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Buying property in Hiroshima as a foreigner comes with several costs beyond just the purchase price, including registration taxes, acquisition taxes, agent fees, and professional service charges.
We constantly update this blog post with the latest information about property buying costs in Hiroshima so you always have accurate figures.
The good news is that Japan does not impose extra taxes on foreign buyers, so you pay the same rates as Japanese nationals.
And if you're planning to buy a property in this place, you may want to download our pack covering the real estate market in Hiroshima.
Overall, how much extra should I budget on top of the purchase price in Hiroshima in 2026?
How much are total buyer closing costs in Hiroshima in 2026?
As of early 2026, the typical total buyer closing costs in Hiroshima range from 6% to 9% of the purchase price, which means on a JPY 30 million property (roughly USD 190,000 or EUR 163,000) you would pay an extra JPY 1.8 to 2.7 million (USD 11,400 to 17,100 or EUR 9,800 to 14,700) in additional costs.
If you pay cash, have a simple title transfer, and skip optional services, you can get the minimum extra budget in Hiroshima down to around 4% of the purchase price, which translates to about JPY 1.2 million (USD 7,600 or EUR 6,500) on a JPY 30 million home.
However, if you take out a mortgage, need full due diligence with translations, and pay the buyer-side agent fee at the legal cap, you should realistically plan for closing costs up to 12% of the purchase price in Hiroshima, reaching JPY 3.6 million (USD 22,800 or EUR 19,600) on that same property.
The main factors that push your Hiroshima closing costs toward the low or high end include whether you finance with a mortgage (which adds registration, admin, and guarantee fees), how complex the title situation is, and whether you hire your own buyer's agent or rely on the seller's agent.
What's the usual total % of fees and taxes over the purchase price in Hiroshima?
In Hiroshima in 2026, the usual total percentage of fees and taxes over the purchase price lands between 6% and 9% for most residential buyers.
The realistic low-to-high range that covers most standard Hiroshima property transactions spans from about 4% (cash purchases with minimal services) to 12% (mortgage-financed deals with full professional support and agent fees).
Of that total, government taxes typically account for around 2% to 4% of the purchase price in Hiroshima (registration tax, stamp duty, and acquisition tax), while professional service fees make up roughly 3% to 6% (agent commission, judicial scrivener, translation, and mortgage-related costs).
By the way, you will find much more detailed data in our property pack covering the real estate market in Hiroshima.
What costs are always mandatory when buying in Hiroshima in 2026?
As of early 2026, the mandatory costs when buying property in Hiroshima include stamp duty on your sale contract (typically JPY 5,000 to 30,000), registration and license tax for the title transfer (and mortgage registration if you borrow), a judicial scrivener fee to handle the registrations (usually JPY 100,000 to 250,000, or USD 630 to 1,580 / EUR 545 to 1,360), and the real estate acquisition tax billed by Hiroshima Prefecture after closing.
Beyond these required costs, optional but highly recommended expenses in Hiroshima include professional translation or interpreter services if you are not fluent in Japanese (budget JPY 30,000 to 80,000, or USD 190 to 505 / EUR 165 to 435), an independent building inspection especially for older homes, and enhanced title or boundary due diligence if the property has complex rights or rural land issues.
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What taxes do I pay when buying a property in Hiroshima in 2026?
What is the property transfer tax rate in Hiroshima in 2026?
As of early 2026, Japan does not have a single "property transfer tax," but the closest equivalents in Hiroshima are the real estate acquisition tax (3% for residential land and buildings, calculated on assessed values, not market price) and the registration and license tax (generally 2% for land and buildings, with reduced rates like 1.5% for land and 0.3% for qualifying residential buildings when conditions are met).
There are no extra transfer taxes for foreigners buying property in Hiroshima, as Japan applies the same rates to all buyers regardless of nationality or residency status.
Buyers in Hiroshima do not pay consumption tax (Japan's 10% VAT equivalent) on the land itself since land is exempt, but you will pay consumption tax on services like agent fees, scrivener fees, and sometimes on the building portion in certain sale structures.
Stamp duty in Hiroshima applies when you sign the sale contract, with amounts ranging from JPY 5,000 to JPY 30,000 (USD 32 to 190 or EUR 27 to 163) for typical home prices under Japan's current reduced schedule.
