Urgent Sale

2023 2/24

2023-02-24 2023-02-24

Hi everyone!

Today’s property that seller is trying to sell in rush because of financial issue so the price is a cheap vs size.

3 Good Point

・Renovation work is just done

・Lease contract will start on March 1st

・High Yield

One thing you should concern

・About building age

“The new standard for earthquake proofing was established after June 1981, so this property doesn’t meet the new standard.

The legal lifespan of a reinforced concrete structure is 47 years, which is used by banks to calculate loans, but generally, the lifespan is known to be around 100 years.

Here’s one tip about the regulation

To demolish or rebuild a building, 3/4 agreement from the management union, organized by each unit owner, is required. As such, it is unlikely to happen and hard to proceed with such a large repair or demolition. It is not realistic.

In the case of a rebuild, there may be 2 options offered by the management union:

1. Sell your property to them at their offered price.

2. Pay an additional amount of money for purchasing a new unit of the apartment.”

Please check the details below.

Name: Kokusai Plaza Syowa WEST (コクサイプラザ昭和WEST)

Price: 2,200,000 Yen ≒ 16,206 usd

＊Asking price is 2,500,000 Yen

Size: 43.09 sqm ≒ 463 sqf

→ 35 usd/sqf

Address: 広島県呉市焼山中央3-17-1

Google map: https://goo.gl/maps/3wdASNFWY1SreQgGA

Access: 7 mins walk to bus stop and 28 mins ride by bus to Kure station

Structure: Reinforced concrete

Land Rights: Freehold

Number of total units: 24

No.of Floor: 5F

Unit Floor: 3F

Unit Number: 3xx

Built Year: May 1974

Building Management/Maintenance Fee: 6,500 yen/month

Type of unit: 2DK

Size: 43.09 sqm

Balcony: Need to confirm

Facing: Need to confirm

Occupancy: Tenanted

Rent: 40,000 Yen/ Month

(Detail of lease contract)

Japanese female, 32 years old, with her child, Employed

The lease contract has started since March 1st 2023 and it is 2 years renew

Rent guarantor: Yes, it is included in the lease contract

Deposit: 80,000 Yen

(Calculation table)

In the calculation table, you can see the rough total cost of purchasing a property and what kind of expense you need to pay for every month.

I mentioned about our property management in the calculation table. It is 5% of rent and included rent collection, basic tax handling, complaints handling.