What are the required Documents when a Non-Japanese Resident Foreigner buying property in Japan?

Below, we detail the required documents along with examples and explanations to guide you through the process of buying an apartment in Japan.

1. Identification Documents

Examples:

• Passport: A valid, unexpired passport that proves your identity and nationality.
• Residence Card or Visa: If you are living in Japan, a copy of your residence card or any applicable visa documentation is required. This helps establish your legal status in the country.

Having these identification documents is crucial, as they confirm your identity to the sellers and authorities involved in the transaction.

2. Proof of Income

Examples:

• Employment Verification Letter: A letter from your employer confirming your job title, salary, and duration of employment. This could be a template provided by your employer.
• Recent Payslips: Providing your last three months’ payslips helps demonstrate your current earnings and financial stability.
• Tax Returns: Having copies of your tax returns for the past one to three years is essential. This shows your taxable income and financial history, which is often requested by banks if you are seeking financing.

This set of documents is particularly important if you are applying for a mortgage, as lenders want to verify your income and ability to repay the loan.

3. Banking Information

Examples:

• Recent Bank Statements: Statements from your bank for the past three to six months that show your account balance and transaction history. These are used to prove your financial standing and ability to make the purchase.
• Details of a Japanese Bank Account: If you have a Japanese bank account, providing your account details can simplify the transaction and may be necessary for transferring funds.

Clear banking information will help in setting up financing or advancing any deposits required for the property purchase.

4. Financing Documents (if applicable)

Examples:

• Pre-Approval Letter from a Bank: If you are seeking financing from a Japanese bank, obtaining a pre-approval letter shows that a lender is willing to finance you based on your financial status.
• Loan Application Forms: If you have already started the loan application process, be prepared with any forms and supplementary documents that the bank has provided.

If you seek financing, having these documents ready will support your credibility as a buyer and facilitate discussions with lenders.

5. Personal Information Forms

Examples:

• Real estate agencies often have standard personal information forms that need completion. These forms typically require your full name, address, nationality, occupation, income, and other relevant details.

Filling out these forms is generally a straightforward task but is important for legal and compliance reasons in the purchasing process.

6. Purchase Agreement (Draft or Outline)

Examples:

• Draft Purchase Agreement: While this document is often prepared by your real estate agent or lawyer, you may be required to review it before the final signing. It includes key terms like the purchase price, payment schedule, and any contingencies.

Be sure you understand all terms and conditions in this agreement as it outlines your legal rights and obligations.

7. Power of Attorney (if applicable)

Examples:

• If you cannot be present for the key transactions (e.g., signing the purchase agreement), you may need to provide a notarized Power of Attorney document. This authorizes someone else to act on your behalf, which may include signing documents required for the purchase.

This document is essential for facilitating the purchase smoothly when you cannot be physically present in Japan.

8. Legal Residency Documentation

Examples:

• If you are a long-term resident, provide documentation that proves your legal status in Japan, such as your residence card or visa documentation.

These documents support your legal eligibility to engage in property transactions within Japan.

9. Tax Identification Number (if applicable)

Examples:

• Some foreign buyers may need to apply for a Japanese tax identification number (TIN) if they are purchasing property. This number may be necessary for tax reporting purposes.

If you're unsure if this applies to you, consult with a legal advisor specializing in property transactions.

Conclusion

Buying an apartment in Japan as a non-Japanese resident involves being well-prepared with the necessary documents. Before starting your property search, make sure to gather these documents and consult with a reliable real estate agent and legal adviser familiar with the intricacies of Japan's property market. Please contact us at for any assistance.

With the right preparation, you can navigate the buying process confidently and successfully secure your new home or investment property in Japan.