Last updated on June 27th, 2023
Airbnb host Japan
If you were ever to visit an East Asian country, you surely wouldn’t want to miss Japan. Millions of tourists every year visit Japan for its cherry blossom trees, anime, and sushi boat restaurants among others. In fact, Airbnb revealed that plenty of tourists have Japan on their wishlists! The top searched destinations in Japan by global travelers in 2022 are Osaka, Tokyo, Shinjuku, Shibuya, and Fukuoka.
But if you are considering starting an Airbnb business, the question is: Is Airbnb legal in Japan?
In this article, we’ll feature the Airbnb rules in Japan and requirements for hosting. Bonus: We also added the top 5 profitable Airbnb cities in Japan for your guide! Continue reading to learn more.
Is Airbnb Legal in Japan?
Yes – Airbnb is legal in Japan! If you’re wondering, “is Airbnb legal in Tokyo or other cities?” – then the answer is also yes. Here is the list of requirements for being an Airbnb host in Japan:
- Register your property & display a license number on the listing.
- Submit a copy of your passport (for foreigners). This is not required for those who have a permanent residency card.
- Local laws and regulations may vary depending on where your property is located. For more information, you can check Japan’s enforcement order.
How to become an Airbnb host in Japan?
Being an Airbnb host in Japan is easy if you are a Japanese national. All you have to do is register your property at the local city hall and report all your guests’ information once every two months. However, it can be a different process for foreigners. Let’s not forget – if you don’t speak Japanese, it can be a major challenge to host an Airbnb in Japan.
Other foreigners who own Airbnbs in Japan had to go through agencies and their local embassy. If you have a few friends in Japan, they may be able to help you communicate with locals and fill out certain forms!
What to Expect When Hosting an Airbnb in Japan?
Some Airbnb Japan rules can be frustrating if you’re a foreigner. As an Airbnb host in Japan, you are capped at 180 days out of a year. But there are also exceptions! You can apply for a Special Zone Private Lodging certificate if your property is located in special zone areas. You will NOT be capped for 180 days a year, but your guests are required to stay a minimum of two nights at a time.
If your property is within the Special Zone areas, this means that your location is mostly visited by tourists. Therefore, it’s considered an important area by the Japanese government! Some parts of Osaka, Tokyo, Niigata, and Kyushu are included in the special zone areas.
At the same time, you can also expect to host various international & local guests from across the world. It can be difficult to converse with Japanese locals, so you might also consider learning their language.
Superhost pro tip: It’s helpful to print a local map for international guests so they can know their way around! This can include the top recommendations for tourist destinations, restaurants, and coffee shops.
How much can I earn to do Airbnb in Japan?
Let’s get to the money talks. How much revenue can you earn by doing Airbnb in Japan? This varies according to your location, property type, and amenities offered among others.
To be more specific, we cited Tokyo as an example. Here’s how much an Airbnb host in Tokyo can earn:
- Airbnb data for Studio-type apartment:
Average daily rate in Tokyo: $76
Occupancy rate in Tokyo: 20%
Annual revenue in Tokyo: $6,590 - Airbnb data for 1-bedroom apartment:
Average daily rate in Tokyo: $71
Occupancy rate in Tokyo: 38%
Annual revenue in Tokyo: $10,935 - Airbnb data for 2-3 bedrooms apartment:
Average daily rate in Tokyo: $115
Occupancy rate in Tokyo: 23%
Annual revenue in Tokyo: $11,164
Top 5 Most Profitable Airbnb Locations in Japan
1. Saitama
- Average Property Price: ¥28,140,000 ($217,674)
- Average Annual Revenue: ¥1,507,743 ($11,663)
- Gross Rental Yield: 5.3%
- Average Daily Rate: ¥9,178 ($71)
- Occupancy Rate: 39%
- Seasonality: 62%
2. Kyoto
- Average Property Price: ¥34,190,000 ($264,473)
- Average Annual Revenue: ¥992,708 ($7,679)
- Gross Rental Yield: 2.9%
- Average Daily Rate: ¥11,376 ($88)
- Occupancy Rate: 22%
- Seasonality: 74%
3. Osaka
- Average Property Price: ¥30,000,000 ($232,062)
- Average Annual Revenue: ¥700, 286 ($5,417)
- Gross Rental Yield: 2.3%
- Average Daily Rate: ¥8,402 ($65)
- Occupancy Rate: 86%
- Seasonality: 74%
4. Nagasaki
- Average Property Price: ¥20,440,000 ($158,111)
- Average Annual Revenue: ¥914,626 ($7,075)
- Gross Rental Yield: 4.4%
- Average Daily Rate: ¥302
- Occupancy Rate: 41%
- Seasonality: 57%
5. Okinawa
- Average Property Price: ¥34,300,000 ($265,324)
- Average Annual Revenue: ¥1,197,093 ($9,260)
- Gross Rental Yield: 3.4%
- Average Daily Rate: ¥9,049 ($70)
- Occupancy Rate: 30%
- Seasonality: 60%
Summary
Now that you have a complete overview of how Airbnb hosts operate in Japan, it’s time to take the business to the next step and make more money! Using an Airbnb analytics tool like Airbtics, you can discover profitable properties and predict your profitability with an Airbnb profit calculator.
This will help you leverage your Airbnb business – no matter which city you choose. By looking at your competitors’ performance, anticipating off-seasons, and knowing your potential revenue – you’re off to a successful start.
Try using an Airbnb income calculator now and stand out among the rest!
