00:00:00: Yeah, the bigger building is usually.

00:00:02: that means there's going to be a proper building management company taking care of it.

00:00:09: If its too small ,it might self-managed by their owners which means they decide for themselves when there needs an inspection or renovation.

00:00:18: and if they're not professionals then maybe they don't have enough money from the owner so We can look at either, but I'd be a bit more careful with the due diligence when we start digging into a building if it's self-managed which might be the case in smaller ones.

00:00:39: But normally... If its five floors or less there is probably not going to be an elevator Which makes the building fees a bit cheaper?

00:00:50: Based my decision on how much you're paying every month and if your comfortable with that Not on the size of the building.

00:01:11: Either folks and welcome or welcome back to Nippon Trading International's Japan Real Estate Podcast.

00:01:17: I'm your host, Ziv Nakajima again And this podcast is brought you among others by Emil Gorgies of realestate.jp.

00:01:24: He's a Tokyo real estate agent who specializes in serving international or mixed nationality families Who are looking for the perfect family home.

00:01:32: So Emile is an Australian, he's been living here in Japan for over two decades now and about half of that time has been buying selling and managing real estate properties.

00:01:40: In Tokyo on behalf his own family and the great many happy clients And also acts as a mortgage broker.

00:01:47: so he got dedicated loan officers.

00:01:52: And if you're a regular listener of the podcast, You probably already know him from our JREP The Japan Real Estate Experts Panel Sessions.

00:01:59: Which means that your all ready aware of fact That the man is an absolute fountain Of wisdom on all things related to real estate in japan and In particular To family homes ,the greater Tokyo metropolitan area & mortgages.

00:02:12: And most importantly, he's incredibly generous with his time and advice which is more than happy to provide at no cost or commitment to anyone asking.

00:02:20: So if you've been thinking about buying your home in Tokyo but you're sitting on the fence for a while Or just want have chat In English With real expert Drop him line on sales at Realestate.jp Hit them up today and start exploring your options.

00:02:37: Before we dive right into todays episode Just quick personal request.

00:02:41: We know that you're tuning in, we know that your listening subscriber and download numbers are steadily rising for the podcast month by month into nine years...we've got it going which we really appreciate!

00:02:52: Really glad the podcast is bringing some value but we could use your help with ratings which will only take a few seconds or even better if you can spare minute to an actual review.

00:03:03: this helps us reach more people..which in turn helps them get information they need.

00:03:09: So if you could just pause this episode for a split second, hop over to the show's page wherever your tuning in from Spotify Apple Podcasts Amazon whatever the case may be and Just click the rating or review button whichever.

00:03:21: You've got the time For that would Be absolutely fantastic.

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00:03:27: All right.

00:03:28: so for today's Episode these are two back-to-back Conversations with Two first Time buyers.

00:03:34: This first one's actually already been on the podcast about a year or so back, but his strategy changed a bit.

00:03:40: So he wanted to touch base again and discuss this new focus which is... ...to purchase a hybrid holiday home that could also be rented out occasionally when not in use anywhere in Japan really?

00:03:51: Or at least within such long commute of the nearest international airport where it doesn't matter what country you're from.

00:03:58: His budget is pretty low, though about seven million yen which of course led us to discuss Which he'd be better focusing on at this budget houses versus condos from both an age and maintenance perspective but also thinking About the potential for short term or monthly rentals And why these would Be The only viable option considering Japan's tenancy laws For long-term residential rentals as opposed To These or maybe fixed term leases, if that's an option he could consider instead depending on how long these types of tenants normally stay in place which we also discuss.

00:04:32: What is possible and not possible with condo units?

00:04:35: How to find property managers who can handle this.

00:04:37: various rental scenarios larger versus smaller footprint properties, advantages and disadvantages of both.

00:04:44: Self-managed vs professionally managed buildings.

00:04:48: in case a condo purchase how to run proper due diligence on these buildings where to buy exactly to suit his goals.

00:04:55: we also discussed student rentals and share houses as potential investment strategies.

00:05:00: And finally, we talk about the various purchase costs that are associated with a purchase at this budget including our own fees and also about where he could find potential listings.

00:05:11: So really good deep dive on the topic of hybrid holiday home slash rental property purchases.

00:05:16: have a listen and don't go anywhere.

00:05:18: We've got another call coming your way right after This.

00:05:21: okay so we spoke.

00:05:22: we spoke awhile back but you need to refresh my memory.

00:05:26: there's A lot Of calls in between.

00:05:28: Yeah, I think it was last year maybe.

00:05:33: We spoke about the apartment and honestly i was a bit confused about everything.

00:05:37: so... ...I just took my time and I was gaining more information also.. Confused?

00:05:42: Confused as in you didn't explain something properly?

00:05:47: No no!

00:05:48: I was confused by myself.

00:05:50: what do want from property?

00:05:52: So first I thought that I wanted to go purely rented out But then I was just thinking about it and just settled my mind.

00:06:02: And then, I realized that I want to have more like a vocation house or vacation apartment where i can spend maybe two-three months because... ...I've moved from Thailand to Bangkok because I cannot work remotely.

00:06:19: so your digital nomad classical thing.

00:06:23: So it's more possible for me to just go there, hang in Japan and take advantage of the visa so I can be here maybe three months or a year.

00:06:34: And yeah that is basically my first target.

00:06:38: but then again i was watching some videos from you guys.

00:06:43: There were like this bug on my head.

00:06:45: How could make not profitable But how may get money back?

00:06:51: So I started to think about like renting it.

00:06:54: and then you said, To me.

00:06:56: It's not entirely possible right because the short-term Then apartment or yeah.

00:07:02: so if its a condo unit Short term stay licensing is gonna be near impossible Because the owner union has to agree to that And write it specifically in The Owner Union rulebook.

00:07:13: and Ninety nine percent of owner unions don't want That And you could rent it out by the month.

00:07:23: if its in a big city, where we can find property manager who can handle monthly rentals.

00:07:29: Then maybe rented-out by the months but depends on... So the owner union cant officially legally not prohibit that.

00:07:42: But they can make life harder for their property managers.

00:07:47: Tell them that they can't put the key box hanging outside, or they'll knock on the door and bother their guests.

00:07:53: And ask them are you renting this on Airbnb?

00:07:55: Or it's just... They could make life a little bit difficult but if its big city there will be property managers who can handle that.

00:08:05: You consider for example Beppu as a Big City or not because I don't know from my own... No And have you ever been to Tokyo or Saka?

00:08:19: Maybe Fukuoka, Kyoto that kind of thing.

00:08:23: For me actually it doesn't... I love it as well!

00:08:28: That's why i was checking and living there in Airbnb.

00:08:31: Actually It is more like a local neighborhood I don't know if just an apartment big building with many units.

00:08:41: So this first thought like, okay if someone can just rent an apartment in Depu for a month to some one.

00:08:50: maybe I could do the same.

00:08:51: So i was thinking this direction.

00:08:54: so... Airbnb apartments exist but usually they exist because somebody owns the entire building and then there's no owner union.