Are there tax exemptions or reduced rates for first-time buyers in Hiroshima?
Japan's property tax reliefs are property-based rather than "first-time buyer" focused, but Hiroshima offers substantial benefits for owner-occupiers including acquisition tax relief for qualifying residential land and buildings (with floor area and other conditions) and reduced registration tax rates for self-occupied homes meeting size and timing requirements.
If you buy property through a company instead of as an individual in Hiroshima, the same registration, stamp, and acquisition taxes apply at purchase, but you will face additional corporate compliance costs and different downstream taxation on rental income and capital gains.
There can be tax differences between new-build and resale properties in Hiroshima, particularly because acquisition tax relief conditions and some registration tax reductions have different requirements for new versus existing homes, and consumption tax treatment can vary by transaction structure.
To qualify for housing relief exemptions in Hiroshima, you typically need to meet conditions including floor area thresholds (usually 50 to 240 square meters for residential buildings), self-occupancy requirements, timing deadlines for registration, and sometimes building age or certification standards for existing homes.
We did some research and made this infographic to help you quickly compare rental yields of the major cities in Japan versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you’re planning to invest there.
Which professional fees will I pay as a buyer in Hiroshima in 2026?
How much does a notary or conveyancing lawyer cost in Hiroshima in 2026?
As of early 2026, Japan uses a judicial scrivener (shiho shoshi) rather than a notary for property registrations, and in Hiroshima this typically costs JPY 100,000 to 250,000 (USD 630 to 1,580 or EUR 545 to 1,360) for a standard residential purchase.
Judicial scrivener fees in Hiroshima are generally charged as a flat rate based on the complexity of the transaction rather than a percentage of the property price, though complex cases with multiple parties or unusual rights can push fees higher.
Translation or interpreter services for foreign buyers in Hiroshima typically cost JPY 30,000 to 80,000 (USD 190 to 505 or EUR 165 to 435) for a purchase signing day, with additional charges if you need multiple meetings or full document translation.
A tax advisor is usually optional for straightforward personal purchases in Hiroshima, but if you plan to rent out while non-resident or have a complex situation, budget JPY 50,000 to 150,000 (USD 315 to 950 or EUR 270 to 815) for basic planning and filing guidance.
We have a whole part dedicated to these topics in our our real estate pack about Hiroshima.
What's the typical real estate agent fee in Hiroshima in 2026?
As of early 2026, real estate agent fees in Hiroshima are legally capped and commonly calculated as (price x 3% + JPY 60,000) plus 10% consumption tax for properties above certain thresholds, which on a JPY 30 million home works out to around JPY 1.06 million (USD 6,700 or EUR 5,750).
Whether buyers pay the agent fee in Hiroshima depends on the arrangement: if the seller has the agent, the seller often pays, but if you retain your own buyer-side agent, you may pay, and in dual-representation situations each party may pay their own agent within the cap.
The realistic low-to-high range for agent fees in Hiroshima spans from zero (if you work directly with the seller's agent who gets paid by the seller) up to the full legal cap of roughly 3.3% of the purchase price including consumption tax.
How much do legal checks cost (title, liens, permits) in Hiroshima?
Basic registry and title review costs are often bundled into the scrivener or agent process in Hiroshima, but if you want enhanced due diligence covering rights-of-way, boundaries, or older building compliance, budget JPY 50,000 to 200,000 (USD 315 to 1,265 or EUR 270 to 1,085) depending on complexity.
Property valuation fees in Hiroshima, typically required by lenders if you take a mortgage, usually cost JPY 30,000 to 80,000 (USD 190 to 505 or EUR 165 to 435).
The most critical legal check that you should never skip in Hiroshima is the registry verification to confirm clear ownership and check for any liens, mortgages, or encumbrances that could affect your rights as the new owner.
Buying a property with hidden issues is something we mention in our list of risks and pitfalls people face when buying real estate in Hiroshima.
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What hidden or surprise costs should I watch for in Hiroshima right now?
What are the most common unexpected fees buyers discover in Hiroshima?
