Why do people buy cheap vacant houses in Japan?

• There are more than 8 million vacant houses in Japan, and there are no restrictions on foreign buyers.
• Foreigners bought them cheaply and renovated them, freeing them from expensive real estate elsewhere.
• Home ownership in Japan, unlike in other countries, is not a path to economic freedom.

Take Kurosawa spent summers in Japan as a child and always dreamed of owning real estate there. He hit it off with Joey Stockermans.

They spent $42,000 buying an empty house in the countryside (known as an “akiya” in Japan) with plans to renovate the space and use it as an Airbnb and personal retreat.

Kurosawa, 33, and Stockermans, 35, pooled their money to make the rough purchase. 1,000 sq ft vacant house This June, in Beppu, a city with a population of 113,000 located in Kyushu, the southernmost tip of Japan’s main island.

Currently, Kurosawa lives in a mobile home in Santa Cruz, California, and Stockermans lives with his parents in Nova Scotia, Canada.

For many people, buying property in more expensive locations, especially California, can be unrealistic, so we’re looking to markets around the world, from Italy to Portugal, where cheap housing is plentiful. There are many people there. Additionally, there is a growing desire to lead a more adventurous life. escape from the problems plaguing one’s home country.

According to Japan, due to population decline, the number of akiya in 2018 reached a record 8.49 million. National housing and land statistical survey. Akiya is causing a “ghost village” problem, but it’s an opportunity for those who want to buy.Furthermore, unlike other countries, Japan has There are no restrictions on foreigners purchasing real estate..

“It’s a perfect storm,” Kurosawa said.

January: Kurosawa & Stockermans released Akiyamartis a website that helps foreigners find and purchase vacant homes in Japan. It’s just the latest tool to help people navigate foreign markets, but many are making the leap without it.

Eric MacAskill, 38, from Canada, previously lived in Bali with his family. Purchased Akiya in Nagano Prefecture in 2021 for $23,600. The purchase was to pursue his lifelong dream of rebuilding a home in rural Japan, he told BI in September. McCaskill and his family plan to live in the home full-time after it is renovated.

Jaya Sarsfield (46 years old) and her wife Chihiro purchased: An abandoned farmhouse in Ibaraki Prefecture was sold for $30,000 in 2019, I have plans to renovate it into my dream family home. They wanted a large tract of land at an affordable price, but thought it wasn’t available in London, they told BI in 2021.

Anton Wurman, a 30-year-old Swedish model, said: Purchase and renovation of real estate in Japan He started this process in 2022 by taking it a step further and converting homes just for Airbnb. worked in America However, it is not necessarily a surefire way to earn an income in Japan.

“Moving to Japan from the U.S. exposes you to a completely different culture and a different real estate market,” says Bethany “Bitsi” Nakamura. Leaving the US and living in an Akinaya in Japan that I got for free.he told BI in July this year. She said home ownership in Japan is “not necessarily the path to economic freedom.”

She added, “In America, homeownership is seen as a ticket to long-term stability, but that’s not the case here.”

It’s good for Mr. Kurosawa and the Stockerman family to make money on their land, but that’s not why they buy land or start Akiyama Mart. Their goal was to spend more time in Japan and show foreigners that homeownership can be achieved with lower barriers to entry.

“I have a lot of friends my age who are frustrated because they can’t buy a house,” Kurosawa said. “For my generation, it’s like waving your hand and saying, ‘Look, there’s another option.’ Unfortunately, this isn’t America, but you can do it without the financial stress of living in America. It’s a really comfortable place to raise a family and live a very high quality of life.”

Have you bought a cheap home in Japan or anywhere else overseas? Business Insider wants to hear from you. Contact reporter Jordan Pandy. jpandy@businessinsider.com.