Buying Property in Japan for Airbnb: Minpaku Rules 2026

Buying Property in Japan for Airbnb: Complete Minpaku Investment Guide

If you’re considering buying property in Japan for Airbnb, you’ll need to navigate a regulatory landscape that has tightened significantly since 2018. Japan’s minpaku (民泊) law governs short-term rentals, and understanding these rules is essential before purchasing any investment property. This guide covers the three licensing paths available, city-specific restrictions, and realistic ROI expectations for 2026.

📅 Last Updated: February 2026

Quick Reference	Details
Standard License Cap	180 days per year
Tokyo Active Listings	16,580+
Tokyo Median Annual Revenue	$36,036
Kyoto Average Daily Rate	$198.93
Management Fees	20-70% of revenue

Can Foreigners Buy Property for Airbnb in Japan?

Yes. Japan allows full freehold property ownership for foreigners regardless of nationality, visa status, or residency. There are no restrictions preventing foreign investors from purchasing property and operating a minpaku business.

However, operating a short-term rental requires government registration, and this is where things get more complex. You’ll need:

A registered property address in Japan
Compliance with national and local minpaku regulations
A notification number displayed on all listings
Either physical presence or a registered Private Lodging Administrator

Non-residents face additional practical considerations. If you cannot be present when guests arrive, you must contract with a registered Private Lodging Administrator to handle check-ins, neighbor issues, and compliance reporting. These management companies typically charge 20-70% of revenue depending on service level.

💡 Important: Buying property in Japan does NOT grant residency or visa rights. You’ll still need to obtain a separate visa through employment, business, marriage, or other qualifying categories.

For a complete overview of the property buying process, see our Complete Guide to Buying Property in Japan.

Understanding Japan’s Minpaku Law (Private Lodging Business Act)

Japan’s Private Lodging Business Act (住宅宿泊事業法), commonly called the minpaku law, took effect in June 2018. Before this, short-term rentals operated in a legal gray area. The law established a national framework while giving local municipalities significant power to impose stricter regulations.

Key National Requirements

Under the Private Lodging Business Act, all minpaku operators must:

Register with local government before listing any property
Obtain a notification number that must be displayed on all online listings
Maintain guest records for 3 years, including passport details for foreign guests
Submit bimonthly reports to local authorities (due by the 15th of February, April, June, August, October, and December)
Install safety equipment including fire extinguishers, smoke detectors, and emergency exit guides
Provide minimum facilities including kitchen, bathroom, toilet, and washstand
Ensure minimum floor space of 3.3 square meters per lodger

The Japan Tourism Agency tracks booking data daily through direct data-sharing agreements with platforms like Airbnb. This isn’t passive monitoring—if the system detects you’ve exceeded limits, this information is shared with local authorities, and your listing calendar may be blocked.

The 180-Day Rule Explained

The most significant restriction under standard minpaku registration is the 180-day annual limit. Under this rule:

Maximum operating days: 180 nights per fiscal year (April 1 to March 31)
Counting method: Each night a guest stays counts as one day, regardless of how many guests
Enforcement: Platform data is shared daily with the Japan Tourism Agency since August 2021
Consequences: Calendar blocking, business improvement orders, suspension up to one year, or criminal sanctions

This 180-day cap fundamentally changes the investment math compared to unrestricted vacation rentals in other countries. At best, you can operate roughly 49% of the year under a standard license.

⚠️ Warning: The 180-day limit is strictly enforced through daily data sharing between platforms and the government. There is no way to circumvent it under a standard minpaku license.

What Happens If You Exceed 180 Days?

Violations of the minpaku law can result in:

Business improvement orders requiring immediate compliance
Suspension of your minpaku license for up to one year
Criminal sanctions for serious or repeated violations
Platform listing removal and calendar blocking

The days when operators could quietly exceed limits are over. Modern enforcement relies on automated data sharing rather than complaint-based investigation.

Three License Types: Buying Property in Japan for Airbnb Options

Understanding the three distinct licensing paths is critical before buying property in Japan for Airbnb. Each has different requirements, limitations, and appropriate use cases.

