Kanto region vacant house market — starting from 1 yen, foreigners welcome!
According to data from the Cabinet Office, the number of vacant houses in Japan is rapidly increasing, and is projected to reach approximately 8.3 million units by 2030. Especially in the Kanto region, vacant houses are extremely affordable, and you can also take advantage of government subsidies, low-interest loans, and tax incentives to support your purchase.
1. Vacant houses can be bought for 1 yen, and used homes under 2 million yen can be found
Using the "1-yen sale" program run by local governments, you can purchase vacant homes at extremely low prices. For example, Hitachiota City in Ibaraki Prefecture runs such a program to promote restoration of vacant homes. In addition, the Kanto region has many used homes available under 2 million yen, making it suitable for those on a limited budget. Government restoration subsidies and low-interest loans greatly support the repair of these low-priced properties, making them attractive investment options.
2. Government subsidies support restoration
Local governments offer subsidies to promote restoration of vacant homes.
For example, Chiba City’s "Vacant House Restoration Subsidy" program covers up to 50% of restoration costs. In Mito City, Ibaraki Prefecture, subsidies ranging from 0% to 40% of restoration costs are available to vacant house buyers, reducing their financial burden.
3. Use low-interest loans for financing
When purchasing a vacant house, you can access low-interest loans. In Chiba City, they offer a 1.5% low-interest restoration loan to finance restoration costs. Banks in Ibaraki Prefecture also offer renovation loans, extending up to 80% of the restoration cost.
4. Tax incentives reduce the burden
Purchasing a vacant house comes with tax incentives.
For example, Yokohama City in Kanagawa Prefecture offers up to 20% reduction in fixed asset tax for vacant house restoration, helping to ease buyers’ burdens.
5. Where to find cheap vacant homes
To find vacant homes at low prices, you can:
- Use vacancy banks: Local government databases of vacant homes that help you find reasonably priced properties.
- Search real estate websites: Sites like SUUMO, At Home, Yahoo Auctions, etc., allow you to filter for vacant homes under 2 million yen.
- Check auction platforms: Real estate auction sites can also be a good way to find bargains below market value.
Vacant house statistics in the Kanto region
| Region | Vacant houses (units) | Vacancy rate (%) | Notes |
|---|---|---|---|
| Tokyo | 820,000 | 11.1 | Low in 23 wards, higher in suburbs |
| Kanagawa Pref. | 480,000 | 13.2 | Low in Yokohama/Kawasaki, high in mountainous areas |
| Chiba Pref. | 510,000 | 15.4 | High concentration in the Boso Peninsula |
| Saitama Pref. | 470,000 | 14.7 | Clustered outside train lines |
| Ibaraki Pref. | 350,000 | 16.8 | High in rural and aging areas |
| Tochigi Pref. | 280,000 | 18.5 | Many in tourist areas like Nasu |
| Gunma Pref. | 270,000 | 19.2 | Rapid aging, high restoration demand |
| Yamanashi Pref. | 180,000 | 21.4 | Fresh air, but poor transport |
| Total | 3,360,000 | — | Estimated data for reference |
6. Investment potential in vacant homes
Vacant homes aren’t just for purchase—their value can rise sharply after renovation. In Chiba City, renovated vacant homes can see their market value increase by 40% to 50% on average. In suburban areas, they can be converted into resorts, guesthouses, or short-term rentals, creating stable income streams.
- Ibaraki Prefecture: In some areas, vacant homes are converted into resorts that attract tourists and generate revenue.
- Kanagawa Prefecture: Especially in coastal areas, restored homes are in demand as stylish tourist accommodations or upscale rentals.
7. Things to watch when buying a vacant home
When purchasing a vacant home, pay attention to:
- Renovation costs: These can exceed estimates, so plan accordingly and consult professionals.
- Title and ownership: Ensure the property title is clear to avoid legal issues.
- Infrastructure and location: Evaluate transportation, convenience, and future development potential in the area.
8. Can foreigners buy vacant homes in Japan?
Foreigners can purchase vacant homes in Japan without restrictions. There are no legal barriers to buying real estate, and foreigners can follow the standard purchasing procedures. However, when applying for loans, additional documentation and guarantors may be required. Demand among foreigners looking to purchase property in Japan is growing, especially in Tokyo and the Kanto region.
9. Summary
The vacant house market in the Kanto region is highly attractive due to low prices and government support. With the 1-yen sale program, you can acquire properties at minimal cost, and the restoration burden is greatly reduced by subsidies, low-interest loans, and tax measures. The market for used homes under 2 million yen is also noteworthy. Whether for personal residence or investment, the Kanto vacant house market holds significant future potential—especially with government backing, investment recovery is feasible.