Can Foreign Residents Get a Mortgage in Japan? What Banks Actually Check

2026年9月14日

Can Foreign Residents Get a Mortgage in Japan? What Banks Actually Check

Yes, foreign residents can get a mortgage in Japan. Permanent residence usually opens the widest range of products, but it is not an absolute requirement. Some banks accept non-permanent residents when they meet additional conditions, such as having a Japanese or permanent-resident spouse as guarantor, earning above a stated threshold, working in Japan for a minimum period, or buying in an eligible urban area.

The important question is therefore not simply, “Do I have permanent residence?” It is: Which lender’s published conditions match my residence status, income history, family situation, language ability, and property?

This guide is for workers, self-employed residents, and families considering a home for their own use in Japan. Product conditions cited below were checked against official information available on August 1, 2026.

What you need to know first

Permanent residents generally have more lenders and products to choose from.
A non-permanent resident may still qualify through a spouse-backed application or a specialist product.
Banks examine stable, documentable income—not salary alone.
Car loans, card balances, and installment payments can reduce borrowing capacity.
The property must also pass appraisal; approval of the borrower alone is not enough.

TOC

Permanent residence changes your options, not the whole decision

Permanent residence is a powerful eligibility filter, but it does not guarantee approval.

Many standard mortgages state that foreign applicants must hold permanent-resident or special-permanent-resident status. This includes Flat 35, the long-term fixed-rate mortgage system supported by the Japan Housing Finance Agency. Its published conditions, current as of April 1, 2026, require a foreign applicant to be a permanent resident or special permanent resident.

A permanent resident may also be treated under the same basic application conditions as a Japanese citizen at some private banks. The lender will still examine income, employment, age, existing debt, credit history, health requirements, and the property offered as security.

In practical terms, permanent residence does three things:

increases the number of mortgages you can compare;
reduces the need for a spouse-based exception or specialist product;
may give access to more standard pricing and property-area rules.

It does not remove ordinary credit screening.

Your visa period still matters when permanent residence is not required

Some lenders accept residents without permanent residence, but they may assess whether the applicant has a credible basis for remaining in Japan and repaying a long loan. A mortgage can last 30 or 35 years, while a work-related status of residence has a much shorter period of stay.

There is no single national rule telling every bank how to evaluate this gap. Each lender sets its own credit policy. Expect questions about your time in Japan, renewal history, employment, family ties, and future plans, even when these are not presented as simple pass-or-fail conditions on a product page.

ここがポイント: Japan does not have one universal “foreigner mortgage rule.” National systems set some eligibility conditions, but private banks decide whom they will lend to under each product’s policy.

Three routes are available without permanent residence

A non-permanent resident should begin with products that explicitly allow the application, rather than sending identical applications to many banks.

The official conditions below show how different the available routes can be.

Route 1: Apply with an eligible spouse as guarantor

SBI Shinsei Bank states that an applicant without permanent residence may apply if both of these conditions are met:

the applicant’s spouse is a Japanese citizen or permanent resident;
that spouse becomes the joint guarantor.

A non-permanent resident cannot apply alone under this exception. The bank’s published general conditions also require salaried applicants to have at least ¥3 million in gross annual income from regular or contract employment. Self-employed applicants must have at least two years in business and average annual income of at least ¥3 million after expenses over those two years.

This route may suit a married household where the spouse meets the status requirement. It is not merely an administrative signature. A guarantor can assume serious repayment obligations, so both spouses should understand the contract and obtain professional advice if anything is unclear.

Route 2: Use a mortgage designed for non-permanent residents

Tokyo Star Bank publishes a Star Mortgage specifically for foreign nationals without permanent residence. Its product description dated November 4, 2025 includes the following conditions:

residence in Japan;
ability to read and write Japanese;
age 25 to 65 at application and no older than 75 at final repayment;
at least one year of stable income as a regular employee, or three financial years as a company officer or self-employed person;
gross annual income of at least ¥4 million, or at least ¥3 million for certain regular employees aged 40 or younger;
a property in a major urban area that passes the bank’s appraisal;
attendance at a branch for contract procedures.

The published loan range is ¥5 million to ¥100 million, with terms of one to 35 years. These are application conditions, not a promise of approval. The bank can limit the amount based on income and collateral value.

This example matters because it shows that no permanent residence does not mean no mortgage. It may instead mean stricter income, location, language, or pricing conditions.

