FOREIGN INVESTORS APPROACH TO REAL ESTATE INVESTING UNDER $50K PRITI DONNELLY
The Prospect
Now that you qualify, let’s take a
look at properties in the Japan
market. Outside of Tokyo you can
easily find properties from $30K to
$50K. Even more impressive is
the yield of 6% to 12% because
prices haven't risen as sharply as
they have in other cities. For
example, in the center of big
cities, or first tier cities such as
Fukuoka and Nagoya you can
expect a yield of 6% to 8%. In
second
tier
cities
such
as
metropolitan Sapporo, you will find
properties with a yield of 9% to
10%. In the third tier are smaller
As agents/proxies ourselves, we communicate on investors’ behalf
townships,
good
with the property/rent manager, building management company, tax
profiles, a yield of 10% to 12%, all
authorities, and insurance company. Since non-residents cannot open
net pre-tax. With an occupancy
local bank accounts, by having a physical address and telephone
rate of 93% to 94% properties are
number in Japan to manage the portfolio, we are able to pay bills,
usually occupied bringing your
collect rental income, and transfer/accept overseas funds. In fact, you
investment
immediate
actually never need to travel to close the purchase, unless of course,
income of $250 to $400 a mon th
you want to take a leisurely trip to take in the culture, historic traditions
on average.
and breathtaking scenery.
Method
Tenants
To invest in real estate in Japan,
Japan is a landlord’s paradise -- high, stable and reliable cash flow, very
investors
an
affordable, and because of Japanese ethics, tenants are polite, docile,
an
trouble free, and honest. Living away from your investment property,
extension of themselves for the
you will not need to worry about destruction to your property or
property
evictions.
albeit
property
work
agent/proxy
management.
with
with
acting
as
purchase
This
is
and
mainly
because of the language barrier.
Of course, the same tenant will not last forever but the
average turnover is quite stable at 4.5 years for singles' units, and
higher for larger family sized units, sometime up to 15 years.