Japan property buying costs: every one-off fee, with the rate that sets it.
// Short answer
Buying in Japan costs five things on top of the price: real estate acquisition tax, registration and license tax, stamp tax on the contract, the broker's commission, and the judicial scrivener's fee. The two taxes run on the government's assessed value, not the price, and several reduced rates expire on 31 March 2027. Here is each one.
What an agent can charge, who pays it and how to check their licence: real estate agent fees in Japan.
Rules and rates as of September 2026. Japan's policy on foreign purchases is under review, so check the dated items again before you sign. Every figure links to its source.
On this page
What are the one-off costs of buying property in Japan?
Acquisition tax at 3% (land and residential buildings, until 31 March 2027), registration tax at 1.5% on land and up to 2% on the building, stamp tax on the contract, broker commission capped at about 3% plus JPY 60,000 plus tax, and a scrivener's fee. Rates as of September 2026.
| Cost | Rate or amount | Charged on |
|---|---|---|
| Real estate acquisition tax (prefectural) | 3% for land and residential buildings acquired by 31 March 2027 (standard 4%) | Assessed value; residential land at half its assessed value until 31 March 2027 |
| Registration and license tax, land | 1.5% until 31 March 2029 (standard 2%) | Assessed value |
| Registration and license tax, building | 2%; 0.3% until 31 March 2027 only for a qualifying residence | Assessed value |
| Stamp tax on the sale contract | JPY 10,000 (contract of JPY 10M to 50M); JPY 30,000 (JPY 50M to 100M) | Contract amount |
| Broker commission | Legal cap; above JPY 8M works out to 3% + JPY 60,000 + consumption tax | Price |
| Judicial scrivener | Not a regulated percentage; get a quote | Fee |
Sources
Why are Japanese property taxes charged on the assessed value?
Because the law says so: both acquisition tax and registration and license tax use the government's assessed value of the land and building as their base, not the contract price. So you cannot work the tax out from the price alone. Ask the broker or scrivener for the assessed values before you sign.
The same assessed value drives the annual fixed asset tax, so it is worth having for the holding-cost side too: Japan property tax for foreigners.
Sources
Can a foreign investor use the 0.3% building registration rate?
Do not count on it. The 0.3% rate on a building transfer applies until 31 March 2027 only to a qualifying residence: floor area of 50 m² or more, registered within a year, with a certificate from the municipality. That certificate in practice ties it to the buyer's own home, so an investor should budget 2%.
The National Tax Agency does not state a rule for non-residents here; the point above is an inference from the conditions. Ask your scrivener before the numbers go into a model.
How much is real estate agent commission in Japan?
It is capped by a notice from the transport and land ministry, MLIT. For sales over JPY 8M the tiered cap works out to 3% of the price plus JPY 60,000 plus consumption tax. Since 1 July 2024, for properties of JPY 8M or less the cap is JPY 330,000 including tax, per side.
A cap is a ceiling, not a fixed fee. The broker also carries the statutory duty to give you the Explanation of Important Matters before the contract.
Sources
Japan pack
Everything on the Japan pages, in one document
The reports and their deadlines, the register, every cost from contract to sale with its government source, and one JPY 30,000,000 apartment worked two ways: bought to live in, and bought to rent out. 25 pages, in the order you meet them as a buyer.
Which Japanese purchase-cost reliefs expire, and when?
Three dates matter. The 3% acquisition tax rate and the half-value base for residential land run to 31 March 2027. The 0.3% building registration rate for a qualifying residence also runs to 31 March 2027. The 1.5% land registration rate was extended by the FY2026 tax reform to 31 March 2029.
The reduced stamp tax schedule covers contracts made from 1 April 2014 to 31 March 2027. A purchase that closes after these dates should be priced at the standard rates unless they are extended again.
Sources
Who pays the closing costs in Japan, buyer or seller?
Mostly the buyer. The real estate acquisition tax is charged to whoever acquires, and the mortgage registration to the borrower. Buyer and seller are jointly liable for the ownership registration tax, and each pays the stamp tax on their own copy of the contract. The seller pays income tax on the gain, and each pays their own broker.
| Cost | Rate | Who pays | Set by |
|---|---|---|---|
| Registration and license tax, land | 2% (1.5% until 31 Mar 2029) | Jointly liable; agreed between the parties | Law |
| Registration and license tax, building | 2% (own home 0.3% until 31 Mar 2027) | Jointly liable; agreed between the parties | Law |
| Mortgage registration | 0.4% (own home 0.1% until 31 Mar 2027) | Buyer | Law |
| Real estate acquisition tax | 3% on land and housing until 31 Mar 2027 | Buyer | Law |
| Stamp tax on the contract | Reduced scale until 31 Mar 2027 | Each side, on its own copy | Law (Stamp Tax Act art. 3) |
| Consumption tax on a building sold by a business | 10% (land exempt) | Buyer | Law |
| Tax on the gain | 20.315% over 5 years; 39.63% within 5 years | Seller | Law |
| Fixed asset tax for the year | Owner on 1 January | Pro rata by custom, not by law | Custom (stated by the Tokyo tax office) |
Sources
Frequently Asked Questions
How much is stamp duty on a Japanese property contract?
Is agent commission negotiable in Japan?
Do I pay the scrivener a percentage?
What is the assessed value in Japan?
When do Japan's reduced purchase tax rates expire?
Header photo: David Kernan, CC BY 4.0, via Wikimedia Commons. All credits: image credits.