00:09:03: They can just print out whatever they want If their zoning allows it.

00:09:07: Or it might be one of those rare buildings where the owners got together and decided that they allow, but its pretty rare.

00:09:14: We can look for them!

00:09:17: I think you'll wait a long time to find one.

00:09:23: I mean, fading is not a problem... ...but i just don't want waste my time going towards direction.

00:09:29: it leads nowhere, so maybe you can just pass.

00:09:32: But if you really want to explore the monthly rental option we can start before we actually look for a property... We can start with some research to see if we can find monthly rental property management companies in Beppu and if they exist then we can contact them.

00:09:52: yeah I mean well we can research.

00:09:57: ChadGPT can help you with that for initial research at least.

00:10:01: Yeah, I tried but ChadGPP is just only good for some things and if i want to go more deeper he was not very helpful.

00:10:10: so we're talking because it's beneficial when you find contact or text them very better.

00:10:20: I don't mean to make the contact, but just mean for the initial research?

00:10:24: Just see if there's any company advertising that can do this service.

00:10:26: yeah because it i mean if chat gpt can find a single company that advertises monthly rental services in Beppu.

00:10:34: um It's probably a waste of money If you have us to search for them.

00:10:39: Okay, I will try and we're gonna take a note.

00:10:42: So I don't forget.

00:10:42: And if you get a list of companies, then give us the lists that chat GPT finds for you and we'll go in contact them.

00:10:47: it will take less time than researching and contacting?

00:10:51: Oh nice!

00:10:54: Okay so maybe i have a document where i prepared some stuff...so yeah basically the first like my, maybe my priorities about their apartment.

00:11:16: So uh The first priority is that I wanna spend time there.

00:11:23: i want to enjoy the property.

00:11:25: I would have enjoyed a neighborhood.

00:11:27: so That's why I was thinking about the gun gunma gamma Near Tokyo.

00:11:34: yeah area you're saying near Tokyo but it's like two three hours north of Tokyo yeah?

00:11:41: Yeah, and that's completely okay because it is just based on the google maps.

00:11:47: And I just checked here in an apartment.

00:11:50: there are forests nearby.

00:11:52: i can go here some like shrines things i can hang out with nature.

00:11:57: also theres a train which i take to central so thats not a problem.

00:12:05: this location is kinda ok for me Speaking about budget and maybe that's gonna be like the biggest thing.

00:12:14: I have sitting like seven million yen.

00:12:18: You think it's possible to work with them.

00:12:20: budgets Say so, I mean It's not going to be a big or new apartment.

00:12:24: But if you talk about your one bedroom in a building That's let's say twenty thirty years old this should be doable.

00:12:29: I think definitely up there.

00:12:32: Okay.

00:12:35: So primarily looking for apartment another house With the house, I'm just scared of all maintenance and repairs.

00:12:42: Especially at that budget?

00:12:44: Yeah if you're buying something that was built like ten years ago then it's maybe worth looking at.

00:12:51: but If your talking about a seven million in-budget its gonna be a house thats at least thirty years old probably more yeah And thats going to come with alot of maintenance headaches.

00:13:00: i agree.

00:13:03: I have a note like it would be really nice if it can't be, like forty-fifty square meters.

00:13:08: But i don't know.

00:13:10: is this real or not?

00:13:11: I haven't looked at gunman much so... Okay!

00:13:14: ...I cant' tell you but we can start digging and see what we find.. Is the monthly rental must have criteria because that's the case before... No no no no okay.

00:13:29: It just looks good to me.

00:13:32: it's not mandatory to look for the Montreal Intercept.

00:13:36: In that case, I mean no we'll look for them but i'm just wondering at what stage of the process.

00:13:40: so if it's a must-have then let's find the best apartment that you can enjoy staying in both location and size wise.

00:13:52: once you have one we start looking for potential options on renting it out.

00:14:01: could potentially, I mean they're based in Tokyo but they say that they service anywhere nationwide.

00:14:06: i haven't tested them out yet But we can give them a try if you don't find anyone local.

00:14:11: Yeah yeah sure That would be awesome.

00:14:15: So it's just a huge plus for the apartment but its not like mandatory as we said.

00:14:21: Got it Well well I'd be interested in experimenting with one of those companies.

00:14:24: actually If you dont mind being the guinea pig It could be interesting.

00:14:27: No no no no That will be awesome.

00:14:31: Okay, so um I prefer property with character rather than a standard modern condominium which uh i think it's dead bad and is just Condominium with character.

00:14:44: What does that mean?

00:14:45: Yeah, I can't send you some references because as I said in my last email once I stumbled on It was maybe like five million yen.

00:14:55: It was somewhere near Osaka And it was like may be three four store building with like a circle windows and it looked really retro.

00:15:06: That was an apartment?

00:15:10: It's just.

00:15:11: I'm a little bit cautious of retro buildings because if they're too old, the building fees monthly will go up very quickly.

00:15:23: With apartments, you're paying management fee which is kind of doesn't change much but also paying reserve fund contribution for the building's renovations.

00:15:31: And those fees go up very rapidly once the building gets to about forty years of age.

00:15:37: so we normally recommend that people buy the condos thirty years and younger.

00:15:41: So consider re-selling it at around thirty seven or thirty eight before these buildings start escalating.

00:15:51: Even if it's not a particularly special building, you can still do the interior to be nice.

00:15:57: Yeah, that's true.

00:16:01: Interrupt this broadcast to tell you about Tokyo family stays.

00:16:05: there are short term rentals company in Tokyo and they offer a home away from home experience which is just perfect for remote working quarantining.

00:16:13: if thats the thing or If You Just Need Somewhere Quiet To Get Away From The World.

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00:16:25: The Properties Are Super Comfortable tastefully furnished, fully equipped with all amenities and they accommodate up to ten people.

00:16:31: So really the only thing you'll need to bring with is your toothbrush or maybe a change of clothes.

00:16:37: They come fast unlimited wireless internet Dedicated workspaces in fully-equipped kitchens And their just a delight stay.

00:16:44: fantastic alternative to Japanese business hotels Which if ever stayed on one probably know are tiny noisy.

00:16:51: Fine for a night or two if you're on your own, but longer term.

00:16:54: Or with the family You'll probably feel you are in jail so very quickly.

00:16:57: and Japanese business hotel.

00:16:59: So If want to give yourself sense of space and freedom by renting real home With comfortable Western beds including all the necessities like baby bedding children's toys high chairs, etc.

00:17:10: You definitely want to reach out to Tokyo family stays.

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00:17:56: And again, if you're in the market for a family home or around the Tokyo metropolitan area and meals your man don't be shy to reach out to him as well at salesatrealestate.jp.

00:18:07: Now back Yeah, the bigger that building is usually.

00:18:24: That means there's going to be a proper Building Management Company taking care of it.

00:18:31: If its too small It might self-managed by their owners which they decide for themselves when there needs an inspection and renovation.

00:18:41: if They're not professionals or doing good jobs so maybe they are not collecting enough money from the owner.

