Acquisition tax is imposed when purchasing property. The tax is calculated with 3%of the fixed asset value of land and building. The fixed asset value of the residential land is reassessed in half.
Brokerage fee is paid to a property agent as contingency fee. The maximum amount of brokerage fee is limited by Building Lots and Building Transaction Business Law. To calculate the upper limit, the selling price is divided into 3 range as below and each of them are multiplied by the fixed percentage.
Base on selling price
Less than 2 million yen 5% +consumption tax
More than 2 — less than 4 million yen 4%+ consumption tax
More than 4 million yen 3% + consumption tax
When purchasing a Japanese property, you need roughly 5% to 6% of the selling price as expenses and taxes such as brokerage fee, acquisition tax, judicial scrivener fee, registration tax, stamp duty , consumption tax and adjustment of fixed tax.
The reason that we can’t determine the expenses with the selling price is that acquisition tax and registration tax are based on a different standard table which is called “ the fixed asset tax table standard”. In addition the fixed asset tax is imposed with both of land value and building value on the land, which deteriorates over time year by year.
News about violent crimes in Japan sometimes are broadcasted. When we watch the news, we are likely to be afraid that they will hit our property. The recent increase on foreign workers and the collapse in society may bring the rise of violent crimes. However the current survey denies the worry. The ratio of murder crimes is decreasing year by year.
Line graph is clearance rate
Bar chart is the number of the murder crimes
The survey by National Police Agency
Earthquake building codes in Japan
When you purchase an apartment or condominium, you should know it is “kyu-taishin” or
“shin-taishin” It is very important distinction. Simply speaking “kyu-taishin” is fragile.
“shin-taishin” is unbreakable. Of course most people know its difference, so the yield ratio between the two is so different.
Major building code change to the building standards act occurred in 1981.
Buildings built to the pre-1981 standard are called is “kyu-taishin”.
Buildings built to the new standard are called “shin-taishin”.
around 1.5% of purchasing price with a different measurement.
The stamp duty is an imposed tax to fixed document relevant to taxation article (taxable document)
When purchasing a Japanese property from over 10 million yen less than 50 million yen, you have to pay 10,000 yen as the stamp duty.