Strange Concept on Land Ownership in Japan
Japan has always been a “wanderlusty” type of place for many people and just as much a place that they wish they could live. But is Japan affordable enough to purchase a home? Is it possible to live here on a fixed income? My personal opinion is yes.
In Japan, homes that are 20 years or older are considered “worthless” to a degree. So in most of these cases you are only buying the land value of the property. BECAUSE of this, it makes purchasing a home in Japan a little more affordable then most places. Another fact to keep in mind is that, when you live in the Inaka areas or country; the home prices drop significantly.
If you so desire to live in Tokyo then yes, you will pay prices more comparable to western pricing. As for the inaka its not uncommon to find homes for $20,000 or $60,000. Yes, for the price you’d pay for a car in the United States you could have a countryside home, potentially.
Buyer beware that some of these homes are FIXER UPPERS and more. But from what I have seen, some are in move in ready condition. Searching is important and having someone who can look at the homes if you are not available is a MUST.
Something we learned from our experiences is check into weather or not the home is part of an association. While SOMETIMES this is good; for us it was confusing and a little bothersome. The association members come to your home to get your information, they collect money monthly for “X” amount of things and require you to participate in clean ups and you are required to assist in unlocking rubbish bins, etc. OF course each association is different and some have ZERO expectations of their members; but ours was involved.
Property taxes are also pretty affordable for inaka homes. Since the value is mostly land, its not uncommon to find apartments whose taxes are about $150 yearly.
Insurance is also paid in yearly chunks or more. We opted for a 5 year term. But it is affordable.
So are there major life changes for living so far? Well yes.
For example the Inaka properties are great, the communities are normally pretty warm. BUT you would require the use of a car as most of the stations will be far from your home OR the train schedule will be in hour blocks. There could also be a lack of “entertainment” in the area; some people having to drive a minimum of 45 minutes just to go clothes shopping.
Another fact that i thought people should know is the fact that inaka homes are generally about 4-5 hours away from the major cities. This could potentially mean the nearest airport for you would be 4-5 hours away. So if you plan on having a lot of guests perhaps looking for a home that is not so far that it takes half the day to get there.
In any case do your research, take your time… There is opportunity out there that you definitely have the chance to explore. Let me know if you have any questions about living in Japan!
Until the next one