Option 1: Standard Minpaku License (Private Lodging Business Act)

Best for: Part-time operators, residential properties, testing the market

Feature	Details
Operating days	Maximum 180 per year
Zoning	Residential zones allowed
Minimum stay	None
Registration	Notification to local government
Complexity	Lowest

This is the most accessible option and what most individual investors use. You notify the local government, receive a registration number, and can begin operating. The trade-off is the 180-day cap.

Option 2: Hotel/Ryokan License (Hotel Business Act)

Best for: Commercial operators seeking year-round operation

Feature	Details
Operating days	Unlimited (365 days)
Zoning	Commercial zones only
Minimum stay	None
Registration	Full license application and approval
Complexity	High

A hotel or ryokan license removes the 180-day limitation entirely but requires:

Property in commercial zoning (residential zones typically prohibited)
Compliance with the Hotel Business Act (旅館業法)
Fire safety inspections and approvals
Building code compliance for commercial lodging
Higher insurance requirements

This path makes sense for properties in commercially-zoned tourist areas where year-round operation justifies the additional regulatory burden.

Option 3: Special Zone Minpaku (National Strategic Special Zones)

Best for: Urban operators in designated zones seeking extended operation

Feature	Details
Operating days	Unlimited (365 days)
Zoning	Designated special zones
Minimum stay	2-3 nights minimum
Registration	Application to zone authority
Complexity	Medium

Certain areas including parts of Tokyo and Osaka were designated as National Strategic Special Zones (国家戦略特別区域) with relaxed minpaku rules. However, this option has become less attractive:

⚠️ 2026 Update: Osaka City suspended new applications for tokku (special zone) minpaku starting May 29, 2026, following rising complaints about noise, garbage, and illegal short-term stays. This significantly limits new entry in one of Japan’s most popular tourist destinations.

The minimum stay requirement (typically 2-3 nights) also reduces flexibility compared to standard minpaku.

Which License Path Is Right for You?

The choice depends on your business model and property location:

Minpaku license: Simpler requirements, ideal for part-time operators or testing market viability
Hotel license: Full commercial operation, requires commercial zoning and significant regulatory compliance
Special zone: Was useful in designated urban areas but increasingly restricted

For most foreign investors starting out, the standard minpaku license offers the lowest barrier to entry while you assess the market.

City-Specific Restrictions: Tokyo, Osaka, and Kyoto

Local municipalities can impose regulations stricter than national law. The three major tourist destinations each have distinct approaches.

Tokyo

Tokyo’s 23 special wards have 14,611 minpaku registrations—over 40% of Japan’s 35,246 total. However, restrictions vary significantly by ward:

Shinjuku, Shibuya, Minato: High tourist demand but tight regulations on residential areas
Operating hour restrictions: Some wards limit minpaku to weekends or specific hours
Proximity rules: Restrictions near schools and hospitals in some areas

Tokyo charges an accommodation tax of ¥100-200 per person per night, collected from guests.

For detailed area analysis, see our Tokyo Investment Guide.

Osaka

Osaka historically had one of Japan’s most favorable environments through its special zone designation. That changed in 2026:

Tokku suspension: New special zone minpaku applications suspended since May 2026
Complaints: 399 minpaku-related complaints recorded in fiscal year 2024
Enforcement: Increased inspections and crackdowns on unlicensed operators

Osaka charges an accommodation tax of ¥100-300 per person per night depending on room rate.

For Osaka-specific investment analysis, see our Osaka Investment Guide.

Kyoto

Kyoto takes the strictest approach of major cities, reflecting resident concerns about overtourism:

Residential zone bans: Many residential areas prohibit minpaku entirely
Seasonal restrictions: Some areas limit operation to low-tourism periods
Enforcement: 267 illegal minpaku cases reported last year
Community opposition: Strong neighborhood association pushback against short-term rentals

Despite restrictions, Kyoto achieves the highest average daily rate in Japan at $198.93 with 58.47% occupancy—evidence that compliant operators in good locations can succeed.