Route 3: Consider a lender that accepts Japan residents more broadly

SMBC Trust Bank PRESTIA states that permanent residence is not required for non-Japanese applicants, while its fixed-rate product information requires applicants to reside in Japan and have stable annual income over ¥10 million. PRESTIA also provides English-language mortgage support.

This may be relevant to higher-income applicants who want English assistance, including people who cannot use a spouse-based exception. However, income thresholds, acceptable properties, loan-to-value limits, and other conditions depend on the selected product. Confirm the current product description before planning around it.

Income is judged as a record, not a single number

A high salary helps only when the bank can verify that it is stable and likely to continue.

Banks commonly ask where the income comes from, how long it has continued, and whether Japanese public documents support it. A recent move to a better-paid job may improve household finances while making the employment record shorter. A self-employed applicant may have strong sales but lower taxable income after expenses.

Banks may examine:

gross annual salary and taxable income;
employment type, including regular, contract, or temporary work;
length of service with the current employer;
employer stability and business type;
bonuses and whether they are recurring;
domestic and overseas income;
business history and financial statements for company officers or self-employed applicants;
the spouse’s income when using income aggregation or a pair loan.

Existing debt counts too

Flat 35 provides a useful public example of how total debt is measured. As of April 1, 2026, its maximum total repayment ratio is:

30% of annual income when income is below ¥4 million;
35% of annual income when income is ¥4 million or more.

The calculation includes more than the proposed mortgage. Car loans, education loans, card loans, cash advances, revolving balances, and installment purchases can also count.

Private banks use their own screening methods and may test affordability at an interest rate different from the advertised rate. The Flat 35 ratios should therefore be treated as one published benchmark, not a universal approval formula.

Approval capacity is not a safe household budget

Suppose a household borrows ¥40 million for 35 years with equal monthly principal-and-interest payments and no bonus payments. Approximate monthly repayments would be:

at 1% interest: about ¥113,000;
at 2% interest: about ¥133,000;
at 3% interest: about ¥154,000.

These are illustrative calculations, not current offers. They exclude property tax, condominium management fees, repair reserve contributions, insurance, parking, and maintenance.

A bank may approve an amount that leaves too little room for childcare, travel, visa-related career changes, or an eventual move abroad. Build a household budget independently of the bank’s maximum figure.

The property is part of the mortgage application

A strong applicant can still be declined because the property is difficult to value or resell.

The bank takes a mortgage over the home as security. It therefore checks whether the building and land are acceptable collateral. Common review points include:

legal title and ownership share;
land rights, including freehold or leasehold arrangements;
building age, condition, and compliance;
floor area and intended use;
access to a legally recognized road;
location and local resale demand;
whether any part will be rented or used for business;
the bank’s appraisal compared with the purchase price.

A specialist non-permanent-resident product may be limited to major urban areas. Flat 35 applies its own technical standards to eligible homes. A low purchase price does not automatically make a property easy to finance.

Before paying a non-refundable amount, confirm whether the purchase contract contains an appropriate financing clause, often called a loan contingency or yūshi riyō no tokuyaku. Ask a licensed real-estate professional or lawyer to explain the clause and its deadlines.

Documents to prepare before pre-screening

A consistent document file makes it easier for the lender to understand your application.

The exact list varies, but foreign applicants should expect documents in four groups.

Identity and residence

residence card;
passport;
certificate of residence (jūminhyō), usually without My Number unless specifically requested;
evidence of permanent residence, when applicable;
spouse’s identity and residence documents for a joint application or guarantee.

Employment and income

certificate of withholding tax (gensen chōshūhyō);
residence-tax certificate or tax assessment notice;
employment certificate or employment contract if requested;
recent payslips;
tax returns and business financial statements for self-employed people or company officers.

Tokyo Star Bank’s published checklist, for example, requests the latest withholding certificate and residence-tax evidence from salaried applicants. It asks for longer records from company managers and may request corporate financial statements.

Debts and funds

statements for existing loans;
credit-card installment or revolving-payment details;
bank statements showing the down payment and purchase costs;
evidence explaining transfers or large deposits;
documents for overseas assets or income, with translations if requested.

Property and transaction

property advertisement or sales sheet;
purchase contract and important-matters explanation;
land and building registry records;
floor plans, construction documents, and inspection certificates as required;
cost estimates for construction or renovation.

Names, addresses, and romanization should be consistent across documents. If they are not, explain the difference early instead of waiting for the final review.

Follow the process in the right order

Get an early lending view before making a purchase commitment, but remember that pre-screening is provisional.

