FREE GUIDE: How to Buy an Akiya as a Foreigner: stan.store/shumatsuopost 3 SPOTS AVAILABLE PER MONTH: Apply for Exclusive Japan REI Program: forms.gle/77rQgaNRqXnxHoEW8
Some people turning these Kominka into Airbnb, but that also requires you live nearby and put in lots of work. I wonder if in rural Japan they can turn a profit.
Also I heard the Air BnB business in Japan is licensed and not every building can be converted - to protect local communities ( pensions and small hotel owners) who also provide employment in their local area. Is that correct.
I think there are probably two types of people that buy a Kominka. The first is someone who will get skilled pros to do all the renos. The second is someone who will try to do everything themselves. Probably someone will have more time and the other more money. I am currently renting an older Japanese house in Kumagaya. I moved in 8 years ago. I have put a lot of work into the garden, not the house. Its not a Kominka, but a house built in the 1970s. It will probably be torn down after I move out. I am wondering if I should try to buy the property, salvage what I can from the house and build a new house.
I might end up doing that. There are some issues with the house in terms of parking space I find annoying. I'm not sure I would want to spend money on renos but we'll see. My gf likes the house the way it is. I would like more land also. This morning I looked at a property thats just over 1000m2 near a river, lots of privacy. An old house is on the property that probably needs to be destroyed and the real estate agent said the walls around the property need to be demolished because they were not built correctly on the property line. They are asking 6 million yen, but he said to demolish the wall and house would cost 2.4 million. I left feeling quite disappointed. @@shumatsuopost
I have a house that is in a similar situation. To expensive to rebuild, potentially not worth putting too much into the existing house. What to do? In my situation I will try widen the road to fit a car and convert some of the garden into parking. That will increase the value of the property, hopefully. No guarantees!
Thank you for creating this video. It definitely has great value to some. Its definitely easy to sink too much money into a property in Japan and not get the return. Choosing the right one is so important. Would it be possible for you to do a video on what to look for? Termites, hashira leaning, foundations, dampness, services etc.
I think Goals and Intention is the important part. I want a Kominka. But I want it to live there. To reboot my life and do it away from a city. It's an investment in my life and my peace. The truth is Shu, I'm not really your target audience because I am so far from the thought of real estate as an investment. Maybe that will change after I emigrate, but I'm mostly just in Survival mode like most people. Even so I do appreciate your content, because even if my intention is different from what you speak to, it doesn't mean you don't give me a lot of important things to think about. Arigato gozaimasu.
Thank you - I appreciate your kind words. You're right, everyone has a different goal. If you're intend to live in one of these houses, buying kominka might be a great choice for you :)
Does this apply to short term vacation rentals? My personal dream is to own something traditional in Kyoto area, to rent to tourists part of the year and vacation in myself. I'm particularly in love with Arashiyama!
Im sorry 😐 but i don't understand why your Cash Flow is impacted negatively by the structure depreciation... it should be the contrary as far the CF AFTER TAX is concerned. It is a non-cash expense, meaning it does not involve the actual outflow of money. However, it can be deducted from taxable income, which can reduce the amount of taxes that an investor owes. This can improve the cash flow of a rental investment by increasing the amount of money that is available to the investor after taxes. I don't understand neither how you calculated the value of the structure depreciation. It doesn't match the value of structure paid at purchase. Thanks 🙏 for the infos though.
Great solid advice. I've been enjoying your videos for several days now. Great channel. I have several friends that have lived in Japan for decades, one is a native that moved back after having lived in NYC in his youth, another married into a Japanese family and has Japanese children, and another did the same. They're long time friends of forty and thirty years. I have personally been into Japanese architecture and design and culture since I was a child. I'm now in my early fifties and looking for a way to make the jump from the US to Japan. I've worked in super high end residential construction in NYC and LA for most of my career, with some years in the film business. I'm looking towards replicating the blueprint of pioneers such as yourself. All of my friends are well connected in music, design and the arts, I see networking as a benefit. I'd like to meet up with you this summer to a look at properties. Thanks again for the content, I'm checking the additional links now.
@@shumatsuopost thank you. I’m constantly replaying things that stand out. And taking notes. Building up my own knowledge base by learning from your videos and the work of others. I have a connection through friends with an architecture team based out of Kyoto. I did attend architecture school long ago but I am really all about building my own second hand single family home rentals portfolio. I’m going to get an international driver’s license in order to buy a k truck. This seems like a good idea. If I don’t secure a position w/ one on one conversational English by the summer I’ll be out on a 90 day visitor’s visa by October. Thanks again for your content here.
