Can Foreigners Buy Property in Japan for Airbnb?

Japan is one of the world’s most visited countries, and many investors wonder if they can buy property to run as an Airbnb. The answer is: yes, but with important rules to understand.

1. Legal Framework (Minpaku Law / 民泊新法)

  • Since 2018, Japan regulates short-term rentals under the “Minpaku Law.”

  • Owners must register the property and comply with local rules.

    • Timeframe: Around 1-2 months from start to finish in most cases.

    • Municipality rules: Some cities (Tokyo wards, Kyoto, Osaka) are stricter and may require longer review.

    • Applicant readiness: Delays happen if documents or safety equipment (fire alarms, escape signage) aren’t in place.

  • Typical restriction: rentals allowed up to 180 days per year.

  • Some municipalities are tightening rules further. For example, Neyagawa City (Osaka Prefecture) has recently opted out of the Special Zone Minpaku program, reflecting growing community concerns over short-term rentals. Yamamoto Property Advisory

2. Local Government Regulations

  • Rules vary by city/ward. For example:

    • Some Tokyo wards heavily restrict Airbnb operations.

    • Others (like Osaka) are more open.

  • Important: always check the specific ward/city regulations before buying.

3. Property Considerations

  • Condominiums often have management association bylaws that may ban short-term rentals.

  • Detached houses are more flexible, but still need registration.

  • Proximity to tourist areas and train stations improves occupancy rates.

4. Investor Perspective

  • Pros: Higher nightly rates vs. long-term rentals; demand from tourists.

  • Cons: Stricter rules, seasonal demand, higher management costs.

  • Many investors choose to balance with long-term rental strategies for stability.

Curious about short-term rentals in Japan? Start with our quick 2-minute survey and share your goals—we’ll help you explore the right path.

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A street of shops filled with full of tourists
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