Buying a Used Condominium in Japan: Check the Building Management, Not Just the Unit
The condition of the unit is only part of the investment
When buying a used condominium in Japan, buyers often focus on floor area, interior renovations, views and the age of the building. However, owners also bear their share of maintaining common areas such as exterior walls, roofs, corridors, elevators and plumbing systems. The financial and operational condition of the condominium association therefore has a direct connection with future ownership costs.
Read the long-term repair plan, not merely its title
Japan’s Ministry of Land, Infrastructure, Transport and Tourism uses long-term repair planning as an important element of its Condominium Management Plan Certification System. Current certification criteria include a planning period of at least 30 years and at least two major repair projects within the remaining planning period. These standards do not mean that every condominium must have an identical plan, but they provide a useful benchmark for assessing management quality.
Documents buyers should review
- Long-term repair plan and the date of its latest revision
- Balance and monthly amount of the repair reserve fund
- Arrears in management fees and reserve contributions
- History of major renovation projects
- Planned works and possible special assessments
- Management bylaws and recent general meeting minutes
A low monthly reserve contribution is not automatically an advantage. If accumulated reserves are insufficient for planned works, owners may face higher monthly contributions, special assessments or borrowing by the association. Buildings of the same age can also have very different maintenance requirements depending on mechanical parking systems, waterproofing, exterior materials and plumbing configurations.
Management will become even more visible from 2027
MLIT has announced an expansion of the certification framework from April 2027, allowing developers of newly built condominiums to prepare and apply for certification of management plans at the sales stage and subsequently transfer them to the owners’ association.
The practical question is therefore not simply whether a property looks attractive today, but whether its governance and finances can maintain the building for the next 10 or 20 years. Buyers should review the long-term repair plan, meeting minutes and repair history together rather than relying on a single summary document.