The most common unexpected fees buyers discover in Hiroshima include the real estate acquisition tax bill that arrives months after closing (often 1% to 3% of assessed value), property tax proration adjustments at settlement where you reimburse the seller, condo management and repair reserve fees that can reach JPY 15,000 to 35,000 monthly, and extra translation or meeting costs due to language barriers.
While you typically will not inherit the seller's unpaid property taxes as a personal liability in Hiroshima, you can face surprises through settlement adjustments or undisclosed arrears in managed buildings, so treat this as a due diligence checkpoint.
Yes, foreigners do get targeted by scams in Hiroshima, especially with fake "reservation deposits" requested to unofficial accounts, so only pay into accounts verified in the formal transaction chain and work with licensed agents.
Fees that are usually not disclosed upfront by sellers or agents in Hiroshima include the post-closing acquisition tax, condo reserve fund balances or upcoming special assessments, and various mortgage administrative add-ons that only surface during the loan process.
In our property pack covering the property buying process in Hiroshima, we go into details so you can avoid these pitfalls.
Are there extra fees if the property has a tenant in Hiroshima?
If you buy a property with a tenant in Hiroshima, you may face extra fees of JPY 50,000 to 200,000 (USD 315 to 1,265 or EUR 270 to 1,085) for lease transfer administration, tenant deposit handling, and additional legal review of the inherited lease agreement.
When purchasing a tenanted property in Hiroshima, the buyer inherits the existing lease contract with all its terms, meaning you become the new landlord with obligations to honor the rent amount, deposit arrangements, and lease duration that the previous owner agreed to.
Terminating an existing lease immediately after purchase in Hiroshima is generally very difficult because Japan's tenant protection laws are strong, and you would typically need to wait for the lease to expire naturally or negotiate a mutual termination (often involving compensation to the tenant).
A sitting tenant in Hiroshima typically affects the property's market value in two ways: it can lower the price (since owner-occupiers cannot move in immediately) but can also provide stable rental income, making it more attractive to investors depending on the lease terms and rent level.
If you want to optimize your rental strategy, you can read our complete guide on how to buy and rent out in Hiroshima.
We have made this infographic to give you a quick and clear snapshot of the property market in Japan. It highlights key facts like rental prices, yields, and property costs both in city centers and outside, so you can easily compare opportunities. We’ve done some research and also included useful insights about the country’s economy, like GDP, population, and interest rates, to help you understand the bigger picture.
Which fees are negotiable, and who really pays what in Hiroshima?
Which closing costs are negotiable in Hiroshima right now?
In Hiroshima, negotiable closing costs include the real estate agent fee (it is capped by law but not always charged at the maximum), professional fees like scrivener and translation services, and which party pays for minor items like document preparation or pre-handover repairs.
Closing costs that are fixed by law and cannot be negotiated in Hiroshima include stamp duty, registration and license tax, and the real estate acquisition tax, as these are statutory amounts set by the National Tax Agency and Hiroshima Prefecture.
On negotiable fees, buyers in Hiroshima can typically achieve a 10% to 30% reduction on professional service charges by shopping around, and some agents may discount their fee by 0.5% to 1% below the legal cap to win your business.
Can I ask the seller to cover some closing costs in Hiroshima?
In Hiroshima's 2026 market, asking the seller to cover some closing costs is possible but not common, and your success depends heavily on how motivated the seller is and how long the property has been listed.
Sellers in Hiroshima are most commonly willing to cover or credit costs related to needed repairs, agent fee contributions (if they are already paying their own agent), or timing-related adjustments like property tax prorations.
Market conditions that make sellers more likely to accept covering closing costs in Hiroshima include older properties that have sat on the market for months, seller urgency due to relocation or financial needs, and buyer's markets where inventory exceeds demand.
Is price bargaining common in Hiroshima in 2026?
As of early 2026, price bargaining is quite common in Hiroshima, especially for older properties, homes needing renovation, and listings that have been on the market for several months.
Buyers in Hiroshima typically negotiate 3% to 8% below the asking price, which on a JPY 30 million listing could mean a discount of JPY 900,000 to 2.4 million (USD 5,700 to 15,200 or EUR 4,900 to 13,000), with larger discounts more achievable on properties requiring work.
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What monthly, quarterly or annual costs will I pay as an owner in Hiroshima?
What's the realistic monthly owner budget in Hiroshima right now?
