How to Approach the Japanese Real Estate Market as a Foreigner
One of the first things we tell our clients is that if you're coming from a Western country—Australia, New Zealand, the U.S., Canada, or Europe—the Japanese housing market is going to look completely different.
In these countries, real estate prices have historically gone up over time, and buying a home has been one of the most reliable ways for the middle class to build wealth. That expectation—that property will appreciate—is deeply ingrained if you’ve grown up in those markets.
Now, while there’s been a lot of buzz lately around Japanese real estate values climbing—like:
“The average nationwide land price rose about 2.7% as of Jan 1, 2025, marking the fourth consecutive annual increase and the strongest gain since 1991”
—it’s important to put things in context. Outside of a few major urban and resort markets like Tokyo, Osaka, Fukuoka, Sapporo, and Niseko, it's probably safer to assume that the property you buy won’t see significant appreciation. I could be wrong—and values can rise even in smaller towns -but realistically, prices in rural areas tend to stay flat or only rise slightly over time.
Why Japan Might Be Right for You
If you’ve always dreamed of owning a ski home, only to have that dream crushed by the ridiculous prices in U.S. and Canadian resort towns, then Japan is absolutely the market for you.
In terms of value and proximity to world-class snow, nothing else on the planet even comes close. The powder is unreal. The lift tickets are cheap. The food—especially the tonkatsu in the ski lodges—is reason enough to come back every year. And unlike the six- and seven-figure prices you’d see in places like Jackson Hole or Whistler, you can find homes in Japan within 15–20 minutes of major resorts for under $25,000 and it’s not just older fixer uppers. You can find turnkey modern homes-built post 1990 for $100,000, there’s a wealth of choice.
If you’ve been priced out of the Western ski town dream, but still want that lifestyle, Japan is one of the last places where it's still possible.
Looking for Investment? Think Cash Flow
If you're approaching Japanese real estate from an investment angle, the big opportunity isn’t necessarily appreciation—it’s cash flow.
There are short-term rental markets in Japan where investors are getting 50%+ cash-on-cash returns, which sounds crazy if you’re coming from the West. But it’s real. While it’s not guaranteed, there’s plenty of investors who’ve made back their full investment in just 24 months.
Even for long-term rentals, cap rates around 10–15% are very achievable. And thanks to Japan’s culture of respect and personal responsibility, you rarely hear the kind of horror tenant stories that are common elsewhere.
That said, some towns don’t allow short-term rentals at all, and all short-term rentals require a license. Not every property qualifies. These are the kinds of things that aren’t always obvious when you’re browsing listings, and that’s where we can really help. It’s also important to remember that if you don’t plan on living in Japan, you must have a licensed Property Management team, which we happen to be.
Where to Begin
The first step—if it’s possible—is to come visit Japan. Especially if you’re looking for a vacation home, it’s worth exploring a few towns to see what fits you best.
Some areas are more expat-friendly, while others are quieter, more traditional, and you might be the only foreigner around. Some offer world-class backcountry access, while others are more beginner- and family-friendly. It all depends on what kind of experience you’re after and you won’t really get a feel for the town until you spend time there.
Websites like Akiya-Mart.com are a great place to start browsing listings, getting familiar with your budget, and narrowing down areas that feel right for you.
And if you're focused on investment properties—especially short-term rentals—our team can walk you through which properties are eligible for licensing and steer you away from towns that don’t give out licenses.
⚠️ Disclaimer
This content is for informational purposes only and should not be considered legal, financial, or investment advice. Always consult with licensed professionals before making any financial decisions.
🏡 Work with Yuki Homes
We’ve been through this entire process ourselves—researching, buying, renovating, and managing property in Japan—and now we want to help others do the same.
Whether you’re searching for a ski home, a vacation spot, or a cash-flowing investment, Yuki Homes is your one-stop shop. We’ll help you find listings (including off-market options), translate contracts, set up utilities, and manage your property long-term.
👉 Reach out today for a free consultation—we’d love to help you find your home in Japan.