For Kyoto-specific investment analysis, see our Kyoto Investment Guide.

Step-by-Step Registration Process

Step 1: Research Local Regulations

Check local municipal ordinances as they may be stricter than national law. Verify the property’s zoning allows minpaku operation. This step alone can save you from a failed investment.

Step 2: Verify Building Permission

For condominiums, confirm the management association rules allow short-term rentals. This is critical—many buildings explicitly prohibit minpaku in their management rules (管理規約).

⚠️ Reddit Reality Check: Many buildings have HOA rules that explicitly prohibit short-term rentals. Always check the management rules before purchasing a condo for Airbnb. This is one of the most common reasons investment plans fail.

Step 3: Prepare Property

Ensure your property has all required facilities:

Kitchen
Bathroom
Toilet
Washstand
Minimum 3.3 square meters per guest floor space

Step 4: Install Safety Equipment

Install mandatory fire safety equipment as required by the Fire Service Act:

Fire extinguishers
Smoke detectors
Emergency lighting
Evacuation route displays in foreign languages

Budget ¥50,000-200,000 for safety equipment installation.

Step 5: Create Required Documentation

Prepare guest-facing materials in foreign languages:

House rules
Neighborhood noise guidelines
Garbage disposal instructions
Emergency contact information
Local area information

Step 6: Submit Notification to Local Government

Register through the Private Lodging System Operating System (online) or at your local government office. Required documentation varies by municipality but typically includes:

Property registration documents
Floor plans
Fire safety equipment certificates
Proof of building permission (for condos)

Step 7: Obtain Notification Number

After approval by local authorities, you’ll receive your official minpaku notification number. This typically takes 2-4 weeks.

Step 8: Register on Platforms

Add your notification number to Airbnb and other booking platforms. Upload verification documents as required. Platforms will not allow bookings without a valid notification number.

Step 9: Arrange Management (If Needed)

If you cannot be present, contract with a registered Private Lodging Administrator to handle:

Guest check-in and check-out
Emergency response
Neighbor complaint handling
Property maintenance
Compliance reporting

Step 10: Begin Operations and Reporting

Start accepting guests. Remember to submit bimonthly reports to local authorities including:

Number of lodgers
Number of lodging days
Guest nationalities

Required Equipment and Safety Standards

Minpaku properties must meet specific safety standards under the Fire Service Act. Required equipment includes:

Equipment	Requirement
Fire extinguisher	One per floor minimum
Smoke detectors	All bedrooms and hallways
Emergency lighting	Required for larger properties
Evacuation route guide	Displayed in guest areas, multiple languages
Emergency contact info	Posted visibly

Total safety equipment costs typically range from ¥50,000-200,000 depending on property size.

Properties accommodating 5+ guests may face additional requirements including automatic fire alarms and sprinkler systems. Check with your local fire department for property-specific requirements.

Property Management Options and Costs

For non-resident owners, property management is not optional—it’s legally required. Management fee structures vary significantly:

Basic Management (20-30% of revenue)

Services include:

Listing optimization and marketing
Booking management
Guest communication
Basic coordination with cleaners

You remain responsible for: Operational costs, cleaning, maintenance, guest issues

Full-Service Management (30% of revenue + operational costs)

Services include:

Everything in basic management
Check-in/check-out coordination
Guest support during stay
Quality control

You remain responsible for: Cleaning costs, maintenance, supplies

Sublease Arrangement (50-70% of revenue)

The management company:

Takes over as the operator
Handles all operations and costs
Pays you a guaranteed percentage of revenue

This offers the lowest involvement but also the lowest returns. Suitable for truly hands-off investors willing to accept reduced profits.

Tax Obligations for Minpaku Operators

Income Tax

Minpaku income is taxable in Japan. For non-residents:

Rental income from Japanese property is subject to Japanese taxation
Tax treaties may provide relief from double taxation
You may need to file Japanese tax returns

Consumption Tax

If your annual turnover exceeds ¥10 million, you become liable for 10% consumption tax. Most small-scale minpaku operators fall below this threshold.

