Since we received an inquiry from overseas today, we will briefly explain the profits of making an investment.
Since the budget limit was about 8.5 million yen, we presented the following cases to our customers as a case study.

Detom-1 Shijo Omiya PartⅡ
https://realestate-kyoto.com/?post_type=fudo&p=7007

Sales Price 5,800,000 yen
Total cost for purchase (roughly) 6,330,000 yen*¹

Annual rent 492,000 yen
Monthly Rent  41,000 yen
Monthly Total Cost 10,250 yen*²
monthly cost-1 4,725 yen
monthly cost-2 5,500 yen*³
*property management cost
Monthly Income 30,750 yen
Annual Rent Income 369,000 yen

*¹ Total cost include ownership registration fee, ownership registration tax, part of fixed asset tax, agency fee and acquisition tax
*² Total cost include maintenance fee and repair reserve fund and terrace using fee
*³ Case of cost for asking full management service

When you purchase a leased property in Japan, it is often called an Owner Change property. Unfortunately, if there is lessee, we cannot look inside the room. Therefore, we will select investment properties based on the exterior of the building, the location of the room, and other details on the paper.
If the building is rented, it is also necessary to check whether the rent is too high compared to the surrounding market, or if it becomes a vacant house, it is easy to find the next occupant. It should be noted that if the rent is too high, even if the current yield is good, the rent may become unoccupied and you may not be able to get the rent you expected.

When choosing a property, it is necessary to confirm whether it is near the station, near the university, a popular area, the direction of the veranda, the number of floors, or whether the floor plan is easy to use.

We can also discuss rental demand, so please contact us if you would like to invest from a cheap real estate first.

Today, we will talk about the information on the building registration certificate. The first is a copy of the registration certificate of a wooden 2-story building, and the second is an explanation of the registration certificate of a condominium. First of all, it is a case of a two-story wooden detached house.

The content is similar to the land, only the content of the title part is different.
① Location: Location of the building; xxx Town, xxx ward, Kyoto City
② Housing number:  #xxx
②-① type of building:  residential, apartment, dormitory, store, etc.
②-② structure: structure of building, type of roof (shape of roof) and stories of building
②-③ floor size: floor size of each floor, in ㎡ unit
③ Right Department (Section A) (matters related to ownership): Order of registration, purpose of registration, date of receipt, right holder and other matters. (Reason for registration, owner's address, owner's name)
*If there is an underline, the content has been changed and the registration has been deleted.

As mentioned above, there are many items that are similar to land, and the Section A  (matters related to ownership) and Section B (Matters related to rights other than ownership) of the Rights Department have the same contents. Now, let's check the building registration certificate of the apartment, even though it is the registration certificate of the same building. 

In the case of a condominium, unlike a detached house, there is an indication of a single building, an indication of an exclusive building, and a further indication of the right of site. Please see below.
④ The house number of the unit (the lot number and the room number of the entire condominium are listed).
⑤ Title section (display of one building)
⑥ Location: Address and lot number of the land where the building is located.
⑦ Name of the building: condominium name
⑧-① structure: structure of building, type of roof (shape of roof) and stories of building
⑧-② floor size: floor size of each floor, in ㎡ unit
⑨ Title section (Display of land, which is the purpose of site right)
⑨-① Land code: Number starting from 1
⑨-② Location and lot number: Land address, lot number
⑨-③ Classification of land category: Type of land (residential land)
⑨-④ Acreage: Size of land
⑩ Title Section (Indication of Building in Exclusive Area)
⑪ House number: town name + house number + room number
⑫ Building name: Room No.
⑬-① Type: Residential, etc.
⑬-② Structure: Structure of the building, number of floors in the exclusive portion (1 floor)
⑬-③Floor area: Number of floors, size of inner room
⑭Title section (display of site right)
⑮-① Land code: Number starting from 1
⑮-② Type of site right: ownership, leasehold right, etc.
⑮-③ Ratio of site right: ○○/○○○ (unit size of proprietary wall core/square meter of entire site)

As mentioned above, the contents of the building registration certificate are also very different between detached houses and condominiums. Generally, land for condominiums has a land right, and if you purchase the exclusive part of the building, you will also get the land right as a set. The reason why the land is set is to prevent the building and the land from being purchased separately, and to reduce the complexity. 
If you have any questions, please contact us individually. 

Today, we would like to explain the initial investigation when we were asked to sell real estate.
Actually, one owner contacted us today and asked us to sell the detached house. Therefore, we would like to explain what we do as an initial investigation first.

Since it was in the evening when the investigation was begun, we examined the details today within the range which can be investigated on the internet. The first thing we did was to get the land and building registration transcripts. This can be investigated at the legal affairs bureau, but it is also possible to investigate on the internet. Since we are registered as a vendor, we used our login ID and password to search. Land is selected in the order of Kyoto Prefecture, Kyoto City, target ward, town name, and lot number. In the case of a building, the same procedure is used for a building, and in the case of a complete set of information, we will be charged 334 yen per piece of information. The land and building registration transcripts confirms the details of the owner, information about the property and the rights to the property. We then check to see if there are official maps and acreage survey maps of the land. Public maps can be found basically anywhere, but the acreage survey maps are not registered unless they have been surveyed. If there is no information available on the target land, we check the land adjoining the land on the public map in order to see if a survey map on the next land is available. In the case of a building, we also check if the building plan is registered.
The next step is to investigate the type of street access. This can be investigated on the website operated by Kyoto City. This time, we found out that the type of road is Article 42, Paragraph 1, Item 5 of the Law. It is a road that can be rebuilt. Since we didn't have the acreage survey map, we will visit Kyoto City Hall to get information of street width and frontage, as well as a field survey. By the way, since city hall can only be visited during limited hours on weekdays, it is carried over to the following week.

