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Navigating the Japanese Real Estate Market: The Rise of Foreign Investment in Mid-Aged Properties Amidst the Yen’s Decline
The Yen’s Decline and Foreign Interest in Japanese Real Estate
In recent years, the continuous devaluation of the Japanese yen has piqued global interest in purchasing mid-aged properties in Japan. The weakened yen has made Japanese real estate more affordable for foreigners, attracting a surge of international investors for both residential and investment purposes. The appeal is bolstered by Japan’s political stability, robust legal system, and strong public safety, with metropolitan areas like Tokyo and Osaka being particularly popular. The process for foreigners to buy property in Japan mirrors that for local citizens, involving property search, viewing, purchase application, loan pre-screening, receiving essential information, signing real estate contracts, final loan approval, and settlement. The only notable difference is the requirement of permanent residency for obtaining loans from Japanese financial institutions, although non-resident foreigners can still secure financing from banks in their home countries or through foreign non-bank financial institutions.