00:18:47: we don't have enough money We can look at either, but I'd be a bit more careful with the due diligence when we start digging into a building if it's self-managed which might be the case in smaller ones.

00:19:01: But normally... If its five floors or less there is probably not going to be an elevator Which makes the building fees a bit cheaper?

00:19:12: Based my decision on how much you're paying every month and if your comfortable with that Not on this size of the building.

00:19:19: Because in any case, once we submit an application to purchase.

00:19:22: We're gonna get the buildings they call it The investigation report with a building's renovation history or innovation plans how much They've got collected and reserve funds.

00:19:31: That's what.

00:19:31: that's the due diligence that we need to do seriously on condo units And some smaller buildings are managed badly and some bigger buildings are manage badly.

00:19:41: We're not really going to know until we get that report.

00:19:45: Okay Overall is better through buy and look for the apartments which are better maintained, right?

00:19:52: Logically because if I want to exit it and just sell maybe after ten years or sooner It's gonna be easier to sell.

00:19:59: Or get loose of that.

00:20:02: That is definitely one aspect.

00:20:04: And second aspect If you're buying a unit and paying a hundred bucks in maintenance fees But it suddenly jumps to four hundred bucks because they haven't budgeted correctly.

00:20:16: So we want make sure that doesn't happen.

00:20:19: Okay, there's the close-to-train station node so I was just looking at the sumo and Always i checked like seven minutes or ten minutes mark?

00:20:34: It would be really wonderful if its closed to train.

00:20:38: If you do manage to rent it out, yeah good for your guests too.

00:20:43: Yeah a Good access to a larger city or city center Or whatever within like two three hours that's totally fine Quiet area with nature nearby.

00:20:56: so this is my biggest Priority to have nature nearby and just I can spend the time there.

00:21:04: You've filtered your locations based on that, right?

00:21:09: Yeah.

00:21:10: I was just filtering some more locations but honestly it's like shooting blindly somewhere and looking at what is available.

00:21:19: So we're not targeting Gunma specifically.

00:21:24: We are targeting anywhere... Okay Maybe outskirts of big cities or smaller cities I think, i'm not really familiar with the cities and locations so if you can help me in this it would be pretty good.

00:21:42: Which airports do you normally fly into?

00:21:45: You mentioned Beppu but that's the nearest airport to Fukuoka Airport... I don't know whether or not there are direct flights over there.

00:21:53: Yeah!

00:21:53: So I know that the Narita is a direct flight and when I checked, Fukuokas were always an option.

00:22:03: So maybe these two airports, and I just know that one of my friends when i started to learn japanese there was a lady And she bought the house in Hokkaido.

00:22:15: so we were speaking about That experience.

00:22:18: She told me like mm-hmm?

00:22:19: I would not do it again because There's A lot Of snow.

00:22:22: We need To pay very different neighbors.

00:22:25: yeah Very Different climate.

00:22:26: so Maybe Like We can Keep In The Vormers Sites or Fukuoka.

00:22:30: Maybe It's actually better, but I've never been there.

00:22:33: So it's hard for me to... Fukuoka is not that different from Tokyo and Osaka.

00:22:40: It's a pretty similar climate maybe little bit less humid than doesn't get as cold.

00:22:46: But Tokyo, Osaka, Kyoto, Fukuokka they're all pretty similar climates.

00:22:50: And if you want to be close To an actual nice looking beach i definitely go fukuoka.

00:22:57: Oh okay I mean beach is not the priority since i'm living in Thailand so it's pretty accessible here.

00:23:06: More like forest hills and yeah, this kind of areas.

00:23:11: Okay how far from the city do you want to be?

00:23:17: From a big city?

00:23:17: I mean The pants if infrastructure is good So that can get there by train because I have driving license but I don't know if i'm gonna be able to drive in japan any anytime soon.

00:23:31: so If it's good connected with the trains, uh-uh.

00:23:35: I Don't mind.

00:23:36: It's basically okay for me.

00:23:38: So basically what up to five hours three hours two hours?

00:23:42: Okay can be like six hours.

00:23:44: six can be five hours That's anywhere on Japan.

00:23:48: Oh really You could get anywhere within six hours from an airport.

00:23:54: yeah I'm just thinking because we're gonna ask an agent to start searching for listings.

00:24:00: For us, okay Yeah narrow down the locations a little bit at least take them one by one.

00:24:05: so Maybe make it list of preferred big cities that you want to be close too?

00:24:13: I mean Tokyo Osaka Osaka in Kyoto right.

00:24:17: So yeah Fukuoka is what they looking for.

00:24:23: maybe may be Oita That's close to coca right or is it just yeah, maybe I thought two hours from Fouca Yeah.

00:24:34: Yeah that's totally cool.

00:24:36: Yeah Okay What do you want to stick to the bigger cities?

00:24:42: Just I'm just thinking about the short-term state property management options Because I don't know Oita gunma those kinds of locations.

00:24:51: I don' t know that you're gonna have too many short-term stay management company Monthly staying management companies.

00:24:58: Hmm, let's see.

00:25:03: I Don't know.

00:25:03: I mean the closer we can get to like the center or to the city It's probably better for me But okay?

00:25:11: I don''t know if I can manage it with a budget.

00:25:13: so I was just Yeah Okay, well let's start near the big cities and then if we can't find anything within the budget will start spreading out.

00:25:22: Yes yes that's perfect okay so what I'll do is i'll reply to your last email with just a blank e-mail That has my mobile number on it And If you could add me On whatsapp or line Or whatever You like To use Yeah Nice Then I loop in.

00:25:41: real estate agent Who Can Help?

00:25:43: All right.

00:25:50: Exciting yeah, let's see I'm just gonna check if I left something out from my questions because if i don't have like Prepared Something I am lost.

00:26:05: Okay apartment versus house Q&A.

00:26:08: once we're actually looking at listings oh?

00:26:10: Yeah, yeah Airbnb in Percouve did it Montreal and tells we did it.

00:26:17: Oh I saw one video and it was about renting to students.

00:26:25: So, i found that property which is a house actually...I know we were not speaking of houses but just went through my mind.. The whole house was like two or three stores house really nice from the outside And for nine point three million yen And it was near university.

00:26:50: I don't remember which University, i can send you the link on the whatsapp later.

00:26:54: But I was thinking maybe that's another category of buying because The seven meal is just what?

00:27:00: I want to spend but I Can spend a little bit more if we change this strategy or something will just happen We're gonna find something unique.

00:27:08: so I would just think in about it as uh As an other strategy and another student rentals.

00:27:14: You mean What like a share house where each student gets room?

00:27:17: Yeah, either.

00:27:18: yeah.

00:27:19: Basically like a share house.

00:27:20: so I can just finding Finding property managers that can manage your share houses even rarer than finding ones they can manage monthly rentals.

00:27:28: There's not many of them and let us know then we can.

00:27:31: We can look for that if you want but then we have to head in the whole different direction.

00:27:35: It's up to ya start whichever way you want.

