The Overseas Owner's Handbook

Whether you've just bought a house or inherited one, the first month sets up everything else. In order:

1. Get the keys under control. Find out who has copies — previous owners, neighbours, relatives, contractors. Change the locks if you can't account for them all.
2. See the house, or have someone see it for you. Photos of every room, the roof, the outside walls, under the floor if possible, and the meters. This is your baseline for everything that follows.
3. Sort the utilities. Decide what stays on. Water left on in an empty house in winter can burst pipes; electricity is usually worth keeping for a dehumidifier, lights and alarms. See utilities setup.
4. Redirect the post. Tax notices, utility bills and letters from the town hall go to the house unless you tell them otherwise.
5. Insure it. Many Japanese policies limit cover for homes left empty — tell the insurer the house is vacant. See home insurance.
6. Put the deadlines in your calendar — the next section.

Registering an inheritance

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. Work out your dates with the inheritance deadline checker.

A tax representative

If you live outside Japan and own property here, you'll usually need a tax representative (納税管理人) — a person or company in Japan who receives your tax notices and pays or files for you. Without one, bills go unanswered at an empty house. See appointing a tax representative.

Property tax

Whoever owns the property on 1 January receives that year's fixed-asset tax bill (固定資産税), plus city planning tax in many towns. It's usually paid in four instalments or all at once. Estimate yours with the property tax calculator.

Japanese houses — wooden, often old, built for a humid climate — decline quickly when nobody lives in them. The three things that do the most damage:

• Damp and mould. Closed-up rooms in the rainy season and summer grow mould on tatami, futons and walls within weeks. Regular airing, running water through the pipes and a dehumidifier make the biggest difference. See mould and humidity.
• Weather. Typhoons lift roof tiles and break gutters; heavy snow loads roofs and freezes pipes. A check after every storm catches small leaks before they rot the structure. See the typhoon and winter checklists.
• Pests. Termites, rodents and birds move into quiet houses. See termites in old Japanese houses.

Neglect also has official consequences. A town can designate a badly kept vacant house, and once it formally recommends action the house loses the residential land tax reduction — the land tax can then rise several-fold. See the rules on neglected vacant houses.

Live weather warnings and recent earthquakes for every prefecture are on our alerts pages.

Two routes, with different rules and very different amounts of work:

• A long-term tenant. One lease, usually with a rent-guarantee company covering unpaid rent. For owners abroad, 20.42% is usually withheld from rent and settled through a Japanese tax return. See renting out from abroad.
• A holiday let. Under a minpaku notification, at most 180 nights a year — some towns allow fewer — and owners who aren't present must use a registered management company. A lodging licence removes the cap but has stricter building and fire rules. See minpaku rules.

Compare the two after costs with the rental vs holiday-let calculator.

Old Japanese houses can be wonderful, but budget honestly. Get a proper inspection before committing, ask for itemised quotes (見積書) in Japanese, and expect costs to vary widely by region and access.

Typical ranges for common jobs are in the renovation cost calculator. For a full restoration, see restoring a kominka.

When a non-resident sells, the buyer generally withholds 10.21% of the price for the tax office, settled later through a Japanese tax return. For inherited vacant homes, a deduction of up to ¥30 million from the gain may apply if strict conditions are met. Ask a Japanese tax accountant before you sign anything. See selling an inherited house.

Most owners abroad end up needing the same things: someone to check the house regularly, deal with the post and the town hall in Japanese, call trusted contractors, and tell them clearly what's going on. That's what MonoHaus does — see plans and prices, or a sample inspection report.

Japanese terms used here are explained in the glossary.

This handbook is general information, not legal or tax advice. Rules change and every case differs — check with a qualified professional in Japan before acting.