This article is part of Zagdim’s wiki series on buying property in Japan. It sets out whether foreign buyers without Japanese residency status can get a loan for a rental property in Japan, and the main conditions attached to that kind of loan. Facts were checked as of October 21, 2026.
Can Foreigners Get a Loan to Buy Rental Property in Japan?
Yes, but it depends on where you live, your nationality or residency status, and the terms of the specific loan product. Japan’s Financial Services Agency (FSA) classifies financing that individuals take out to acquire residential real estate such as apartments or condominiums for investment purposes as “investment real estate financing” (投資用不動産向け融資). Some of these products are open only to holders of specific passports or residency statuses, and some exclude rental use altogether. For a fuller explanation of bank approval, rental cash flow and exit risk, see Before taking out a loan to buy an investment property in Japan, understand bank approval, rental cash flow and exit risk.
A Loan Limited to Hong Kong Residents: Shinsei’s Overseas Investor Loan
One example is Shinsei Investment & Finance’s “Overseas Investor Loan” (海外投資家向けローン). It is limited to non-resident individuals who currently live in Hong Kong and hold either a Hong Kong SAR government passport or a Japanese passport. Applicants who hold only Hong Kong permanent residency, without one of those passports, cannot apply. As shown on the product page as of October 1, 2026, the main conditions are:
- Applicants must be 20 to 70 years old at signing, and no older than 75 at full repayment.
- Salaried applicants must be regular, full-time employees (正社員) with at least 2 years of continuous employment and pre-tax annual income of at least the equivalent of 8 million yen in the most recent year. Self-employed applicants must have operated their business for at least 2 years, with average profit (after expenses) of at least the equivalent of 8 million yen over the past 2 years.
- A Japanese bank account that can be set up for automatic loan repayment must be opened before signing.
- Properties are mainly new or existing sectional condominium units in Tokyo’s 23 wards, the Osaka area, or central Nagoya; some locations in Kanagawa, Saitama and Chiba may be accepted, and other properties require individual inquiry.
- Loan amounts range from 10 million to 500 million yen, in units of 100,000 yen.
- The repayment term is 1 to 20 years (12 to 240 installments).
- As of October 1, 2026, the annual variable interest rate is 3.90%.
- The loan amount cannot exceed 70% of the lender’s assessed collateral value, which is not the same as a percentage of the purchase price.
If a balloon repayment structure (バルーン返済) is used, the monthly payment is calculated as though the loan ran for up to 35 years, but the remaining principal must be paid in full on the final due date. The actual loan term is still capped at 20 years, not 35.
What About Applicants With No Japanese Residency Status?
The product pages reviewed for this article do not state whether applicants who have no Japanese residency status and live outside Japan, for example a Taiwanese passport holder, can apply for every type of investment loan. Shinsei Investment & Finance’s separate “Real Estate Purchase Loan” (不動産購入ローン) lists its foreign-national users as customers who hold permanent residency or an appropriate residency status in Japan, and its stated uses include investment property, a primary residence and a second home. The fact that a product page does not mention a particular residency situation does not necessarily mean a non-resident applicant will be refused; whether a specific application can proceed should be confirmed directly with the lender.
Can You Use Flat 35 or a Standard Home Loan for Rental Property?
Flat 35 (フラット35) cannot be used for a rental property. Some products marketed as “home loans,” however, still list rental property among their permitted uses, so this depends on the specific product’s stated purpose for the funds.
| Product | Can It Be Used for Rental Property? | Other Conditions Found for This Article |
|---|---|---|
| Japan Housing Finance Agency Flat 35 | No. Cannot be used to acquire an investment property that will be rented to a third party. | Foreign-national applicants must also hold permanent resident or special permanent resident status (this requirement applies only to Flat 35). |
| SBJ Bank ANY Home Loan (ANY住宅ローン) | Yes. Covers the purchase, construction and refinancing of rental apartments and rental real estate. | The loan amount cannot exceed 90% of the property’s purchase price. |
| Sumitomo Mitsui Trust Bank Apartment Loan (アパートローン) | Yes. Covers construction, purchase, extension, renovation, remodeling and refinancing of rental real estate. | Loan amount ranges from 1 million to 300 million yen. The term is generally 1 to 35 years, but is also limited by the remaining term on any loan being refinanced and by the building’s statutory useful life; a refinance term cannot exceed the remaining term of the original loan. |
Whether these lenders accept foreign non-resident applicants is a separate question that depends on each product’s own eligibility rules.