00:27:39: No, I think it better for me to start smaller or just get used to everything And gets familiar and maybe you can see because I can always change the strategy, right?

00:27:49: Once i have that apartment and for example.

00:28:16: two-year rolling leases, meaning the tenant expects that the lease will be renewed every two years and if you want not to renew the lease then you would have to offer them compensation.

00:28:26: so they don't complain.

00:28:29: They do have a legal leg to stand on If they decide that unjustifyingly are not renewing their contract.

00:28:38: We can try to do that, but it'll take longer.

00:28:42: To find the tenant will agree to a fixed term one year contract.

00:28:46: So maybe you give me like basic information how the tenancy work in Japan.

00:28:51: so You mentioned two years agreement?

00:28:56: Correct, and it's assumed that the lease is automatically renewed at the end of two years.

00:29:00: At the same rent amount.

00:29:02: So if you want to raise the rent or not renew the lease You can notify the tenant six months before it expires.

00:29:10: And in most cases I mean If their rent hike is reasonable They cant find a cheaper apartment then they'll probably agree To pay higher rent.

00:29:22: But its not reasonable.

00:29:25: They might just move out.

00:29:27: If you want them to move out, meaning your telling them that they don't wanna renew the lease because their property is yours then we would suggest offering compensation of about six-to-ten months rent.

00:29:39: That's what it costs for them To move and tenancy laws in Japan are tenant oriented.

00:29:44: We've never had a Japanese tenant complain or take us to court Because most people do not like conflict.

00:29:49: And but I would suggest to offer them compensation.

00:29:54: Number one, because it's the right thing to do and number two to prevent them from complaining to court.

00:30:00: Oh okay see that's very different than in Europe?

00:30:03: Most most are very different then most of the world yeah.

00:30:08: So how did you usually go like Okay if we have a real scenario i will buy an apartment for example use it too two, maybe three years or maybe one year.

00:30:18: And I will realize okay, I want to rent it.

00:30:20: so I wanna just find the tenant's two-year agreement and then for example i want to go back to their apartment after that two years?

00:30:31: So I need to pay them six months... I would suggest we can try not do and see if they don't complain too much but I would make a smoother, yeah Okay, I will take a note to just search more about this topic because it's very interesting.

00:30:52: You don't have two and we've had cases where the owners didn't want to offer that And It wasn't an issue?

00:31:00: The letter of law is tenant oriented.

00:31:04: We recommend doing that to avoid potential trouble.

00:31:09: Is it common for young people who rent their house or stay there How long they use the apartment?

00:31:18: Japan being Japan most of your tenants are not gonna be young people.

00:31:21: It's an elderly society here.

00:31:23: Okay, yeah The average tenancy on a smaller apartment like if it is studio or one bedroom I would say four to five years normally four and half year let's say If bigger.

00:31:36: you mentioned forty fifty square meters which has more couple small family sized in japan They might stay a little bit if it's family-family like the full sized Family House.

00:31:49: they stayed seven eight years on average, but okay already fifty is probably more young couple or maybe young couple with one single child.

00:31:57: so Mm-hmm.

00:31:58: I don't know five six years as the average until they can afford to mortgage and move out.

00:32:04: mm-hmm That was interesting.

00:32:06: i mean i will look about.

00:32:08: i'll look for you more.

00:32:10: Okay Personal use versus rentals.

00:32:15: Okay, we did this all the remote management okay?

00:32:21: We spoke about it.

00:32:22: Oh This is kind of important.

00:32:30: ok so if I on the apartment and i want my family or My friends from Czech Republic or worldwide come to my apartment To spend maybe two weeks one week One month Is that Okay, or how the other tenants react to this?

00:32:48: they have no problem with it.

00:32:49: That's your property.

00:32:50: you can do whatever you want with it including renting out long term Or monthly.

00:32:54: It's only the short-term stays The ones that are done on booking platforms without a lease.

00:32:59: They're the ones that need licensing.

00:33:01: Otherwise is something huge?

00:33:02: The owner union might have Might request that whenever somebody is coming to stay at the apartment then You fill in a form to let them know who staying there.

00:33:13: But other than that, no issue.

00:33:14: Yeah Okay cool Cool Uh okay what about the cost or maybe hidden costs?

00:33:23: Or the tax and stuff like this.

00:33:26: so if I have like seven mil Like sitting I'm counting then i will cover everything with a purchase in that sum.

00:33:35: or should I prepare something more?

00:33:39: Because I know yeah our fee are Our fees are.

00:33:46: well if we're doing everything on your behalf then our fee is a certain percentage.

00:33:50: but at the moment We're not able to do that because were a bit swarmed.

00:33:52: so If you want us consulting on the purchase.

00:33:55: That's just a hundred and ten thousand yen.

00:33:57: So, that's not too expensive.

00:33:59: Yeah But your purchase cost would be about worst case I'd say about fifteen percent.

00:34:07: Okay, okay.

00:34:08: So if you're talking about seven million including costs that gives you about six million for the listing.

00:34:15: or If you are talking about a seven million not including cost then what's that?

00:34:23: Then including costs it would be eight million.

00:34:28: Yeah I think we can just stay in range of seven mil now with the costs.

00:34:36: and Well, I'll let the agent know that it's slightly flexible in case we find something really nice.

00:34:42: That is going to be a bit more... Yeah okay yeah and then annual property tax will be a few hundred dollars as well.

00:34:54: just keep that in mind.

00:34:55: Okay so once a year right?

00:35:03: If its studio or an older building that costs that much.

00:35:09: twenty, thirty thousand yen per year.

00:35:13: You're talking about forty.

00:35:15: you talk about forty fifty square meters.

00:35:16: so let's say up to forty forty fifty thousand a year hopefully not less than that.

00:35:21: but yeah insurance is gonna be something like forty thousand for five-year period.

00:35:29: So Let's Say Another Ten Thousand A Year Okay and you need insurance?

00:35:34: Is it mandatory?

00:35:36: It's not mandatory, but earthquakes and typhoons are a thing in Japan.

00:35:40: I'd recommend having it.

00:35:43: Okay okay?

00:35:45: Ok!

00:35:46: From my side its practically all the questions or information i had.

00:35:52: So maybe we can just proceed... I will send you two-three links so that you see the vibe of building.

00:36:05: That's a good start.

00:36:06: I'll give you my feedback about those that will give you an idea of what we look into when we do do this as well Yes, and then yeah once We have a short list or if we have a clear criteria Then i'll loop in on agent And we'll get started.

00:36:19: Yeah also one more question.

00:36:22: So I was looking at sumo only?

00:36:25: Is there any site I can Look and check properties?

00:36:29: Do You Have Something In The Shelf at homes.

00:36:37: Homes that hang on, I had a list somewhere.

00:36:39: let me just dig it up for a second.

00:36:41: yeah where is that?

00:36:53: Hang on here so i'll copy that list.

00:37:06: there's a bunch of websites on there including sumo and the last one to your last point of the email.

00:37:20: With that list, and again you've got my phone number there in the signature so just send me a WhatsApp or line.

