese real estate market!

Source: 抵当不動産を競落した買受人は、無断で入居している転使用借人に対し、競落物件の引渡しを求めることができるか。

Understanding Key Clauses in Japanese Real Estate: A Guide for Foreign Investors

 

Hello, dear readers and investors!

 

As a real estate agent based in Tokyo, I have the privilege of assisting numerous foreign investors

in navigating the intricacies of the Japanese property market.

Today, I’d like to share some insights on a critical aspect of real estate transactions in Japan

– the extension of settlement dates and loan cancellation dates in sales contracts.

 

This topic is particularly relevant for those planning to finance their property purchase through a housing loan.

 

In the realm of real estate transactions, it’s common for buyers to finance their purchases through housing loans. In Japan,

when a buyer opts for a housing loan, a specific clause, known as the housing loan clause (or loan cancellation clause),

is typically included in the sales contract.

This clause provides a safety net for buyers,

allowing them to cancel the contract if they fail to secure loan approval from their financial institution.

Now, let’s consider a scenario where the buyer’s financial arrangements are delayed,

leading to an agreed extension of the settlement date (the payment date) with the seller.

A question that often arises in such situations is – does the extension of the settlement date also imply an extension of the loan cancellation date?

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Unearth an Exclusive Treasure in Kyoto: Exceptional Property Now Available!

 

Unearth an Exclusive Treasure in Kyoto: Exceptional Property Now Available!

 

Kyoto: The Ancient Capital with Modern Allure

 

Welcome to Kyoto, a city that harmoniously blends centuries-old traditions

with the dynamic pulse of modern life.

Once the capital of Japan for over a millennium, Kyoto is steeped in history

and rich cultural heritage,

offering a unique tapestry of experiences for its visitors and residents alike.

 

Kyoto is renowned for its historical landmarks,

including 17 UNESCO World Heritage Sites, traditional tea houses,

and stunning temples and shrines that dot the cityscape.

Its architectural grandeur, which spans the Heian to Edo periods,

and serene gardens are a testament to Japan’s enduring craftsmanship

and aesthetic sensibility.

 

Beyond its historic charm, Kyoto is also a vibrant, contemporary city.

It is home to leading universities, cutting-edge technology companies,

and a burgeoning startup scene. Kyoto’s culinary landscape is equally impressive,

boasting everything from Michelin-starred restaurants to comforting ramen stalls.

 

The city’s well-developed public transport system, featuring both subway and bus networks,

ensures that all of Kyoto’s attractions are within easy reach.

Whether you’re exploring the iconic Arashiyama Bamboo Grove,

wandering the historic streets of Gion, or engaging with the latest innovations

in the city’s tech hubs, Kyoto offers an enriching lifestyle that few cities can match.

 

Now, we’re thrilled to present a unique opportunity to own a piece of this extraordinary city.

A rare and exclusive property has come onto the market,

 

nestled in the heart of Kyoto, waiting for you to call it home. Read on for more details.

 

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Investing in Prosperity: How Japan’s Experience-Based Tourism Boom Impacts Real Estate Opportunities

 

Investing in Prosperity: How Japan’s Experience-Based

Tourism Boom Impacts Real Estate Opportunities

 

Hello esteemed readers and potential investors,

 

In the pulsating economic landscape of Japan,

a compelling trend is unfolding that holds significant implications for us all,

particularly those of us vested in international real estate investments.

 

Since last autumn, Japan has experienced a substantial resurgence in inbound tourism.

However, the dynamics of this resurgence are quite different from what we’ve seen in the past.

 

There’s been a considerable decline in ‘explosive buying’,

a phenomenon that once characterized Japan’s tourism industry.

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The Japanese Housing Market: Is it Time to Buy?

 

The Japanese Housing Market: Is it Time to Buy?

The prices of newly built standalone homes and condominiums in Japan

have been rising steadily for the past few years,

but there is a growing concern that the market may

be reaching a turning point.

The prices of newly built standalone homes and condominiums

have been rising steadily for the past few years.

 

The price of used condominiums has increased by more than 70% over 10 years.

 

The rise in condominium prices, especially in the metropolitan area, continues.

However, there is a growing concern that the market may be reaching a turning point.

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Reviving Japan’s Countryside: How Foreign Investors are Transforming Vacant Houses(akiya) into Opportunities

 

 

Reviving Japan’s Countryside:

How Foreign Investors are Transforming Vacant Houses

into Opportunities

 

Are you an overseas investor or foreign national intrigued by the charm and allure of traditional Japanese homes?

 

If so, there is an exciting opportunity waiting for you.

 

As the appreciation for traditional Japanese architecture grows,

 

a promising trend is emerging that not only provides a unique investment opportunity

 

but also contributes to solving a significant societal issue in Japan – vacant houses.

 

Foreign buyers are increasingly attracted to these vacant, traditionally styled homes,

 

often located in the heart of Japan’s beautiful countryside.

 

Fueled by the rich cultural heritage encapsulated in these properties and a relatively lower cost

 

due to the weaker yen, this trend provides an opportunity for foreign investors to own a slice of authentic Japanese culture.

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Tokyo Shines as Second Wealthiest City in the World, Despite Fewer Billionaires

 

 

Understanding the wealth distribution across the globe

 

can offer invaluable insights into potential opportunities

 

and trends in the real estate market.

 

That’s why today, we’re turning our spotlight on a recent report by Henley & Partners, a British consulting firm,

 

which ranks cities based on their millionaire populations.

 

Particularly interesting for us is the position of Tokyo, Japan’s bustling capital, in this global landscape.

 

As we unpack these insights, we’ll consider what this means for real estate investment in Japan,

 

and how these trends might shape our strategies moving forward.

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New Home Prices in Japan Continue to Rise, but Demand is Weakening

 

New Home Prices in Japan Continue to Rise,

but Demand is Weakening

 

 

The average asking price for small-scale newly built detached houses in Tokyo 23 wards was 7031 million yen in April,

 

an increase of 0.7% from the previous month.

 

This is the highest price since the statistics started in April 2014.

 

The rise in construction material costs and labour costs has been passed on to home buyers,

 

and prices have continued to rise. However, housing demand is weakening due to rising prices.

 

A survey by Tokyo Kantei found that the number of people who are interested

 

in buying a new home has decreased by 10% from the previous year.

 

This is due to a number of factors, including the rising cost of living,

 

the uncertainty of the economy, and the war in Ukraine.

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Credit Saison Co., Ltd. has begun offering the “Saison Real Estate Free Loan” , a service that allows users to freely utilize funds within the limit, using their owned real estate as collateral.

 

Credit Saison Co., Ltd. has begun offering the

“Saison Real Estate Free Loan” from March 31st ,2023,

a service that allows users

to freely utilize funds within the limit,

using their owned real estate as collateral.

 

It is presumed that among affluent individuals and property owners,

there are those who face challenges and concerns regarding asset management and operation,

such as inheritance measures for business succession, property succession, and real estate operation.

To address the diverse financial needs of affluent individuals, real estate investors (property owners),

and sole proprietors with various challenges, this service has been introduced as a new solution utilizing real estate.

The service leverages the know-how of real estate finance cultivated through various real estate financial services,

including those of the company’s group companies and the expertise of the credit card business.

As a non-bank product unique to the company, it offers “freedom of fund usage,” “extreme-type loans,” “high-value loans,”

and “selectable repayment methods.”

 

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