What Should You Check Next?
Start by confirming whether your passport and country of residence meet the user eligibility rules of the product you are considering, then compare income thresholds, age limits, eligible property locations, loan amount, repayment term and the collateral valuation ratio. For how an investment property loan differs from a home loan, and how rental cash flow is calculated, see What is the difference between an investment property loan and a home loan in Japan? Rates, LTV and underwriting logic and Can rental income support a Japan mortgage? How to calculate cash flow, vacancy and management fees.
Frequently Asked Questions
Can I apply for Shinsei’s Overseas Investor Loan with only Hong Kong permanent residency and no HKSAR passport?
No. This loan is limited to non-resident individuals who currently live in Hong Kong and hold either a Hong Kong SAR government passport or a Japanese passport. Applicants who hold only permanent residency, without one of those passports, are not accepted.
Can Shinsei’s Overseas Investor Loan be repaid over 35 years?
No. The repayment term is 1 to 20 years. With a balloon repayment structure, the monthly payment is calculated as though the loan ran for up to 35 years, but the remaining principal must be paid off in full on the final due date.
How can applicants without Japanese residency status tell whether they qualify for a rental property loan?
First check whether the product’s stated user eligibility covers your country of residence and status, then compare age, income, eligible property locations, loan amount and repayment term. The Shinsei Real Estate Purchase Loan page reviewed for this article does not state whether applicants with no Japanese residency status, living outside Japan, can apply.
Can Flat 35 be used to buy a rental property?
No. Flat 35 cannot be used to acquire an investment property that will be rented to a third party.
About This Data
Facts in this article were checked as of October 21, 2026. The eligibility, interest rate and terms for Shinsei’s Overseas Investor Loan reflect that company’s product page as displayed on October 1, 2026; other products are based on their current published terms. Interest rates, loan amounts and terms may change after that date. The 70% figure for Shinsei’s Overseas Investor Loan is a ratio against the lender’s assessed collateral value, not against the purchase price, and the 35-year balloon repayment figure applies only to how the monthly installment is calculated. Whether a Taiwan-based applicant with no Japanese residency status can apply for Shinsei’s Real Estate Purchase Loan is not addressed on the product page and is not inferred in this article. Different lenders apply different eligibility rules to foreign nationals or non-residents; the examples listed here are illustrative, not an exhaustive list, and this article does not cover every lender’s full underwriting criteria.
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Sources
- Financial Services Agency (FSA), Japan – 投資用不動産向け融資に関するアンケート調査結果について (survey results on financing for investment real estate)
- Shinsei Investment & Finance – 海外投資家向けローン (Overseas Investor Loan)
- Shinsei Investment & Finance – 不動産購入ローン (Real Estate Purchase Loan)
- Japan Housing Finance Agency – 【フラット３５】ご利用条件 (Flat 35 eligibility conditions)
- SBJ Bank – ANY 住宅ローン 商品概要説明書 (ANY Home Loan product summary)
- Sumitomo Mitsui Trust Bank – smtb-apartment (PDF, Apartment Loan product summary)
Important Notice
This article is a general information summary and does not constitute loan, tax or legal advice for any individual case. Facts were checked as of October 21, 2026. Rules and financial product terms in Japan may be updated; refer to the current announcements of the relevant institutions and regulators, and consult a qualified professional for your own situation.
