Making use of Kominka (Old Private Houses)

In Japan, where the population has been concentrated in metropolitan areas, the revitalization of rural areas is one of the most important policies.The goal is to restore vitality to rural areas where the population is declining and aging.In this context, the use of old houses remaining in rural areas has the potential to improve their attractiveness as tourism resources, revitalize local communities, and even promote immigration.There are also concerns about public safety due to the increasing number of vacant houses, and some municipalities are actively disclosing information and promoting the use of vacant houses.

This is also an attractive option for foreign investors seeking to manage lodging facilities.However, there are several points to keep in mind when purchasing an old private house.

1. carefully check the condition of the old private house

Many old private houses are older and may be in a dilapidated state.Before purchasing a property, it is important to have a professional building evaluation to thoroughly assess its earthquake resistance and the need for repairs.

2. understand the characteristics of the local community

When utilizing an old private house, it is important to respect the local culture, customs, and interaction with the local residents.Establishing a good relationship with local residents will help the project proceed smoothly.

3. check the legal regulations

When renovating or changing the use of an old private house, it is necessary to comply with relevant laws and regulations such as the Building Standards Law and the Urban Planning Law.Consult with the local government office in advance to confirm the necessary procedures. 

4.Clarify the business plan

It is important to develop a concrete business plan for how the old private house will be utilized.Consider developing businesses that match the characteristics of the area, such as accommodations, restaurants, experience facilities, etc.

5. Make a solid financial plan

It is necessary to make a financial plan from a long-term perspective, not only for the purchase of the old house, but also for renovation, maintenance, and business operation costs.

6. Get support from experts

Various procedures and expertise are required from the purchase of an old private home to the operation of the business.It is recommended that you seek support from a real estate agent, architect, administrative scrivener, lawyer, tax accountant, or other trusted professional.

7. Be aware of local contributions

Be proactive in your efforts to contribute to the local community through your business, such as revitalizing the local economy and creating jobs.

Japan’s policy of revitalizing rural areas offers great opportunities for foreign investors.We look forward to contributing to and developing together with local communities through businesses that utilize old private homes.