• 2021.03.02
  • Business Manager Visa
  • Japan Property Investment
  • Tokyo condominiums

Japan Property Investment & Investor Visa Market Forecast 2021

 

For all those who are interested in Japanese investor visa and investment in property.

Hello! again!

My name is Masaki Tanzawa, and I am a licensed property management manager in Japan. I used to work for an one of Japan’s leading property management company. And I have an expert knowledge of property transaction in Japan.

This time I will talk about ” Market Forecast 2021″ in Japanese Property Market.
And Japanese Green Card, that is Business Manager Visa, and the relationship between investment and visa application.
As a basic knowledge, please note that Japanese property market is in steady growth and uptrend as ever. We have it for announcement of the Ministry of Land, Infrastructure, Transport and Tourism.
A price and the contract number fell by a COVID-19 crisis temporarily, but still there is it in an upward trend generally last year.
In particular Tokyo central area (Tokyo 23 wads), the tendency is remarkable.
First, I would say the key factors to keep the market active are 2 points.

1.The number of newly built condos will remain the same.

2.The prices will remain high.

The property research institution revealed in the market forecast 2021 that the number of newly built condominiums will recover to the same level as 2019.
Please see the table below.  According to the “Tokyo Capital Area / Kinki (Western Japan) Area Condominium Market Forecast” released by the Real Estate Economic Research Institute in December last year, the supply of new condominiums in 2021 forecasted to be 32,000 units in the Tokyo Capital Area and 19 thousand units in the Kinki (Western Japan) area.

Created by the figures of Real Estate Economic Institute
Regarding the price, we believe that condo prices are likely to remain high. This is because, compared to the recession at the Lehman collapse, condo prices are now less likely to fall in the market structure.
In fact, even in the New Corona Disaster,  it is higher than that of an financial crisis at the Lehman level, it can be said that it was proven that the current market structure is strongly resistant to economic shocks by keeping the price of condos stable.

Source: Ministry of Land, Infrastructure and Transport

The second-hand market prop up the price of condo and will continue to be a price increase factor. 
As of 2019, the share of the second-hand market has clearly reversed the new sales market (31,239 new units released and 38,109 second-hand contracts) due to the high price stability of new construction and the decrease in the number of units in the Tokyo Capital area over the past few years, and it is certain that the gap will widen further from the results from January to November in 2020.

Source: East Japan Real Estate Information Network System
There is no doubt that the share of second-hand condos in the property market will increase further because it is definite that the number of newly built units will be reduced from 2019 in 2020.
In the January-September total, the number of second-hand units (26,036 units) has nearly doubled the number of newly built units released (13,726 units), and if this pace continues, 60% to 70% of condo buyers in the Tokyo Capital area will choose second-hand in 2020. This reversal of the share of newly built condo and second-hand is a historic turnaround in the Tokyo central condominium market over the decades.

What is noteworthy about Japanese Property Market is the Second-Hand Market in particular Tokyo Central.
Next time I will look at Second-Hand Market further detail.
News and Topics will be focusing on Tokyo Central, that is Tokyo 23 wards in terms of property market. 

Room for singles common

Living room for family common

Japan Business Manager Visa by owning property in Japan 
Change the story here. I will explain a little about Japanese Business Manager Visa and Property Investment.
It is possible to get a residency visa in Japan, called the Business Manager Visa, by opening a company and running it in Japan that invests in Japanese property.
The Japanese Business Manager visa requires the applicant to be an executive officer of a company established in Japan, so just the investments or purchases of property do not meet requirements to get this visa. 
For qualifying for this visa, the investments and purchases must be structured into a business, with the applicant becoming an executive. 
For example, it may be eligible for this visa through if your obtained property is utilized as a property renting business.
Requirements to apply for a Business Manager visa and for an extension.
1. Company paid up capital must be at least JPY5,000,000.
2.Company must have a decent office/store space in Japan.
3.Company has to be practical and the business plan must be approved.
4.Applicants must have enough salary/income to live independently in Japan.
5.No.1 or Hire at least two full time employee who is either a Japanese national, a  Permanent Resident, a Spouse or Child of a Japanese National, a Spouse or Child of a Permanent Resident, or a foreign national with a Long-Term visa.

Please refer to our website for further information.  Please feel free to contact me by email below.

AER WORLD CO., LTD. 

Address: Keio Shinjuku Bldg. 7F, 3-2-1, Shinjuku, Shinjuku-ku, Tokyo 〒160-0022

Contact Person: Masaki Tanzawa

email:  tanzawa@ablife.jp

Website: https://www.investorvisa.jp/investorvisa/japan/