How Much Yen Does a House Cost in Japan?

The cost of purchasing a home in Japan varies significantly based on numerous factors. Prospective buyers encounter a market where prices can range from affordable in rural settings to high in dense urban centers. This complexity extends beyond the initial purchase price, encompassing various taxes and ongoing expenses that contribute to the total cost of homeownership.

Key Factors Influencing Housing Costs

Location is the foremost determinant of housing prices across Japan. Major metropolitan areas like Tokyo, Osaka, and Kyoto command the highest property values due to high demand, limited land, and proximity to employment and public transportation. Regional cities and rural areas offer significantly lower prices, reflecting different economic and demographic conditions. Proximity to amenities and transportation hubs within any city correlates with elevated property prices.

The type of property also plays a significant role. Detached single-family homes, known as kodate, often involve purchasing both land and structure, making them generally more expensive in urban areas. Condominiums, or manshon, are a popular alternative, offering a range of sizes and amenities, particularly in city centers. Traditional Japanese houses may require substantial renovation, influencing their initial price.

Property age and condition directly impact market value. Newer constructions command higher prices, benefiting from modern building standards and designs. Older homes, especially those requiring repairs, can be cheaper but necessitate additional renovation investment. Japan’s housing market features property value depreciation over time, unlike in some other countries where buildings may appreciate. Larger properties naturally incur higher prices.

Average Housing Costs by Region and Property Type

In Tokyo’s 23 wards, the average price for a new condominium was approximately ¥111.8 million in 2024. New detached houses in the 23 wards typically range from ¥60 million to ¥120 million, depending on location and size. The average price for existing detached houses in Tokyo Prefecture was ¥68.04 million in May 2025.

Osaka offers slightly more accessible prices compared to Tokyo. Average new condominium prices in Osaka ranged from ¥55 million to ¥57 million in June 2025. Existing condominium prices in Osaka reached ¥477,000 per square meter. The average price for a detached house in Osaka City was approximately ¥55 million.

Kyoto has average property costs between Tokyo and Osaka. The average price for an apartment in Kyoto was around ¥430,769 per square meter in 2024, while detached houses generally fall within the ¥24 million to ¥26 million range. Used condominiums in central Kyoto wards averaged between ¥31.91 million and ¥39.53 million.

Regional cities such as Fukuoka and Sapporo present more moderate housing costs. Fukuoka City had an average property price of approximately ¥56 million. In Sapporo, the average cost to buy a house was about ¥27.62 million, with new condominium units typically around ¥50 million. Used condominiums in Sapporo could be found for ¥20 million to ¥25 million, depending on age and proximity to the city center.

Rural areas offer the most affordable housing options. An average detached house in many rural prefectures might cost around ¥20 million to ¥25 million. Older homes in small towns can be found for as little as ¥2 million to ¥3 million, with some vacant properties, known as akiya, even offered for minimal sums or for free. While the initial price for akiya can be very low, buyers must consider substantial renovation costs, which can range from ¥3.5 million to ¥20 million depending on condition.

Beyond the Purchase Price: Additional Costs

Purchasing a house in Japan involves several transaction-related expenses.

Real Estate Agent Commissions

Real estate agent commissions typically amount to 3% of the property price for transactions over ¥4 million, plus a fixed fee of ¥60,000 and consumption tax. This commission is paid upon sale completion.

Registration Tax

Several taxes are levied during property acquisition. Registration tax, or Touroku Menkyo Zei, is imposed when registering property ownership. For used property transfers, the standard rate is 2.0% of the assessed value. For new properties, ownership preservation registration carries a standard rate of 0.4% of the assessed value. A 1.5% registration tax applies to the official ledger value for land purchases. When a mortgage is involved, a registration tax of 0.4% of the loan amount applies to its establishment.

Stamp Duty

Stamp duty, known as Inshi Zei, is a tax on contracts and varies based on transaction value. For example, contracts valued between ¥10 million and ¥50 million incur a stamp duty of ¥10,000. For contracts between ¥100 million and ¥500 million, the stamp duty is ¥60,000.

Real Estate Acquisition Tax

Real estate acquisition tax, or Fudosan Shutoku Zei, is a one-time tax paid upon acquiring real estate. The standard rate is 4% of the real estate’s assessed value. This tax is applied to the property’s assessed value, which is often lower than the market value. Legal fees for property transfer also form part of the upfront costs.

Ongoing Ownership Costs

Beyond the initial purchase, ongoing ownership costs are a consideration. Property tax, or Kotei Shisan Zei, is an annual tax calculated at 1.4% of the property’s assessed value, reassessed every three years. The city planning tax, or Toshi Keikaku Zei, is an additional annual tax levied in urban areas, typically at 0.3% of the assessed value. For condominium owners, monthly management fees and repair reserve funds are standard ongoing expenses. Budgeting for regular maintenance and potential repairs is also important, especially for older homes that may require significant upkeep.