What are all the property taxes and fees in Osaka?

Authored by the expert who managed and guided the team behind the Japan Property Pack

Yes, the analysis of Osaka's property market is included in our pack

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BAMBOOROUTES

A team specialized in real estate investing in APAC countries (Japan, Thailand, Indonesia, Australia, etc.).

We are a team of financial experts, legal professionals, developers, and local real estate specialists dedicated to helping people like you avoid mistakes when investing in real estate in a foreign place, particularly in Osaka. If you'd like to learn more about us, you can check our presentation page.

Can you walk me through worked examples of all taxes and fees for a ¥40,000,000 condo and a ¥60,000,000 house in Osaka?

Understanding property taxes and fees becomes clearer with concrete examples using real numbers.

For our calculations, we'll use two scenarios: Property A is a ¥40,000,000, 50m² condominium in Osaka City, and Property B is a ¥60,000,000, 90m² detached house also in Osaka City. These examples represent typical residential purchases in Osaka's market as of September 2025.

The assessed value for tax calculations is typically 50-70% of the market price, with Osaka City using approximately 60% as the standard assessment ratio. This means our condo has an assessed value of ¥24,000,000 and our house has an assessed value of ¥36,000,000.

All calculations shown below use current 2025 rates and are based on official Osaka City tax schedules and Japanese national tax laws.

What is the current fixed-asset property tax rate in Osaka City and how much would I pay annually?

Osaka City charges a fixed-asset tax rate of 1.4% on the assessed value of both land and buildings.

The taxable assessed value is calculated by Osaka City assessors and typically ranges from 50% to 70% of the actual market price, with most properties assessed at approximately 60% of their market value. This assessment is conducted every three years, with the next reassessment scheduled for 2027.

For our ¥40,000,000 condo example, the assessed value would be ¥24,000,000 (60% of market price), resulting in an annual fixed-asset tax bill of ¥336,000 (¥24,000,000 × 1.4%). For the ¥60,000,000 detached house, with an assessed value of ¥36,000,000, the annual tax would be ¥504,000 (¥36,000,000 × 1.4%).

It's something we develop in our Japan property pack.

Property tax bills are typically sent in May and can be paid in four quarterly installments throughout the year or as a single annual payment.

What is Osaka City's planning tax rate and where does it apply?

Osaka City imposes a city planning tax at a rate of 0.3% on the same assessed value used for fixed-asset tax calculations.

This tax applies to virtually all urban districts within Osaka City limits, covering almost all residential and commercial land areas. The tax funds urban planning projects, infrastructure development, and city beautification initiatives.

Using our examples, the ¥40,000,000 condo with an assessed value of ¥24,000,000 would incur an annual city planning tax of ¥72,000 (¥24,000,000 × 0.3%). The ¥60,000,000 house with its ¥36,000,000 assessed value would face an annual planning tax of ¥108,000 (¥36,000,000 × 0.3%).

This tax is collected together with the fixed-asset tax on the same billing cycle, so property owners receive a combined annual tax notice covering both charges.

What is the Real Estate Acquisition Tax rate and how much would I pay at purchase?

Osaka Prefecture charges a Real Estate Acquisition Tax of 3% on the assessed value for both residential land and buildings.

This one-time tax is calculated on the assessed value (not the purchase price) and is due within 60 days of property registration. Certain reductions may apply for newer properties or dwellings under specific size thresholds, but most standard residential purchases face the full 3% rate.

For our ¥40,000,000 condo example, with an assessed value of ¥24,000,000, the acquisition tax would be ¥720,000 (¥24,000,000 × 3%). The ¥60,000,000 house, with its ¥36,000,000 assessed value, would incur an acquisition tax of ¥1,080,000 (¥36,000,000 × 3%).

Payment can typically be made in installments if the total amount exceeds ¥300,000, and the tax office will send a payment notice approximately 2-3 months after property registration.

What are the Registration and License Tax rates for property ownership transfer?

Registration tax for ownership transfer is currently set at 2.0% of the assessed value, while mortgage registration tax is 0.4% of the loan amount.

These taxes are paid at the time of property registration through the judicial scrivener handling your transaction. Temporary reduced rates may apply for certain new homes or properties meeting specific criteria, but standard residential purchases typically face the full rates.

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For our condo example, the ownership transfer registration tax would be ¥480,000 (¥24,000,000 × 2.0%). If financing the full purchase amount, mortgage registration would add another ¥160,000 (¥40,000,000 × 0.4%). The house example would face ¥720,000 for ownership transfer (¥36,000,000 × 2.0%) and ¥240,000 for mortgage registration if financing the full ¥60,000,000.

These fees are typically included in your closing costs and paid through your judicial scrivener at the time of property registration.

How much stamp duty is required on purchase contracts and loan agreements?

Stamp duty varies based on the contract value, with specific amounts set by Japanese tax law for different price bands.

For purchase contracts, properties valued between ¥10 million and ¥50 million require ¥30,000 in stamp duty, while contracts between ¥50 million and ¥100 million require ¥60,000. Loan agreements typically require ¥20,000 in stamp duty for loans up to ¥50 million.

Our ¥40,000,000 condo would require ¥30,000 in stamp duty for the purchase contract plus ¥20,000 for the loan agreement, totaling ¥50,000. The ¥60,000,000 house would need ¥60,000 for the purchase contract and ¥20,000 for the loan agreement, totaling ¥80,000.

These stamps must be physically affixed to the contracts before signing, and your real estate agent or judicial scrivener will typically handle the purchase and application of the required stamps.