00:37:43: Now if you're actively looking at property in Japan, you should check out Akiyamart.

00:37:47: That's a-k-i y-a hyphen mart m-a-r t. akiyamart dot com.

00:37:53: It is the Zillow of Japan built for buyers who are actively hunting for home in japan and want much more western style web browsing experience than typical local Japanese websites.

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00:38:09: That's the one that gives you full access to Airbnb zoning maps, hazard maps sold data and over half a million listings nationwide at any given time.

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00:38:33: All right, so for the second call this one's with a couple.

00:38:38: They're also looking for holiday home and considering renting it out when not in use And they wanted to focus more on costs involved in owning and maintaining property here as non-residents who are only visiting once per year.

00:38:52: What size layout should be targeted?

00:38:55: How old should the property be comparing condos vs houses?

00:39:00: where should they buy to suit their criteria, which is a bit more narrow than the previous buyers?

00:39:05: They want to be in or close to a major metropolitan area.

00:39:09: Which led us to do a quick review of various big cities in Japan and then an overview of purchase costs again And also how our own services and fees would work.

00:39:20: So slightly similar conversation but from different angle Different buyer profile, different questions, different goals & criteria.

00:39:27: Have a listen to this one as well, and I'll see you once last time on the other side.

00:39:52: The way the legislation works here is, the owner union of the condo building would have to approve short and stay usage.

00:39:59: And ninety nine point nine nine percent of them will not approve that.

00:40:03: they're very keen on seeing especially foreigners coming in and out with suitcases.

00:40:11: If you own a house or if you own the entire building, it feels like small multi-unit apartment building which is feasible price wise in Japan.

00:40:20: then that becomes an option if zoning regulations allow it and we have property management company who can handle it.

00:40:26: so I guess first thing to decide on whether this must happen after settlement kind of things.

00:40:36: Yeah, it's not a must-have.

00:40:37: It is good to have but none of us have.

00:40:41: Our main goal was you know... To get a... A piataire like we call You know?

00:40:47: Like the place where when I come back from Japan We don't need all our clothes with us and something that will hold me away From home.

00:40:57: As far as personally my wife I'm ready to move there forever And make this temporary.

00:41:02: But right now two young kids still go through you know, through some of their lives and so that's not really an immediate option but I'm open to that idea in the future.

00:41:16: But right now it is mostly like a place for ourselves.

00:41:21: maybe we can have my wife as sister who is also interested into having a place in Japan And if it's friends or family then nobody has business.

00:41:33: I just mean you won't be able to list it on Airbnb booking though.

00:41:36: That's right, have some kind of arrangement via your own channels and people happen to participate in utility fees by paying you directly.

00:41:44: that's your business.

00:41:45: nobody can dig into them.

00:41:47: It's just can be like an official air BNB listing or stuff like.

00:41:50: yeah, that's right.

00:41:52: But our permanent goal we're just exploring.

00:41:55: i'm just trying to wrap my mind around what the ideas, like.

00:41:58: if it was a super expensive thing to do then of course oh yeah we need to rent this.

00:42:03: If its not like super expensive you know but relatively speaking We live near San Francisco.

00:42:07: It's very expensive here where we lived.

00:42:11: So I don't know how much when everything is said and done How much costs to own the property in Japan.

00:42:19: But i've heard rumors that Its affordable.

00:42:24: I mean even Tokyo is a lot cheaper than San Francisco but it's not super cheap.

00:42:29: and especially if you're talking about somebody somewhere that would comfortably host the family of four, i'm assuming that's a minimum of two bedroom plus living dining kind-of area apartment right?

00:42:43: Yes yes.

00:42:44: Yeah we need to have two bedrooms.

00:42:46: where will be looking forward?

00:42:47: at the minimum?

00:42:47: yeah okay So two adults and two children can sleep in the same rooms.

00:42:54: And have a common area?

00:42:57: Yes, so in Tokyo specifically that's not cheap.

00:43:01: also depends on the size Not just the layout.

00:43:05: usually Westerners are used to larger rooms or larger communal common areas than then The Japanese are for a Japanese family of four something that's a not sure in feet what the translation is, but something that sixty square fifty-sixty square meters is perfectly acceptable.

00:43:24: But that means their rooms are going to be pretty small so... Right!

00:43:27: What constitutes as hosting family of four comfortably for you?

00:43:31: it probably isn't the same for Japanese?

00:43:34: Well we're not typical Americans.

00:43:37: I'm Canadian for small and And yeah, we've traveled a lot so... We went to Japan many times.

00:43:44: So we are used to the... Okay let's stick to typically sized two-bedroom plus living dining kitchen area.

00:43:56: if it is a condo your houses would normally be larger layout than that they usually started around three bedrooms plus living dinning.

00:44:05: Condo units would be feasible for two, in Tokyo specifically.

00:44:12: If we want to keep the building let's say thirty years and younger on purchase because as it approaches forty maintenance fees start rising a bit more rapidly which results in resale value also dropping a little bit cause people will expect lower yield.

00:44:32: Keeping in mind that we want to buy thirty years and younger normally, consider reselling it as the approach is forty.

00:44:39: In Tokyo you're probably looking at a minimum of thirty million yen... thirty-forty maybe?

00:44:50: If its fairly suburban which works out to be two fifty three hundred thousand US I think i'm not sure about Canadian.

00:44:57: sorry Canadian is probably closer to the hundred two one, right?

00:45:04: Oh you live in the US.

00:45:05: Okay Yeah dual passport I do all that okay, so we just appear.

00:45:13: Also yeah, so basically So there's that You know two hundred thousand dollar us is within, I think the ballpark.

00:45:24: Starting at two hundred thousand US.

00:45:27: Okay okay this but you could consider... This was specifically Tokyo so that's going to be my next sentence.

00:45:35: i would consider Saitama city Kawasaki city Yokohama City maybe Chiba city if your ok being about an hour from Tokyo and then our from Narita airport because those Chiba city can be a little bit boring for some people.

00:45:53: It's not nearly as exciting as Tokyo or Kawasaki, but it's cheaper definitely cheaper.

00:46:04: Otherwise if you fly into Osaka then suburban Osaka would be cheaper as well and Kobe City which is about thirty to forty five minutes from Osaka also cheaper And it's a big international feeling.

00:46:24: I'm yeah, so me personally right?

00:46:28: So we fly to Japan and jump on the Shinkansen.

00:46:33: you know go wherever our place is.

00:46:42: if quality of life is met by difference in cost that's fine It doesn't have.

00:46:49: How far off the she-consent trip are you thinking about though after your land?

00:46:54: Well, I haven't talked about this But a budget flight by the way if you're not opposed to taking another short Domestic flight then there's a lot of places that would be within an hour from those cities.

00:47:07: Yeah.

00:47:07: I mean and Let's put it this way like i'm open to all ideas.

00:47:12: I think we need to discuss this further.

00:47:16: I Think what matters is me Personally, I don't want to spend a fortune.

00:47:23: But i wanna find good ratio between... This place has good food, shopping is good.

