Many overseas owners don't buy their Japanese house — they inherit it, often a parent's or grandparent's home in a town they last visited as children. The paperwork arrives in Japanese, the deadlines are real, and the house itself starts deteriorating the day it's left empty. This guide sets out the order to think about things.
1. Decide early whether to accept the inheritance
In Japan an heir can renounce an inheritance (相続放棄) through the family court, but generally only within three months of learning that they're an heir. Renouncing means giving up everything — debts and assets alike — so it's mainly relevant where the estate carries debts or the property would cost more than it's worth. If you might renounce, don't start treating the house as yours (selling contents, for example) until you've taken advice.
2. Inheritance tax
Japanese inheritance tax applies to property located in Japan. There is a basic deduction of ¥30 million plus ¥6 million per statutory heir, so many modest rural estates owe nothing. Where tax is due, the return is filed within ten months of the death. Whether worldwide assets are also taxed depends on where the heir and the deceased lived and their nationality — a question for a tax accountant.
3. Registration is now compulsory
Since 1 April 2024, registering an inherited property in the heir's name (相続登記) is mandatory within three years of learning of the inheritance, with a non-criminal fine of up to ¥100,000 for failing to do so without good reason. Inheritances from before April 2024 are covered too, with a deadline of 31 March 2027. If the heirs haven't yet agreed who gets the house, a simpler declaration of heirship (相続人申告登記) can satisfy the duty in the meantime. A judicial scrivener handles the filing; documents for heirs abroad usually include notarised statements instead of Japanese family registers.
4. Appoint a tax representative
If you live outside Japan, the town will want a local tax representative (納税管理人) to receive and pay the property-tax bills. See our guide to appointing a tax representative.
5. Look after the house while you decide
Whether you'll keep, let or sell, an empty house loses value fast and can attract official attention if it's neglected — see Japan's rules on neglected vacant houses. Regular airing, checks after storms, and someone to deal with the mail make every option easier later. That's what our akiya management does.
6. Keep, let or sell?
- Keep it as a family home or holiday base — budget for care and repairs.
- Let it long-term or as a holiday let — see renting out from abroad and holiday-let rules.
- Sell it — see selling an inherited house, including a tax relief that applies to some inherited vacant homes.
This guide is general information, not legal or tax advice. Rules change and every case is different — for decisions about your own property, speak to a licensed judicial scrivener (司法書士), tax accountant (税理士) or lawyer. We work with them every week and are happy to introduce you.