What are the legal brokerage commission rates and typical fees in Osaka?

Japanese law allows real estate brokers to charge up to 3% of the purchase price plus ¥60,000, with 10% consumption tax added to the total.

Most Osaka real estate agencies charge the maximum allowable rate, making the formula: (purchase price × 3% + ¥60,000) × 1.1 for the total commission including tax. This fee is typically split between the buyer's and seller's agents.

For our ¥40,000,000 condo, the brokerage commission would be ¥1,452,000 [(¥40,000,000 × 3% + ¥60,000) × 1.1]. The ¥60,000,000 house would incur a commission of ¥2,046,000 [(¥60,000,000 × 3% + ¥60,000) × 1.1].

This commission is typically paid at closing, with half due upon contract signing and the remainder upon property transfer completion.

What judicial scrivener and registration fees should I expect in Osaka?

Judicial scrivener fees in Osaka typically range from ¥80,000 to ¥150,000 for condominiums and ¥120,000 to ¥200,000 for detached houses.

The fee variance depends on transaction complexity, the number of registrations required, property location, and whether multiple ownership transfers or mortgage registrations are involved. More complex transactions with multiple parties or unusual ownership structures command higher fees.

Additional out-of-pocket expenses include document preparation costs, travel expenses for property inspections, and official document fees from various government offices, typically adding ¥20,000 to ¥50,000 to the base scrivener fee.

For our examples, expect ¥80,000-¥150,000 for the condo and ¥120,000-¥200,000 for the house, with simpler transactions falling toward the lower end of these ranges.

Most scriveners require half payment upfront and the remainder upon completion of all registrations and document submissions.

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What are typical monthly management and repair fees for Osaka condominiums?

Osaka condominium management fees typically range from ¥150 to ¥350 per square meter monthly, while repair reserve contributions range from ¥100 to ¥250 per square meter monthly.

For our 50m² condo example, monthly management fees would be approximately ¥12,500 (50m² × ¥250/m²), totaling ¥150,000 annually. Repair reserve contributions would be around ¥7,500 monthly (50m² × ¥150/m²), or ¥90,000 annually.

The combined monthly cost for building management and repair reserves would be ¥20,000, totaling ¥240,000 annually. These fees are mandatory for all condominium owners and are collected monthly by the building management company.

Higher fees typically apply to buildings with more amenities, older buildings requiring more maintenance, or buildings with fewer units to share costs among. Luxury buildings with concierge services, gyms, or rooftop facilities may charge premium rates above the typical range.

It's something we develop in our Japan property pack.

What are typical insurance premiums for fire and earthquake coverage in Osaka?

Fire insurance premiums in Osaka typically range from ¥8,000 to ¥20,000 annually for condominiums and ¥15,000 to ¥35,000 for detached houses.

Earthquake insurance, which covers 30-50% of fire insurance coverage limits, costs approximately 30-50% of the fire insurance premium. Multi-year policies offer significant discounts, with 5-year policies typically 10-35% cheaper on an annualized basis.

Most lenders require fire insurance as a condition of mortgage approval, and earthquake insurance is highly recommended given Japan's seismic activity, though not legally mandated.

What bank charges and guarantee fees are standard for Osaka property loans?

Japanese banks typically charge an origination fee of 2.0% of the total loan amount, plus guarantee fees ranging from ¥20,000 to ¥40,000 per million yen borrowed.

For a ¥40,000,000 loan, expect an origination fee of ¥800,000 (2.0% of loan amount), guarantee fees of ¥800,000 (¥20,000 × 40 million), and additional processing fees of approximately ¥50,000. Total upfront costs would be around ¥1,650,000.

Banks also typically add 0.2% to 0.4% to your monthly interest rate to cover ongoing guarantee and administrative costs. Some lenders offer the option to pay guarantee fees upfront or roll them into the monthly payment structure.

Additional costs include property appraisal fees (¥30,000-¥50,000), credit check fees (¥5,000-¥10,000), and mortgage registration taxes calculated separately as discussed earlier.

Foreign buyers may face additional documentation requirements and potentially higher guarantee fees depending on residency status and income verification complexity.

What tax rates apply when renting out or selling Osaka properties?

Rental income taxation depends on your residency status and total income level, with rates ranging from 5% to 45% for income tax plus approximately 10% for inhabitant tax.

For property sales, capital gains tax rates differ significantly based on ownership duration and residency status. Short-term gains (properties held less than 5 years) face combined tax rates up to 39%, while long-term gains (over 5 years) are taxed at 20.315% for residents.

For our rental example of ¥200,000 monthly (¥2,400,000 annually), a Japanese resident in the lowest tax bracket would pay approximately 15% total tax (5% income + 10% inhabitant), netting ¥2,040,000 after taxes. Non-residents face a flat 20.42% withholding tax, netting approximately ¥1,910,000.

For a ¥5,000,000 capital gain after 7 years of ownership, Japanese residents would pay ¥1,015,750 in long-term capital gains tax (20.315%), keeping ¥3,984,250. Non-residents face the same 20.315% rate on long-term gains.

It's something we develop in our Japan property pack.

Conclusion

This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.

Sources

1. PwC Japan Tax Summaries - Individual Other Taxes
2. Osaka Business Investment Center - Setup Guide
3. KPMG Japan Taxation Guide 2024
4. DLA Piper Real World - Japan Recurring Taxation
5. E-Housing Japan - Property Tax Guide
6. RE/MAX Apex - Property Tax Comprehensive Guide
7. Real Estate Japan - Real Estate Tax Guide
8. Osaka Prefecture Official Tax Guide