Accommodation Tax

Collected from guests (not an operator cost) but you must collect and remit:

Tokyo: ¥100-200 per person per night
Osaka: ¥100-300 per person per night (varies by room rate)
Kyoto: ¥200-1,000 per person per night (varies by room rate)

Property Tax

Annual property taxes apply regardless of how you use the property:

Fixed Asset Tax: 1.4% of assessed value
City Planning Tax: 0.3% of assessed value (urban areas)

Condominium Building Restrictions

This deserves special emphasis because it’s where many Airbnb investment plans fail.

Many condominium buildings explicitly prohibit short-term rentals in their management rules. Before purchasing any condo for minpaku:

Request the management rules (管理規約) from the seller or management company
Search for short-term rental provisions - look for terms like 民泊, 短期賃貸, or specific prohibitions on stays under 30 days
Check recent general meeting minutes - some buildings have added restrictions recently
Consider whole buildings or detached houses if you want to avoid HOA restrictions entirely

Even if current rules don’t prohibit minpaku, management associations can vote to add restrictions. A single problematic operator can motivate other owners to ban all short-term rentals.

Investment Returns: ROI and Occupancy Data

Market Data by City (2025-2026)

City	Active Listings	Median Annual Revenue	Avg Daily Rate	Occupancy
Tokyo	16,580+	$36,036	Varies by ward	60%
Kyoto	Lower volume	Higher per listing	$198.93	58.47%
Osaka	Mid-volume	Mid-range	Mid-range	Varies

Source: AirROI 2025/2026 data

Tokyo Performance Tiers

Tokyo’s market shows significant variation between average and top performers:

Performance Level	Monthly Revenue	Occupancy
Median	$2,773	~60%
Top 10%	$7,365+	86%+

The gap between median and top performers reflects the importance of location, property quality, and operational excellence.

Realistic ROI Calculation

Given the 180-day cap, here’s a conservative calculation:

Assumptions:

Property purchase: ¥15 million ($100,000)
Acquisition costs: ¥1.5 million (10%)
Furnishing and setup: ¥1 million
Total investment: ¥17.5 million

Revenue (at 180 days with $100/night average):

Gross revenue: $18,000/year
Management fees (30%): -$5,400
Operating costs: -$2,000
Net revenue: $10,600/year

Gross yield: 6.1% (before property taxes and maintenance)

This assumes full utilization of the 180-day cap, which requires strong demand and good operations. Many operators achieve lower occupancy.

Best Areas for Airbnb Investment in Japan

High-Performing Markets

Tokyo central wards: Shinjuku, Shibuya, Minato, Taito offer high demand but tight regulations and expensive property.

Resort destinations: Areas like Hakuba (ski) and Fujikawaguchiko (Mt. Fuji views) command premium rates. Lower overall occupancy but significantly higher daily rates can compensate.

Emerging areas: Secondary cities like Fukuoka and Sapporo offer growing tourism with less regulatory pressure than major destinations.

Factors to Consider

Regulatory environment: Check local restrictions before property hunting
Tourism demand: Consistent visitor flow, not just peak season
Property prices: Balance acquisition cost against revenue potential
Competition: Oversaturated markets compress rates
Management availability: Can you find quality operators locally?

Common Problems and How to Avoid Them

Problem 1: Buying a Condo That Prohibits Minpaku

Prevention: Always verify management rules before purchase. Consider standalone properties to avoid HOA issues entirely.

Problem 2: Underestimating Regulatory Compliance

Prevention: Budget time and money for proper registration. Consider hiring a specialist to handle the notification process.

Problem 3: Poor Location Selection

Prevention: Research specific neighborhoods, not just cities. Demand varies dramatically even within the same ward.

Problem 4: Unrealistic Revenue Expectations

Prevention: Use actual market data, not optimistic projections. Remember the 180-day cap limits maximum revenue potential.