Next, we needed to investigate the zoning of the place where the subject property is located. This is also available on the website operated by Kyoto City. The site has become more and more convenient over the years, and we can check the zoning, building-to-land ratio, floor area ratio, and  minimum site area for buildings. It is now possible to look up information on height district, landscape preservation, distant landscape, etc at ont place. The information on outdoor advertising, fire protection zones, built-up urban areas, housing construction control zones, and ruins maps are available on separated sites. Once the above investigation has been completed, the next step is disaster prevention.
For disaster prevention, Kyoto Prefecture has a website dedicated to this topic. We can also check the flood, earthquake, and sediment disaster warning zones. If you would like to find out information about your location, please check the following sites

Multi-Hazard Information Providing System
http://multi-hazard-map.pref.kyoto.jp/top/top.asp

The above is the main content of the information that can be investigated on the Internet. 
In addition, similar to the public maps, but property tax lot reference maps and building agreements can also be researched online. In fact, the above information will be used to survey the Legal Affairs Bureau, City Hall, Waterworks Bureau and the site. It is also possible to obtain information on the buried pipe status of the water supply system and the buried gas pipes via the internet.　

In addition, the above is only data information, and we will proceed with the survey including confirmation of boundaries, confirmation of crossing borders, building conditions, etc. This is a job for new buyers to understand the situation, to feel secure, to be satisfied, and to purchase real estate. If you have any questions, please contact us individually.

The costs associated with owning a property include taxes, repair costs, and administrative costs.
Some costs are one-time costs, some are incurred monthly, and some are ongoing in the future.

Let's start with taxes. There are three types of taxes: real estate acquisition tax, which occurs when you own real estate; real estate property tax, which occurs when you continue to own real estate; real estate transfer tax, which occurs when you transfer ownership of real estate; or real estate inheritance tax, which occurs when you inherit real estate by inheritance.

The tax calculation is based on the assessed value listed on the property's public tax certificate.

The real estate acquisition tax is a tax that only occurs once when the property is acquired. The real estate property tax is payable on January 1 of each year by the person or corporation holding the ownership of the property. When selling real estate, because a tax will be generated against the profit on the transfer of real estate, it will be necessary to grasp the acquisition cost, etc.
The inheritance tax on real estate is getting tougher with each year's revisions, so we need to check the law when the inheritance occurs. The basic interpretation is that when calculating the inheritance tax for undivided heritage, the heirs and inheritance are based on the country of origin of the heir. In addition, when calculating the total amount of inheritance tax, the heirs and inheritance share are based on Japanese law. It is best to check with your tax accountant for details, as it may or may not be related to whether you have lived in Japan.

Next, regarding the repair costs, it will be the condominium that will be paid a fixed amount.
There is a management union to which each owner belongs in the condominium, and through the union, repair expenses for future repairs of the building are funded. If the building age is short, the repair costs will be low, and the repair costs will rise as the building age passes.
https://realestate-kyoto.com/APARTMENTforSale

Of course, even detached houses will be repaired in the future, so repair costs will be incurred when repairing.

Finally, there is the cost of management, but here we will discuss two types of management costs.
The first one is the management fee that is paid to the company that manages the whole common part of the condominium when you own the condominium. The management company entrusted by the management association will maintain the entire building and carry out daily cleaning and other activities. Unlike the cost of repairs, they do not increase from year to year, but if the cost of management increases, there is a possibility of a rate increase.

There are other management costs, for example, if we, Arrows International Realty Corp. manage the building, if the owner uses the building as a holiday home, we may be commissioned to pay a monthly fee. We can handle monthly utility bills and annual property tax payments, whether it's a patrol check of your building or an inquiry from a neighboring resident. If we provide such a service, we will receive a building maintenance fee from the owner.
​
https://www.arrowsrealty.com/vacation-home-management-in-kyoto.html

The above are the maintenance costs if you own the property.
If you would like an individual consultation, please contact us via the website.

When considering the purchase of real estate in Kyoto, are you unsure which is better, a detached house or an apartment? So what are the differences, what are the good and bad points, and what are the things we need to be aware of?

When purchasing real estate in Japan, it is possible to purchase ownership of the land. If you find value in the ownership of land, a detached house is good, and if you value convenience more than ownership of land, there are cases where a good location of a condominium is better.

For example, if you want to own a property in Kyoto, you can own a property near Nanzenji Temple, where you can enjoy the ancient city, or near the Philosophical Road, where you can take a break from the busy life and enjoy a little peace and quiet. Those seeking the spirit of Zen can focus on this kind of location, building on the property, renovating it, or changing it into a house with a livable floor plan.

If you want to buy a property that is easy to live in and has good access from Kyoto Station, there are cases where an apartment is better. It would be nice to have a house in such a location in a detached house, but even if you do, your budget may be higher. In that case, it may be better to choose a condo.

If you value a building, for example, if you own a machiya house in Kyoto or live in a Kyo-machiya house, you're looking for a relatively good location plus a machiya house. Of course there is a budget, so the price of the property, which varies from location to location, the size of the building, and a rough estimate of the cost of renovations.

In the case of a condominium, it is better to focus on the newness of the building, the newness of the interior layout and facilities, and whether the condominium is well managed or not. If you own a condominium, it is better to consider including the ownership cost of real estate because there is a monthly payment of management fee and repair reserve fund to the management association of the condominium.

Tomorrow we'll be discussing the cost of ownership over the future.