It seems as well your calculation on Both gross and net yields on both properties are wrong and overvalued... Please be clear about that. Thats could be misleading 😢
Honest question. Everyone is always talking about the cost of repair. What if your used to living in subpar conditions, think 3rd world. What if you were cool with just living rough in a broken down property. Additionally if this person who is down to rough it has a large nest egg and just wants to retire early in the country and really not see anyone. In this case would a rural Kominka be a good idea?
If you can build out a portfolio of about 6 of these homes, each generating about $5.5/yr, that would be a decent sum of money to live off of in Japan. Getting to a 6-home portfolio could be a bit difficult without cash up front. If you're able to buy 1 or 2 up front and begin generating income, could you use the income from these properties to leverage a mortgage against a third one? I know interest rates are super low, but I'm curious if a Japanese bank would view this in a bad light.
Cool video, I was wondering how hard it is to find a tenant for one of these secondary homes after you purchase it. I could see Tokyo being very liquid, but what about a place like Saitama on the southern border just outside of Tokyo?
Very nice video! I have a question, who pays for the utility bills, Wi-Fi and TV? The monthly rental income seemed very good, but landlord’s minty income decrease due to those bills? OR it’s alll on a tenant.
FREE GUIDE: How to Buy an Akiya as a Foreigner: stan.store/shumatsuopost
3 SPOTS AVAILABLE PER MONTH: Apply for Exclusive Japan REI Program: forms.gle/77rQgaNRqXnxHoEW8
How abouth achiya hauses which are alreadyy well positioned in cities?
If i bought one i'd like to live in Aomori...i love snow !
Some people turning these Kominka into Airbnb, but that also requires you live nearby and put in lots of work. I wonder if in rural Japan they can turn a profit.
Yes, you're right. I doubt most are profitable.
Top airbnbs are in good location. Not rural country side.
Also I heard the Air BnB business in Japan is licensed and not every building can be converted - to protect local communities ( pensions and small hotel owners) who also provide employment in their local area. Is that correct.
I think there are probably two types of people that buy a Kominka. The first is someone who will get skilled pros to do all the renos. The second is someone who will try to do everything themselves. Probably someone will have more time and the other more money. I am currently renting an older Japanese house in Kumagaya. I moved in 8 years ago. I have put a lot of work into the garden, not the house. Its not a Kominka, but a house built in the 1970s. It will probably be torn down after I move out. I am wondering if I should try to buy the property, salvage what I can from the house and build a new house.
Nice - instead of building anew house, what if you just buy it and renovate the inside?
I might end up doing that. There are some issues with the house in terms of parking space I find annoying. I'm not sure I would want to spend money on renos but we'll see. My gf likes the house the way it is. I would like more land also. This morning I looked at a property thats just over 1000m2 near a river, lots of privacy. An old house is on the property that probably needs to be destroyed and the real estate agent said the walls around the property need to be demolished because they were not built correctly on the property line. They are asking 6 million yen, but he said to demolish the wall and house would cost 2.4 million. I left feeling quite disappointed. @@shumatsuopost
I have a house that is in a similar situation. To expensive to rebuild, potentially not worth putting too much into the existing house. What to do?
In my situation I will try widen the road to fit a car and convert some of the garden into parking. That will increase the value of the property, hopefully. No guarantees!
Yo, Word!
Keep it up @Shu Matsuo Post
Hope you find success in your career.
Thanks! Appreciate your support. 😆
Thanks for the breakdown. This is very helpful
Glad it was helpful!
Thank you for creating this video. It definitely has great value to some. Its definitely easy to sink too much money into a property in Japan and not get the return. Choosing the right one is so important. Would it be possible for you to do a video on what to look for? Termites, hashira leaning, foundations, dampness, services etc.
I think Goals and Intention is the important part. I want a Kominka. But I want it to live there. To reboot my life and do it away from a city. It's an investment in my life and my peace. The truth is Shu, I'm not really your target audience because I am so far from the thought of real estate as an investment. Maybe that will change after I emigrate, but I'm mostly just in Survival mode like most people. Even so I do appreciate your content, because even if my intention is different from what you speak to, it doesn't mean you don't give me a lot of important things to think about. Arigato gozaimasu.
^
Thank you - I appreciate your kind words. You're right, everyone has a different goal. If you're intend to live in one of these houses, buying kominka might be a great choice for you :)
Kominkas are definitely a good purchase for me, I love old colonial Latin American houses but also traditional Japanese homes
Thanks for sharing!
Does this apply to short term vacation rentals? My personal dream is to own something traditional in Kyoto area, to rent to tourists part of the year and vacation in myself. I'm particularly in love with Arashiyama!
Not as much. Just keep in mind you can rent out your property as a short-term rental for 180 nights a year in Japan.
@@shumatsuopostdid you miss a word?
