How Investing in Japan Akiya's could go wrong!

MOST PEOPLE DON'T LIKE TO TALK ABOUT THIS! 🛑 

Japan’s real estate market has become increasingly attractive to foreign investors, especially with the allure of cheap properties in rural and semi-urban areas. But if there’s one thing I’ve learned from my recent experience in Otaru, Hokkaido, it’s this: if it’s too good to be true, it probably is.

The Reality of “Bargain” Listings

I recently came across a property listing in Otaru that seemed like a great deal. The original price was 1.9 million yen, but over time, it dropped to just 500,000 yen, with even more room for negotiation. On paper, it looked like a fantastic investment:

✅ 5-minute drive to the city center

✅ 1-hour drive to Niseko, a famous ski resort

✅ Ideal location for a potential rental or vacation home

The only problem? The listing only showed the exterior.

When I arrived in person, the reality hit hard. The house was unlivable—the ceiling was collapsing, the walls were covered in mold, and every single part of the house needed major renovation:

Plumbing ❌ Roof damage—water leaks and rotting wood

❌ Structural issues—walls falling apart, mold, and mildew

❌ Complete interior overhaul—kitchen, flooring, insulation, plumbing… everything

At that point, it became clear why the price had dropped so much. The renovation costs would easily exceed the cost of buying a better property elsewhere.

The Importance of Being There in Person

Many investors rely on online listings and real estate agents, but the hard truth is: photos can be deceiving. Agents won’t always tell you the full story, and unless you have someone you truly trust, you could end up buying a money pit.

This experience reinforced a crucial lesson: never buy property in Japan without seeing it in person or having an expert you trust inspect it.

Key Takeaways for Investors

1️⃣ Always do an in-person inspection – No matter how good the listing looks, you need to see the property yourself.

2️⃣ Work with experienced professionals – A local real estate expert can save you from costly mistakes.

3️⃣ Calculate renovation costs realistically – A cheap house can quickly turn into a financial black hole.

4️⃣ Don’t let emotions cloud your judgment – It’s easy to get excited about a “good deal,” but patience is key.

For anyone looking to invest in Japan’s real estate market, be cautious. If you want to do it the right way, feel free to reach out—I’d be happy to share insights and help you avoid the mistakes that people tend to make. Let’s Invest smartly in Japan!

hashtag#RealEstate hashtag#Japan hashtag#Investing hashtag#PropertyInvestment hashtag#LessonsLearned hashtag#Otaru hashtag#Hokkaido