00:47:31: It's not too far from Japan Exactly.

00:47:38: I would maybe look at it from more of a, well firstly climate perspective.

00:47:43: so i'm assuming you don't want snow.

00:47:44: country like in Sapporo.

00:47:46: city is the big and beautiful city but its cold.

00:47:50: And also how access to nature.

00:47:52: as second thing Like Tokyo and Osaka You have travel a fair bit before get out into beautiful mountains and rivers and so forth.

00:48:00: Fukuoka City on other hand has miles and miles of beach, very accessible nature but it would take the extra schlep to get from Osaka Airport to Fukuoka City.

00:48:12: It's probably a lot warmer in summer also right?

00:48:16: No really pretty similar I'd say more moderate than Tokyo.

00:48:20: so doesn't quite as cold or humid like Tokyo and Osaka and Kyoto do.

00:48:26: We get maybe four or five days a year where it drops down to zero Celsius and you know there's a little bit of snow when everybody freaks out but Tokyo gets a fair amount of snow on a regular basis during the winter.

00:48:40: And then this summer is because it's a lot more enclosed in the concrete jungle kind of situation.

00:48:46: so, It's a lots more humid whereas here we have ocean breezes which Tokyo doesn't get.

00:48:53: But again, it's a bit of extra travel once you land in Osaka.

00:48:57: Well yeah I've never traveled south of Hiroshima and we have not been together to any other islands.

00:49:08: Rina?

00:49:08: You mean to the north I think?

00:49:09: Hiroshima is nice too!

00:49:11: It's smaller city but very comfortable.

00:49:15: It was in Nagoya.

00:49:24: my mother's family lives there.

00:49:32: Nagoya is lovely, but you probably know it better than I do if your family's from there.

00:49:36: It gets a bit more blue-collar industrial Yeah which we like.

00:49:41: and when they're at this past trip And i actually enjoyed it We had the best coffee There.

00:49:48: That could be good compromise then because its close enough to both Tokyo and Osaka.

00:49:54: Yeah, yeah.

00:49:56: So we're open to these things with so like this.

00:49:58: is that just initial exploration of light?

00:50:01: Let's say you know.

00:50:02: let's say We aim at a budget around.

00:50:04: let's see two fifty That same on the price or well who knows I have no idea Definitely less.

00:50:11: probably steer clear of Tokyo itself if you want to stay within that budget because you'd be compromising on space, how nice the property is going to time and your, your time.

00:50:51: I was thinking that maybe we should just stick with.

00:50:53: Let's just say we want to stick with the outskirts of Tokyo those places you mentioned or Saitama.

00:51:00: my sister was on a jet program.

00:51:02: she lives in Saitamas so i can get more feelers from her about Saitamah city what it's like living there?

00:51:08: And then Yokohama.

00:51:10: So... That would be an hour round also.

00:51:13: yeah okay so Chiba-Yokohama Kawasaki Maybe the outskirts of Tokyo if we get lucky and Saitama.

00:51:22: Yeah, yeah We're open to.

00:51:24: well as we discuss will probably open our mind other possibilities.

00:51:27: But right now let's just focus on narrow.

00:51:29: narrow is good It's easier to research.

00:51:31: it's narrow or yet?

00:51:32: Well, yeah So that's what were looking.

00:51:35: That's the idea.

00:51:36: so I think you so far yeah outskirt of Tokyo And an hour away.

00:51:41: fine That's where we are.

00:51:48: Yeah, okay.

00:51:49: So the next step is to figure out if were looking at condos which would fit your floor plan but with absolutely rule-out short term stays or If you want consider houses to leave that option potentially open in the future.

00:52:05: But then You need to deal with ongoing maintenance costs.

00:52:08: The house would be older because at this budget, that plot of land you're going to buy something very likely for the next forty years if we are lucky and maybe a little bit younger or a little old.

00:52:21: but they don't build to last in Japan.

00:52:24: so once they hit thirty-five years of age is when the maintenance expenses start piling up.

00:52:30: I'd be curious.

00:52:33: those houses would be like, I don't have a clear picture of my mind on what this would look like.

00:52:59: you know, purchase maybe that would be helpful.

00:53:05: We've got a bunch.

00:53:06: it's going to take me awhile to dig through and find them but I can send you some listings.

00:53:09: oh actually the listings won't be available because they would have been sold by now.

00:53:12: but i can sent you some summaries of stuff that we've helped people purchase.

00:53:15: yeah um but again my main concern there is that if the property is let's say thirty five years an older your should be factoring in something like two three thousand canadian in just average maintenance expenses.

00:53:33: We also want to do a structural inspection because again, thirty five and older it's quite likely they're going to have some major structural issues at this age because again the are not built to last.

00:53:44: so that adds another let's say two thousand Canadian to every listing you're considering putting an offer on as you'll pay for the inspection yourselves And its less predictable.

00:53:59: You'll have four or five years where everything's hunky-dory, but then the roof goes.

00:54:04: Or then termite protection needs to be renewed... ...or they're retaining wall around the property and need to be spruced up.

00:54:09: so The expenses are far less stable and reliable than you'd get with a condo.

00:54:14: It is just something to consider.

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00:55:06: How so let's say So here where we live there's the concept of teardowns, right?

00:55:14: People buy houses and they just tear it down.

00:55:16: And then build something new from scratch.

00:55:19: So how much... How expensive is the construction in Japan?

00:55:26: Your typical cookie cutter kind-of Japanese single family home.

00:55:31: usually I'd say pre the Ukraine situation and now the state of Hormuz it used to be around fifty million yen To construct a single again cookie cutter type single family home.

00:55:47: Yeah, these days that probably go more towards twenty-twenty five million.

00:55:51: in assuming you own the land.

00:55:53: You don't need to buy the land separately yeah just The construction of a brand new single family Home That's let say ninety two hundred and twenty square meters would normally be about When let's say about twenty to twenty five million.

00:56:05: in these days if you need to demolish and remove the older structure I'd add another five six million yen to that.

00:56:13: Because when we were visiting, I saw some some houses.

00:56:16: That would definitely newer And i thought it was really cool like they had this school modern japanese architecture that You know simple materials but applied well?

00:56:29: Like that something that also will be a potential possibility for me in my mind, but... Well I mean the sky's the limit.

00:56:36: The nicer and more custom built they are the more they're going to cost.

00:56:40: But something that is kind of like factory line from a developer what you usually see In Japanese family home style as about twenty-twenty five million these days.

00:56:49: Okay yeah so I think initially our thought was to just buy what exists and then if we went for a home in the future, i could foresee improving it.

00:57:06: You know like investing and making it nicer so that you can eventually maybe even move there someday or not... That we can do anytime.

00:57:14: but my bigger concern is what you'd need to fix up right after settlement Right?

00:57:21: I see.

00:57:21: Yeah, yeah well i don't know these things.

00:57:25: so uh... So those that- I mean..I'm no expert myself.

00:57:29: the structural inspection will tell us that.

00:57:32: Well yes!