A realistic monthly owner budget in Hiroshima (excluding mortgage payments) ranges from JPY 25,000 to 70,000 (USD 160 to 445 or EUR 135 to 380) depending on property type and condition.
The main recurring expense categories in this Hiroshima monthly budget include condo management and repair reserve fees (if applicable), property insurance, utilities if you occupy the home, and a maintenance reserve for repairs and upkeep.
For condos (called "mansions" in Japan), monthly costs in Hiroshima typically range from JPY 15,000 to 35,000 (USD 95 to 220 or EUR 82 to 190) just for management and reserve fees, while detached house owners should set aside JPY 10,000 to 30,000 (USD 63 to 190 or EUR 55 to 165) monthly equivalent for maintenance.
The cost that varies most in Hiroshima is the condo repair reserve fund, which can spike significantly when major building works (roof, exterior, elevators) are scheduled, so always check the reserve balance and upcoming assessment plans before buying.
You can see how this budget affect your gross and rental yields in Hiroshima here.
What is the annual property tax amount in Hiroshima in 2026?
As of early 2026, annual property taxes in Hiroshima consist of the fixed asset tax at 1.4% of the taxable assessed value plus the city planning tax at 0.3% where applicable, typically totaling around 1.7% of assessed value in urban planning areas.
The realistic low-to-high range for annual property taxes in Hiroshima runs from about JPY 50,000 to 300,000 (USD 315 to 1,900 or EUR 270 to 1,630) depending on property size, location, and assessed value, with most owner-occupied homes paying roughly 0.6% to 1.2% of market value per year due to relief provisions.
Property tax in Hiroshima is calculated based on the assessed value (fixed asset tax roll value) set by the city, not the market price, and this assessed value is typically well below what you actually paid for the property.
Exemptions and reductions in Hiroshima include residential land relief (which reduces the taxable land value for small residential plots), new building exemptions for the first few years, and certain reductions for elderly or low-income homeowners in specific circumstances.
We created this infographic to give you a simple idea of how much it costs to buy property in different parts of Japan. As you can see, it breaks down price ranges and property types for popular cities in the country. We hope this makes it easier to explore your options and understand the market.
If I rent it out, what extra taxes and fees apply in Hiroshima in 2026?
What tax rate applies to rental income in Hiroshima in 2026?
As of early 2026, rental income tax rates in Hiroshima depend on your residency status: if you are a non-resident receiving rent from Japan, the payer generally must withhold 20.42% when paying you (with exceptions for tenants renting for their own residence), while residents pay progressive income tax rates based on total income.
Landlords in Hiroshima can deduct many expenses from rental income including property management fees, repairs, depreciation on the building, insurance, and mortgage interest, which can significantly reduce the taxable amount.
After allowable deductions, the effective tax rate for typical landlords in Hiroshima ranges from around 5% to 20% of gross rent for residents (depending on total income bracket), while non-residents often end up with an effective rate near the 20.42% withholding if they do not file to claim deductions.
Foreign property owners who are non-residents do face different treatment in Hiroshima, specifically the 20.42% withholding tax on rent payments, though this can sometimes be reconciled through filing depending on your situation and any applicable tax treaties.
Do I pay tax on short-term rentals in Hiroshima in 2026?
As of early 2026, short-term rental income in Hiroshima is subject to normal income tax (with the 20.42% withholding for non-residents), plus you must comply with the Private Lodging Business Act which caps rentals at 180 days per year, and Hiroshima Prefecture's new accommodation tax takes effect on April 1, 2026.
Short-term rental income is taxed similarly to long-term rental income in Hiroshima (as real estate income), but the operational constraints are much stricter due to the 180-day minpaku limit and the new local accommodation tax that will apply to guest stays starting in spring 2026.
If you want to optimize your rental strategy, you can read our complete guide on how to buy and rent out in Hiroshima.
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If I sell later, what taxes and fees will I pay in Hiroshima in 2026?
What's the total cost of selling as a % of price in Hiroshima in 2026?
As of early 2026, the total cost of selling a property in Hiroshima typically ranges from 4% to 7% of the sale price, not including any capital gains tax on your profit.
