An auction of unprecedented generosity: why in Japan the authorities decided to give away 8 million homes and how to get them

2024 Author: Seth Attwood | [email protected]. Last modified: 2023-12-16 15:55

Buildings are given away practically for nothing or with huge discounts, but there are several nuances.

Reasons for the distribution of houses

In November 2018, Japanese authorities launched a program to reduce abandoned homes across the country. To do this, the government decided to put them up for sale for symbolic money or for free.

According to a 2013 report, there are about 8 million vacant homes (akiya) in Japan, and the number is growing. Among the main reasons for this phenomenon are natural disasters, an aging population and superstition.

According to the government, in September 2018, for the first time in history, Japanese people aged 70 and over made up 20% of the total population. At the same time, the birth rate in the country has continued to fall for a long time, and suicides and deaths due to overwork are popular among young people.

In addition, young Japanese do not want to move into houses where someone died due to old age, committed suicide or was killed by someone - this is considered a bad sign. There is even a site listing Oshimaland properties to avoid for these reasons.

According to the forecast of the Nomura Research Institute, by 2033 the number of abandoned houses could reach 21.7 million: this is 30% of all housing in Japan. The researchers believe that if the trend continues, then the authorities will have to restrict the construction of new homes.

Typical Japanese akiya Photo by Flickr user m-louis

Abandoned homes are a serious social problem due to their frequent exposure to vandalism, pest attacks and collapses. In addition, municipalities with more such housing receive less taxes and land is depreciated.

Empty housing is often located near large cities and the authorities expect that residents of overcrowded metropolitan areas will decide to move to a quieter place. In addition to the houses themselves, in some cases they are even ready to pay extra: for example, if the building has been empty for too long.

What you need to know before applying for "free" housing in Japan

Not all empty houses are given away for free, but most often they are sold at extremely low prices. To simplify the process, the authorities of different regions collect abandoned buildings on special sites - akiya banks. There you can quickly and conveniently buy the house you like, but it is worth considering a few nuances.

RethinkTokyo advises not to buy real estate right away, even if you liked it from the photos and looks great. It is worth calling an expert to assess the building, otherwise, soon after the purchase, it may turn out that the problems can only be solved by demolition. In addition, if the house turns out to be unfit for habitation, taxes will still need to be paid for it.

The main problems in buildings are most often associated with termites, water leaks, or ventilation problems. This can lead to the formation of mold that will destroy the home.

Example of akiya Photo from Tochigi Akiya

If the building does not show fundamental problems, in most cases it will still need to be partially or completely renovated, especially the bathroom and kitchen. This can cost the new owner up to 800,000 yen (about half a million rubles) for three square meters of renovation.

In some cases, the government is willing to provide subsidies for those who decide to restore the building, as it benefits the community. However, conditions vary depending on the specific prefectures and regions of the country, and should be checked with local municipalities.

Some of the houses can be borrowed, but since akiya are usually older than 1981 and built to outdated standards, this can be difficult. The popular type of mortgage Flat 35 applies only to houses of a new type: the conditions for such loans may also differ depending on different banks and regions of the country.

Most often, akiya can not be bought, but rented for a long period with the right to purchase after 25-30 years. In this case, the cost will be about 50 thousand yen per month (about 30 thousand rubles). You can usually buy a house for less than a million yen (about 600 thousand rubles).

It is highly discouraged to buy housing that the authorities or the bank received after the bankruptcy of the previous owner. Such property is very rare in Japan and it is believed that it is always associated with crime. Sometimes the yakuza or other gangs are involved in these deals.

The authorities do not impose special requirements on the future homeowner: it can be either a foreigner or a local resident. However, the country does not issue citizenship along with obtaining real estate, and even becoming a temporary resident of Japan is possible only on condition of employment, study, marriage with a citizen of the country or refugee status.

In some regions, those who want to get a home must have citizenship and a family in which the parents are no more than 43 years old and the children are no older than high school.

How to find and get a home

There is still no single site where you can find all akyya in Japan: many cities maintain their own resources or create subpages on large sites. In the vast majority of cases, you will need knowledge of the Japanese language - or the use of a translator to search for housing on the websites.

Screenshot of Tochigi Akiya website

Prefectures such as Chiba, Tochigi and Nagano lead their resources. There are also separate sites for specific areas within the prefectures, for example, in the Minamiboso district in Chiba, or in the city of Ueda in Nagano. There are also several real estate websites that publish akiya by district or prefectural, among them inakanet, inakakurashi and furusato-net.

However, it is best to come to a specific city and contact the administration: many houses are not displayed on the Internet and you can find out about them only after personal communication with officials.

Some sites and blogs collect akiyya listings from multiple sources in one place. To find housing there, you need to form a query from the keyword "akiya-bank" in Japanese and the name of the desired territory. For example, by combining 空 き 家 バ ン ク and 千葉, the site will display information about available houses in Chiba.