00:57:34: Having an idea of what you know where the listings look like and getting a good understanding of financial from start to finish when we have key in hand everything is done your fees are paid, the taxes are paid and then what's left?

00:57:56: Okay so I'll put ourselves aside for a moment.

00:57:59: I'll break down the process.

00:58:00: if you were to deal directly with the Japanese property agent let's say we're not involved at all... You would be paying this budget up towards case about fifteen percent purchase costs on top of the listing price which breaks to the agent on settlement, somewhere between one and a half to two-and-a-half percent purchase tax.

00:58:24: Somewhere between four-and–a–half percent legal registration fees.

00:58:30: that in the purchase tax fluctuates depending on the official evaluation which is always going be different from market price.

00:58:36: so it's not something we can accurately estimate in advance.

00:58:41: We say worst case scenario upto fifteen percent hopefully closer than ten percent.

00:58:47: All of that except the purchase tax is payable on settlement with a ten-percent deposit, payable about a month and half two months before settlement when we sign the purchase contract.

00:59:02: Then we can come in one or three ways.

00:59:04: so either just introduce you to a foreigner friendly bilingual Realtor will help you with the purchase.

00:59:12: If it's somebody based in Tokyo, then they'll probably be able to cover all of the countries.

00:59:15: so if you happen to change your location selection later that would handle other cities as well.

00:59:21: and just bear in mind Japanese Realtors.

00:59:24: their job is to facilitate a legal compliant transaction Like the kind of conversation that we just had a. watch out for this, watch out.

00:59:33: Consider they're not going to do that.

00:59:35: their job is to be pointed at a listing or research listings and make sure you are legal owner in end-of-the process.

00:59:41: That's what there therefore So we can refer them directly with them.

00:59:45: We don't charge referrals.

00:59:47: Welcome to it!

00:59:49: We come as consultants to hold your hand when working with agents.

00:59:53: Just guide due diligence, raise red flags review documents before signing help you prioritize one listing over another for whatever reason.

01:00:01: That's a fixed fee of a hundred and ten thousand yen, which is about I think eight-hundred US at the moment?

01:00:11: You can share your recording with us.

01:00:13: Oh okay yeah sure!

01:00:14: Do we need to do this recording with them?

01:00:15: Yeah of course!

01:00:17: Okay wonderful so let me take note... So for handholding Asks all the right questions and we get all the write answers in documents are reviewed, so forth.

01:00:28: We charge about eight hundred US If you want us to do everything on your behalf meaning You don't need to talk to any agents or any lawyer?

01:00:35: He just talked to ask give us Authority two acting Japan on your be half And we handle everything.

01:00:40: and he just signed a bottom line for that with charger percentage of the property price Which is at your budget go.

01:00:46: probably gonna Be three or four percent depending if we pass the thirty million mark or not.

01:00:55: OK.

01:00:57: But that service, the complete purchase facilitation service we're not going to be able do on maybe until the end of year or a little bit too swamped at moment?

01:01:06: I see.

01:01:08: Well no rush but... The consulting route works well.

01:01:12: We've been doing it for three years now and everybody seems satisfied with this.

01:01:17: You just need more involved.

01:01:19: so you'll have talk to the agent directly, provide a few more documents attend.

01:01:23: A few more online meetings that kind of thing.

01:01:25: but they're The level of consulting will be the same either way.

01:01:29: I see okay and are there any gotchas in terms of taxes?

01:01:34: And like an like uh In Japan who like what's the Like What's the?

01:01:41: let's see.

01:01:41: so-so i think we only gotcha That people maybe don't.

01:01:45: i mean There's property tax But fairly cheap in Japan, gonna be a few hundred bucks a year maybe closer to one thousand if it's a pricier property.

01:01:54: The only gacha that people probably don't think about normally or some people don't thinking is remote management.

01:02:01: so If you're not physically at the property and especially if it has let say backyard or garden of properties are bit older somebody needs keep an eye on maintenance.

01:02:13: that all costs.

01:02:14: If you're not physically doing it yourself, if your'e here at least every other month.

01:02:17: then those are the cost to factor in.

01:02:19: Right right okay yeah makes sense.

01:02:21: For condos our there HOA kind of fees like we had deal with and United States to maintain shared space?

01:02:34: Yes but that substitutes having to worry about structure for a house.

01:02:38: so you'll be paying hundred or two hundred dollars a month, whatever the case may be depending on the condo and how big it is.

01:02:46: And then they cover everything related to this structure.

01:02:49: The due diligence will do in that cases To make sure that they've been doing all of the necessary renovations and repairs over the last ten years That they have an innovation plan moving forward They got enough collected reserve funds for their next big renovation so that they're not increasing fees too rapidly.

01:03:06: But I haven't lived in the States but from Sorry, from what I hear people living there the HOA always has a hand in your pocket.

01:03:14: There's special assessments and fees that you need to pay for work nobody was thinking of.

01:03:19: And late fees Finds none here.

01:03:24: Everything is very by-the-book You're supposed to be paying.

01:03:27: We just want do due diligence.

01:03:30: how quickly we think those fees might go up Okay, and then you only need to worry about your interior.

01:03:38: So that's up to you And the balconies as well are covered by the owner union because technically The balcony is not yours.

01:03:46: it's part of the communal areas of the building so they're covering balcony renovations in cleaning and Anti-pigeon nets and everything that comes with out.

01:03:55: You just need to worried about your Interior Thinking about remote management of these holiday homes, you want to make sure.

01:04:05: if you're not renting it out You wanna Make sure that somebody comes in once every month or every other month.

01:04:10: Open up the doors and windows do some light vacuuming because humidity is a huge issue In Japan.

01:04:14: If you leave it closed forever It will very quickly run through your interior The mold.

01:04:20: this is a big thing here.

01:04:21: so What you want?

01:04:23: To make sure is that properties aired and lightly cleaned Every month for couple months And then, you know if and when the interior becomes too dated or wear-and-tear.

01:04:32: Then you decide what you want to renovate but the structure will be covered by what your paying monthly.

01:04:40: As well as common areas maintenance lights in the lobby any bushes or trees around the property that kind of thing.

01:04:47: Okay let's go tell them Let's see, so I'm sure you've been doing this for a few years.

01:05:01: Fifteen years now?

01:05:03: Wow that's amazing!

01:05:04: So iIm sure at some point people buy properties but then they want to sell them because whatever reason no longer... Again we'd recommend selling it in certain age and avoid the maintenance fees or building fees escalating.

01:05:18: We would normally reach out and say hey its approaching that age You might wanna consider reselling.

01:05:22: That's just for homes.

01:05:26: Investment properties or holiday home?

01:05:28: No, no condo units as well because As the building approaches its concrete so not as early as wooden structures but it gets to about forty years of age.

01:05:38: It does take more innovation and maintenance And building fees will go up more rapidly.

01:05:42: So same story with a condo that takes longer.

01:05:47: Are there ever situations where like those repair fees are too much?

01:05:54: Is that why people don't necessarily... Well, it affects a few things.

01:05:59: It affects obviously your monthly expenses.