You can ONLY rent for 180 days per year
Im sorry 😐 but i don't understand why your Cash Flow is impacted negatively by the structure depreciation... it should be the contrary as far the CF AFTER TAX is concerned.
It is a non-cash expense, meaning it does not involve the actual outflow of money. However, it can be deducted from taxable income, which can reduce the amount of taxes that an investor owes. This can improve the cash flow of a rental investment by increasing the amount of money that is available to the investor after taxes.
I don't understand neither how you calculated the value of the structure depreciation. It doesn't match the value of structure paid at purchase.
Thanks 🙏 for the infos though.
Shu, what would you recommend as a retirement property? Close to train station & not too far out.
Great solid advice. I've been enjoying your videos for several days now. Great channel. I have several friends that have lived in Japan for decades, one is a native that moved back after having lived in NYC in his youth, another married into a Japanese family and has Japanese children, and another did the same. They're long time friends of forty and thirty years. I have personally been into Japanese architecture and design and culture since I was a child. I'm now in my early fifties and looking for a way to make the jump from the US to Japan. I've worked in super high end residential construction in NYC and LA for most of my career, with some years in the film business. I'm looking towards replicating the blueprint of pioneers such as yourself. All of my friends are well connected in music, design and the arts, I see networking as a benefit. I'd like to meet up with you this summer to a look at properties. Thanks again for the content, I'm checking the additional links now.
Love to hear that! Thanks for watching!
@@shumatsuopost thank you. I’m constantly replaying things that stand out. And taking notes. Building up my own knowledge base by learning from your videos and the work of others. I have a connection through friends with an architecture team based out of Kyoto. I did attend architecture school long ago but I am really all about building my own second hand single family home rentals portfolio. I’m going to get an international driver’s license in order to buy a k truck. This seems like a good idea. If I don’t secure a position w/ one on one conversational English by the summer I’ll be out on a 90 day visitor’s visa by October.
Thanks again for your content here.
It seems as well your calculation on Both gross and net yields on both properties are wrong and overvalued... Please be clear about that. Thats could be misleading 😢
Good vid, I want a kominka for my self not any one else. Buy will first invested in modern housing near larger cities to afford my kominka dream lol
Since I'm going to move in Kyoto in less than a year, that's where I want to invest 👍👍💪💪
Best of luck to you!
モルドバからこんにちは、日本が大好きです。私はラジオアマチュアとして、「Made in Japan」と書かれた日本の技術とエレクトロニクスが大好きです。
Another great video Shu! ✨😉👍
Thanks for watching :)
Honest question. Everyone is always talking about the cost of repair. What if your used to living in subpar conditions, think 3rd world. What if you were cool with just living rough in a broken down property. Additionally if this person who is down to rough it has a large nest egg and just wants to retire early in the country and really not see anyone. In this case would a rural Kominka be a good idea?
@shumatsuopost how can we get a copy of the excel sheet?
If you can build out a portfolio of about 6 of these homes, each generating about $5.5/yr, that would be a decent sum of money to live off of in Japan. Getting to a 6-home portfolio could be a bit difficult without cash up front. If you're able to buy 1 or 2 up front and begin generating income, could you use the income from these properties to leverage a mortgage against a third one? I know interest rates are super low, but I'm curious if a Japanese bank would view this in a bad light.
Think out of the box.What other uses are there for a good home with lots of land in the countryside?
The grass is always greener on the other side of the bridge
Cool video, I was wondering how hard it is to find a tenant for one of these secondary homes after you purchase it. I could see Tokyo being very liquid, but what about a place like Saitama on the southern border just outside of Tokyo?
Kanagawa, Saitama, Chiba
100% 🙌
Can you help me find akiya in kyoto
Would love to hear more details. Could you fill out this form? forms.gle/mVgtGFxQnchaaRd5A
Very nice video! I have a question, who pays for the utility bills, Wi-Fi and TV? The monthly rental income seemed very good, but landlord’s minty income decrease due to those bills? OR it’s alll on a tenant.
Can use it 5 months a year Dont need to rent it or make any capital gains
ah, i was pretty sure one of the reason would be paranormal activity, but I was wrong haha
Is it possible to put a business in one of these houses?
Possible. You would need separate licenses to run a business though.
Thanks.
👍👍
You're welcome!
haha you were one of those people making the clickbait here on TH-cam
Yokohama
Yes 🙌
uh thats like 12 years before you make any profit lol... i dunno
That's how long it may take to get your money back - you'll make your profit as soon as Year 2 :)
Yeah, and beyond the ROI each year, at Y12 you still own the land and profits can keep rolling if the house is well maintained.@@shumatsuopost
Don't forget the price of the land may also increase if you buy the right locations since most people are moving into the centres of the city