Problem 5: Neighbor Complaints

Prevention: Implement strict house rules, provide clear garbage disposal instructions, and respond quickly to any issues. One bad review from neighbors can derail your operation.

Alternative Strategies: Hotel License and Long-Term Rentals

If the 180-day cap limits your investment thesis, consider alternatives:

Hotel/Ryokan License

Removes the day cap but requires:

Commercial zoning
Higher regulatory compliance
Greater initial investment
More complex operations

This makes sense for larger projects in commercially-zoned tourist areas.

Long-Term Rentals

Standard residential leases avoid minpaku regulations entirely:

No day limits
Simpler operations
More stable income
Lower management costs

Typical yields: 3.44% (Tokyo) to 4.95% (Sapporo). Lower than optimized minpaku but more predictable.

Hybrid Approach

Some investors operate minpaku during high season (using the 180-day allowance strategically) and switch to monthly rentals during off-peak periods. This maximizes the value of the day cap while maintaining year-round income.

FAQ: Airbnb Investment in Japan

Can foreigners legally operate Airbnb in Japan?

Yes, foreigners can legally operate minpaku (short-term rental) businesses in Japan. There are no nationality restrictions on property ownership or minpaku registration. However, you must complete the government registration process and comply with all national and local regulations. Non-residents who cannot be present must contract with a registered Private Lodging Administrator.

What is the 180-day rule for Airbnb in Japan?

The 180-day rule limits standard minpaku operations to a maximum of 180 nights per fiscal year (April 1 to March 31). Each night a guest stays counts as one day. The Japan Tourism Agency tracks this through daily data sharing with platforms like Airbnb. Exceeding the limit can result in license suspension, fines, or criminal sanctions.

How do I register a minpaku business in Japan?

Submit a notification to your local government through the Private Lodging System Operating System (online) or at the local government office. You’ll need property documents, floor plans, proof of safety equipment installation, and building permission (for condos). After approval, you receive a notification number that must be displayed on all listings.

Can I run Airbnb in my Japanese condo?

Only if the building’s management rules allow it. Many condominiums explicitly prohibit short-term rentals in their management rules (管理規約). Always verify the rules before purchasing. Even if currently allowed, management associations can vote to add restrictions, so consider this ongoing risk.

What happens if I exceed the 180-day limit in Japan?

Platforms like Airbnb share booking data daily with the Japan Tourism Agency. If the system detects you’ve exceeded 180 nights, your calendar may be blocked, and local authorities will be notified. Consequences range from business improvement orders to license suspension (up to one year) to criminal sanctions for serious violations.

Official Sources and Resources

Government Sources

Japan Tourism Agency - Minpaku Portal - Official government portal for private lodging business information
Private Lodging Business Act (English Translation) - Official English translation of the minpaku law
Hotel Business Act (English Translation) - For those considering hotel/ryokan licensing

Platform Resources

Airbnb Japan Notification Guide - Platform-specific registration requirements
Airbnb Japan 180-Night Cap FAQ - How nights are counted and enforced

Complete Guide to Buying Property in Japan - Full purchase process overview
Tokyo Investment Guide - Tokyo-specific market analysis
Osaka Investment Guide - Osaka market analysis and special zone information
Kyoto Investment Guide - Kyoto restrictions and opportunities

Final Thoughts

Buying property in Japan for Airbnb can be profitable, but 2026’s regulatory environment demands thorough preparation. The 180-day cap under standard licensing fundamentally limits revenue potential compared to unrestricted markets. The tightening in major cities—particularly Osaka’s suspension of new special zone applications—signals continued regulatory pressure.

Success requires:

Choosing the right licensing path for your situation
Verifying building rules before any condo purchase
Realistic revenue projections accounting for the 180-day limit
Quality management if you’re not physically present
Strict compliance with reporting and safety requirements

For investors willing to navigate these complexities, Japan offers a stable legal environment, growing tourism demand, and professional infrastructure. But this is not a passive investment—it requires active compliance and operational attention.

This guide was last updated in February 2026. Regulations change frequently; verify current rules with official government sources before making investment decisions.