01:06:02: if the building fees go up bit more rapidly than suddenly you're- You know The two hundred a month that you were paying on purchase suddenly creeps towards four hundred a months and that becomes a bit to expensive.

01:06:12: If you reselling the property then whoever's buying from you takes same thing into account so they would expect lower resale value as well.

01:06:21: Let's say, I mean you're looking around Tokyo so that area will probably continue to appreciate but if Building fees are significantly more expensive or a buyer is expecting them to become more expensive in the near future then they would expect a lower price.

01:06:36: So it'd be Maintaining your value of selling at little bit under what you purchased it for as opposed to gaining on it If you purchase it a bit younger?

01:06:52: But I mean, look we do have clients who are so happy with how much they're saving on accommodation that they're happy to just write it till it drops kind of thing and then sell for whatever.

01:07:02: They can get down the track when their not using anymore.

01:07:04: So thats an option as well.

01:07:05: but its a bit more prominent because investors look at the yield And you have mentioned that you're considering potential long-term renting it out at some point.

01:07:16: So investors look at the yield, if somebody is buying their property from you there's a tenant in there.

01:07:20: It's generating a certain amount of income.

01:07:22: The building fees eat significantly into that yield If they start going up.

01:07:26: so then it would definitely affect the resale value a lot more.

01:07:29: Okay yeah I was thinking more in terms of... We do this.

01:07:35: we buy for our property two or three years on the road.

01:07:43: The camera is focusing on you for some reason at all.

01:07:47: And so five years out of the road, our kids... I don't know what they can actually do?

01:07:59: They grow up and go to college or whatever but then we don't go to Japan in a few years.

01:08:03: let's say right I'm tossing a number here, completely hypothetical.

01:08:09: For the next five years for sure we're not coming to Japan because all these events happening and etc.

01:08:16: so that would be a situation where we'd be interested in finding a family to rent the property from us.

01:08:23: Yeah well Japan's tenancy laws being what they are bear in mind at least.

01:08:28: leases are assumed to automatically renew every two.

01:08:32: If at the end of those five years you want to take possession of the property again, we would need to wait until the lease is due to expire.

01:08:39: And six months prior to that let them know and probably offer them some compensation for what it costs them to move in find a new property.

01:08:47: Otherwise they do have legal leg to stand... It's never happened with us Japanese tenants but legally if they want to complain about being unjustifiably removed I see four years then.

01:09:00: Oh, it doesn't matter!

01:09:01: The idea is that I was thinking about like if there's a guaranteed period of time two-years minimum where we don't plan on visiting the property would be interested in renting it.

01:09:13: so... With the family in place they will probably advise to consider more like eight years.

01:09:18: Eight year?

01:09:19: Yeah yeah.

01:09:20: So the typical family stays in place.

01:09:23: uh i don't know somewhere between seven to nine.

01:09:27: And then I would advise to just wait until they don't renew anymore because family situation has changed and they need a new place or whatever the case may be.

01:09:36: Then take ownership when they vacate.

01:09:38: of their own accord, if you really want to we can ask them not to renew the lease but offer some compensations usually somewhere between six-to ten months of rent.

01:09:46: Okay well that's good to know.

01:09:50: That is only for our house cause it cannot.

01:09:55: Not both.

01:09:57: You can't rent out the condo short term for Airbnb.

01:10:00: You can rented out long-term.

01:10:02: Yeah, you mean sorry we said you can read can't air B&B a condom?

01:10:08: Yes, it's been rented long-terms.

01:10:09: You cannot enter to a family long term.

01:10:10: to her families not a problem.

01:10:13: Okay that's good to know.

01:10:14: okay but shorter for condos in its not two years.

01:10:19: No no the leases are this thing.

01:10:20: if your family size I'm saying if it's a family sized property whether It's a condo or house Then families just tend to stay in place longer than singles or young couples, which you'd get with a smaller property.

01:10:32: Moving homes is involved.

01:10:34: so it makes sense.

01:10:36: but two years would not be unreasonable for a condom...for lease The minimum lease would be signed for two years, so it'd be harder to find a tenant who wants to rent it for shorter than that.

01:10:48: And if its family renting out they will expect and I would expect them stay in place not for two year but more like seven or eight nine-years.

01:10:58: It's not multiples of two?

01:11:02: Two years plus one?

01:11:04: Its multiples too!

01:11:06: The law, again is more tenant oriented.

01:11:09: So they could say after seven or nine years They would say hey we want to move out and then you might get a month Or two in compensation from them but not much More than that.

01:11:17: But you as the landlord have the obligation To stick to the multiples of two.

01:11:21: yeah Okay I understand okay so when You said an uneven number it's the tenant who decides too Just statistically That how long family tenants tend to stay In place.

01:11:31: It makes sense.

01:11:32: Yeah it makes sense Ok!

01:11:35: What else?

01:11:39: I mean, for us like there's yeah we have a big questions about the hurry.

01:11:42: We just wanted to find out more about The process and okay And hopefully we cover that base?

01:11:50: I mean will have a lot more doing and throwing in answering questions when you're looking at individual listings Will point out things.

01:11:56: your last question is about it but basics with probably covered.

01:12:00: i think Yeah very good.

01:12:03: And you said that we're going to send us some listings as an example, just give up.

01:12:10: So if I'm gonna bounce off another meeting after this... If you could reply to our last email reminding me of sending a bunch of listings and let me know what criteria or listings do want to look at?

01:12:20: Then i'll send either a summary on how many people helped buy it Or can't find anything that's informational enough because sometimes we don't have the listing itself.

01:12:31: There's not going to be a floor plan or photos, so I can just run a quick search on the internet and show you what is available at your criteria right now in the

01:12:39: market.".

01:12:45: Why did you help facilitate?

01:12:49: I would love to see examples of that also.

01:12:52: We do, but they don't look like listings.

01:12:54: They looked like summaries of information Japanese documents.

01:13:00: OK yeah so that's wonderful!

01:13:03: Depending on the case-by-case we might have saved the original PDF listing if it was available.

01:13:07: So i'll try to find some of those for you.

01:13:09: Just remind me by email what criteria you want to be looking at.

01:13:14: Well, wonderful.

01:13:15: Thank you so much and yeah super helpful.

01:13:20: My pleasure enjoy the rest of your trip.

01:13:23: okay now we're back home but oh you're back already?

01:13:26: Okay!

01:13:26: You mentioned that you were going to Tokyo.

01:13:27: I thought you are still sticking around in Japan for a while.

01:13:30: no we literally just came back from Tokyo like three or four days ago.

01:13:34: Yeah got it So... But we're looking forward to go back.

01:13:37: We'll enjoy your jet lag In that case Thank you.

01:13:41: Talk to you soon Bye bye.

01:13:44: So there you have it, two similar but different buyer profiles.

01:13:47: Two different sets of goals and purchase criteria.

01:13:50: Hope these conversations brought to some value.

01:13:52: let us know what do think.

01:13:55: Now, we can't let you go without telling me about MailMate.

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