Okinawa Real Estate: Buy and Sell | Villa Resort

Selling Real Estate in Japan as a Foreign Resident: A Guide to Costs and Fees

If you're a foreign national living in Japan with a registered address (juminhyo), and you're planning to sell property you own in Japan, it's important to understand the various expenses involved in the process. Whether you bought the property as a personal residence, a second home, or an investment, here's a breakdown of the typical costs associated with selling real estate in Japan.

Who This Applies To

This guide is for:

• Foreign nationals residing in Japan (with zairyu status and juminhyo)
• Property owners selling residential or investment real estate
• Those selling through a Japanese real estate agent

1. Real Estate Agent Commission

Standard Rate:
Up to 3% of the sale price + 60,000 yen (+ 10% consumption tax)

Example:
For a sale price of 50 million yen:
→ 1.5 million yen (3%) + 60,000 yen = 1,560,000 yen
With tax (10%) → 1,716,000 yen

Note: The commission is negotiable in some cases but is usually calculated at the legal maximum rate for properties sold at over 4 million yen.

2. Capital Gains Tax (所得税・住民税)

If you sell your property for more than you purchased it for, you may be subject to capital gains tax.
The rate depends on how long you've owned the property:

Holding Period	Income Tax	Resident Tax	Total Tax Rate
Less than 5 years	30%	9%	39%
More than 5 years	15%	5%	20%

Important:

• The gain is calculated as sale price - purchase price - related expenses (e.g., renovations, commissions)
• If the property was your primary residence, you may be eligible for the 30 million yen capital gains exemption

3. Legal & Administrative Fees

You may incur the following optional or necessary costs:

• Judicial scrivener fee (司法書士報酬):
  Around 30,000 - 100,000 yen
  For preparing and submitting ownership transfer documents
• Certificate issuance fees:
  ¥300-¥600 per registry document (登記簿謄本, etc.)

4. Stamp Duty (印紙税)

Stamp duty is required when you sign the real estate sales agreement.

Contract Amount	Stamp Duty
¥10-50 million	¥10,000
¥50-100 million	¥30,000

Paid by attaching a revenue stamp (inshi) to the contract.

5. Remaining Loan Prepayment Penalty (if applicable)

If you have a mortgage on the property, be aware of:

• Prepayment fees charged by your lender
• Outstanding principal must be paid off before transfer of ownership

6. Other Possible Costs

• Renovation or repair costs to make the property marketable
• Moving expenses, if vacating the property
• Tax filing support, if capital gains tax applies (you may need a tax accountant)

Summary of Typical Selling Costs

Item	Estimated Amount
Real Estate Brokerage Fee	~3% + ¥60,000 + tax
Property Registration and License TaxRegistration Fee,	¥30,000-¥100,000
Revenue Stamp Fee	¥10,000-¥30,000
Capital Gains Tax (if any)	20% or 39%
Miscellaneous	¥10,000-¥50,000

Why Work with a Professional Real Estate Agent?

At VILLA Group, we assist foreign residents through the entire property sale process in English, Chinese, and Vietnamese. Our services include:

• Free property valuation and consultation
• Multi-language listings on major real estate portals
• Legal and tax guidance with our network of experts
• No hidden fees or exclusive "lock-ins" unless requested

We aim to help you sell your property quickly and at the best price possible with full transparency.

Contact us for a free consultation about selling your real estate in Japan as a foreign resident.
Let's make your sale smooth, successful, and stress-free.