4F Nihonkoudoukai Building
3-1-6 Nishikanda, Chiyoda-ku,
Tokyo, Japan 101-0065
Telephone
03-6261-4097
Outside Japan & Global Division
+813-6261-4096
Domestic Sales Division
03-6261-4099
Fax
03-6261-4098
inquiry@mrl-tokyo.com
4F Nihonkoudoukai Building
3-1-6 Nishikanda, Chiyoda-ku,
Tokyo, Japan 101-0065
Telephone
03-6261-4097
Outside Japan & Global Division
+813-6261-4096
Domestic Sales Division
03-6261-4099
Fax
03-6261-4098
inquiry@mrl-tokyo.com
Article written by guest collaborator: Y. Maekawa
In 2024, the number of visitors to Japan from overseas reached 36,869,900, an increase of 47.1% year-on-year, marking an all-time high. (Source: Japan National Tourism Organization)
With the recent rapid increase in inbound tourism, Japan is facing a serious shortage of accommodation facilities. In response to this shortage, the number of Special Zone Minpaku (short-term private lodging) properties increased, particularly in the Osaka area. However, due to the deterioration of local living environments and a rise in conflicts with residents, Osaka City decided to suspend the acceptance of new applications starting May 29 next year, a policy that has been approved by the Japanese government.
As inbound tourism is expected to continue growing next year, the accommodation shortage remains an urgent issue that must be addressed. One possible solution is the construction of large-scale accommodation facilities such as hotels. However, from selecting suitable land to construction and opening, hotel development requires considerable time and cannot serve as an immediate solution.
As a result, Airbnb is seeing growing demand. Airbnb offers relatively affordable accommodation and is especially popular among younger travelers. There is no doubt that demand will continue to rise. For property owners, Airbnb operations can be established by renovating standard residential properties, but several important points should be noted.
Airbnb properties can be launched relatively quickly; however, prior to opening, an inspection by the public health center and the acquisition of a license are required. Obtaining this license is expected to take approximately two to three months.
Next, it is crucial to find a reliable property management company to handle reservations and day-to-day operations. In Japan, there are not many Airbnb management companies that can provide services in English. If you entrust your property to a reputable management company, they can handle everything from website marketing and bookings to payments, making operations relatively straightforward.
Finally, choosing the right property is extremely important. Regulations governing short-term rentals vary by region. Even within Tokyo, the rules differ by ward. Therefore, it is essential to work with a trustworthy real estate agent. Finding a real estate company that understands Airbnb-suitable properties does not have to be difficult. For example, even if you are currently living in the United States, as long as you can arrange the necessary funds, opening an Airbnb business in Japan is possible.
In principle, private lodging properties in Japan can be operated for a maximum of 180 days per year.
If you decide to look for a property for Airbnb use, how would you proceed? Would you check listings on websites? While there are many property search websites available, choosing the right property requires thorough research.
Although websites can provide a certain amount of information, how can you obtain details about local transportation convenience, the availability of restaurants and entertainment, nighttime safety, and whether the area is quiet? Visiting the site in person while traveling is one option, but we recommend first finding a reliable real estate company.
In Tokyo, there are many real estate firms that can accommodate foreign clients. As a starting point, you can browse the listings on this website or email us to ask for property listings.
For example, if you own real estate in the United States, it may be possible to extract cash by leveraging the equity in that property and use it to purchase real estate in Japan. In such cases, our company has local staff ready to assist you.
By providing accommodation to overseas visitors to Japan and completing online payments in U.S. dollars, you can operate an overseas business without exchange rate risk. Alternatively, if you are a resident of Japan, you may be able to borrow funds from Japanese financial institutions. While conditions vary by lender, investing in property using loans from Japanese banks—which still offer relatively low interest rates—can be a sound strategy.
As an aside, in the past, many people aimed to obtain a Business Manager Visa by operating private lodging properties. However, the requirements for obtaining this visa have since become more stringent, so caution is advised.