A typical sequence is:

Set a household limit. Include ownership costs and a higher-rate scenario, not only the initial mortgage payment.
Shortlist lenders by residence status. Check spouse, income, language, location, and property-use conditions.
Request consultation or pre-screening. Give accurate information about all debts and income sources.
Choose a property that fits the product. Ask whether the location and building type are acceptable.
Review the purchase contract. Confirm the financing-clause deadline and conditions before signing.
Submit the full application. The lender verifies documents and appraises the property.
Sign the loan and security documents. Insurance and final identity checks are normally completed before disbursement.
Complete settlement and registration. Loan funds, the buyer’s cash, ownership transfer, and mortgage registration are coordinated on the closing date.

Do not assume a pre-screening result guarantees final approval. A change of job, new borrowing, an undisclosed debt, or a low property appraisal can change the decision.

Compare the full cost, not just the advertised rate

The lowest headline rate is not necessarily the least expensive or safest loan.

Check all of the following on the same loan amount and term:

floating, fixed-period, or full-term fixed interest;
administrative fee and whether it is a flat amount or percentage;
guarantee fee, if any;
group credit life insurance coverage and added interest;
early-repayment fees;
required salary deposit or account services;
down-payment requirement and maximum loan-to-value ratio;
registration tax, judicial scrivener fees, stamp tax, fire insurance, and other closing costs.

Tokyo Star Bank states that its non-permanent-resident mortgage has no guarantee fee or early-repayment fee, but its Japanese product page lists an administrative fee of 2.2% to 3.3% of the loan amount, tax included. On a ¥40 million loan, that percentage alone would equal ¥880,000 to ¥1.32 million. Confirm which rate applies to your application and whether other charges are added.

Flat 35 also distinguishes loans at or below 90% of the purchase or construction cost from those above 90%; the applicable interest rate can differ. A larger down payment may therefore affect both approval and pricing.

Common mistakes that weaken an application

Most avoidable problems come from applying to the wrong product or presenting an incomplete financial picture.

Treating permanent residence as the only factor

Without permanent residence, begin with lenders that publish a valid route for your situation. With permanent residence, do not ignore income history, debts, age, or property quality.

Hiding small debts

A card balance or installment purchase may seem unrelated to the home, but it can enter the repayment calculation. Inconsistent disclosure can also damage confidence in the application.

Changing jobs during the transaction

A new role may be a good career decision, yet it changes the facts used in screening. Tell the lender before changing employment, compensation, or contract type.

Assuming English support means an English contract

A bank may explain the process in English while legally controlling documents remain in Japanese. Ask which documents are translations for reference and arrange independent advice when necessary.

Signing before understanding the financing deadline

If the application fails after the contract’s contingency period, recovering the deposit may become difficult. The precise result depends on the contract, the buyer’s actions, and Japanese law.

Using every yen for the down payment

Keep cash for closing costs, moving, repairs, furniture, and emergencies. A home purchase can produce expenses before the first regular mortgage payment.

Tax relief is separate from mortgage approval

Passing a bank’s review does not automatically make the borrower eligible for Japan’s home-loan tax credit.

The National Tax Agency states that a qualifying person who begins living in an eligible home during 2026 may claim the housing-loan tax credit under the applicable conditions. The first claim generally requires a tax return; eligible salaried workers may use year-end adjustment in later years.

Requirements depend on the home, occupancy date, income, loan term, and other facts. The NTA also states that interest and installment administration fees are not part of the loan balance eligible for the credit.

Tax rules can change and individual residence or tax circumstances matter. Check the 2026 NTA guidance and consult a qualified tax professional rather than including an estimated credit in an affordability calculation before eligibility is confirmed.

Questions to ask each lender

A short written comparison can reveal major differences before you commit to a property.

Ask:

Does my exact status of residence qualify for this product?
Is permanent residence required before application, contract, or disbursement?
Can I apply alone, or must my spouse be a guarantor or co-borrower?
What employment history and income documents are required?
How is overseas income treated?
Which existing debts enter the repayment calculation?
Is the property’s city, building type, age, or land right eligible?
What down payment and cash costs should I plan for?
Which documents and contract explanations are available in English?
What happens if my visa, employment, or overseas assignment changes after borrowing?

The next practical step is to collect your residence card, latest income evidence, tax documents, debt balances, and available cash figure. Then compare two or three lenders whose published conditions actually fit your case. Do this before choosing a property that only one lender may be willing to finance.

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