The realistic low-to-high percentage range for total selling costs in Hiroshima spans from about 3% (if you sell without an agent and have no mortgage) to 8% or more (with full agent fees, mortgage discharge costs, and professional services).
The specific cost categories that make up selling expenses in Hiroshima include the real estate agent commission (often the largest item), judicial scrivener fees for mortgage discharge registration, minor repairs or staging, and administrative or document preparation fees.
The single largest contributor to selling expenses in Hiroshima is almost always the real estate agent commission, which can reach up to 3% plus JPY 60,000 plus consumption tax, potentially totaling over 3.5% of the sale price.
What capital gains tax applies when selling in Hiroshima in 2026?
As of early 2026, capital gains tax on property sales in Hiroshima is around 20.315% total (including national, local, and reconstruction surtax) if you held the property more than 5 years (long-term), or approximately 39.63% total if you held it 5 years or less (short-term), with the holding period measured as of January 1 of the sale year.
The main exemption to capital gains tax in Hiroshima is the JPY 30 million special deduction available when you sell your primary residence (owner-occupied home), which can eliminate or greatly reduce the tax for many homeowners.
Foreigners do not pay extra capital gains taxes when selling in Hiroshima, but your residency status matters for compliance purposes, and if you are a non-resident seller, the buyer may be required to withhold 10.21% of the sale price (with an exception if the property is under JPY 100 million and the buyer will use it as their own residence).
Capital gain in Hiroshima is calculated as the sale price minus your original purchase price, minus allowable costs like agent fees and improvements, minus depreciation already claimed if you rented it out, with no inflation adjustment in the standard formula.
We made this infographic to show you how property prices in Japan compare to other big cities across the region. It breaks down the average price per square meter in city centers, so you can see how cities stack up. It’s an easy way to spot where you might get the best value for your money. We hope you like it.
What sources have we used to write this blog article?
Whether it's in our blog articles or the market analyses included in our property pack about Hiroshima, we always rely on the strongest methodology we can … and we don't throw out numbers at random.
We also aim to be fully transparent, so below we've listed the authoritative sources we used, and explained how we used them and the methods behind our estimates.
| Source | Why it's authoritative | How we used it |
|---|---|---|
| National Tax Agency (Registration Tax) | Japan's official tax authority setting statutory rates. | We used it to quote the exact registration and mortgage tax rates. We also used it to anchor mandatory closing cost calculations. |
| National Tax Agency (Stamp Duty) | Official guidance listing stamp duty amounts by contract value. | We used it to provide stamp duty yen amounts for typical home purchases. We also used it to explain when stamp duty applies. |
| Hiroshima Prefecture (Acquisition Tax) | The prefecture's official tax page for acquisition tax rules. | We used it to state the 3% residential acquisition tax rate and relief rules. We also used it to explain why this tax arrives after closing. |
| Hiroshima City (Property Tax) | Official city page showing property tax calculation examples. | We used it to confirm the 1.4% fixed asset tax and 0.3% city planning tax rates. We used it to build realistic annual owner cost estimates. |
| MLIT (Brokerage Fee Regulation) | Japan's housing ministry explaining legally capped agent fees. | We used it to support the statement that agent fees are capped by regulation. We used it as the legal backbone for fee calculations. |
| National Tax Agency (Capital Gains) | Official NTA page setting capital gains rates and holding rules. | We used it to give the 15% and 30% national income tax rates. We also used it to explain the JPY 30 million home sale deduction. |
| National Tax Agency (Non-Resident Rent) | Official withholding rule for rental payments to non-residents. | We used it to give the 20.42% withholding rule for non-resident landlords. We used it to shape the rental income tax section. |
| National Tax Agency (Consumption Tax) | Official tax rate page for Japan's consumption tax. | We used it to confirm the standard 10% rate for services. We used it to clarify VAT treatment on property purchases. |
| Hiroshima Prefecture (Accommodation Tax) | Official statement of Hiroshima's new local accommodation tax. | We used it to warn about the new accommodation tax starting April 1, 2026. We used it to ensure our advice matches local timelines. |
| MLIT/Japan Tourism Agency (Minpaku FAQ) | Official government FAQ for private lodging regulations. | We used it to confirm the 180-day-per-year cap for short-term rentals. We used it to explain minpaku constraints for property owners. |
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