Comparing Tokyo, Osaka, Nagoya, and Fukuoka Home Prices: Where Is the Best Place to Buy?

3. Salary-to-home-price ratio (Price-to-Income): Where is the financial burden lowest?

The annual income multiplier 年収倍率 (nenshu bairitsu) indicates how many years of income your family would need to buy a home, excluding food and other expenses. The lower this ratio, the lighter the burden of repaying a bank loan.

1. Tokyo (12x - 15x): Very high financial pressure

The average annual salary for workers in Tokyo is around 4,5 - 6 million yen. With the average price of a new mansion exceeding 100 million yen, the 年収倍率 can rise to more than 15 times. Buying a home in central Tokyo usually requires both spouses to work, with both earning a high income, or requires a large down payment 頭金 (atama-kin).

2. Nagoya (4x - 5x): An ideal financial foundation

Nagoya has the most manageable 年収倍率 among the 4 major metropolitan areas. Thanks to the strong manufacturing industry, including Toyota and its affiliated companies, engineers and factory workers in Aichi earn very good salaries (an average of 4,2 - 5,5 million yen per year). With average home prices of only around 30 - 40 million yen, a Vietnamese household could realistically pay off its home loan within 15–20 years without excessive financial pressure.

3. Osaka (8x - 11x): A balance between income and costs

Salaries in Osaka are equivalent to 85% - 90% of those in Tokyo, while home prices are only 50% - 60% as high. With a 年収倍率 of 8x - 11x, Osaka is an excellent choice for young families who want to enjoy a lively urban lifestyle at a reasonable price.

4. Fukuoka (9x - 14x): Salaries have not kept pace with home-price growth

Although home prices in Fukuoka are still lower than in Tokyo, average salaries in Kyushu are lower than in the Kanto and Kansai regions. Rapid real estate price growth during 2023–2026 has pushed Fukuoka's 年収倍率 close to a high level, placing considerable pressure on local salaried workers.

4. Growth potential and rental yield

If you are considering investment potential or the possibility of reselling in the future, these are the key figures to note as of August 2026:

Tỷ suất sinh lời cho thuê ròng (Net Yield) trung bình:
┌─────────────────────────────────────────┐
│ Tokyo (23 quận):     3,0% - 4,0%/năm    │
│ Osaka:               4,2% - 5,2%/năm    │
│ Nagoya:              5,0% - 6,0%/năm    │
│ Fukuoka:             4,5% - 5,5%/năm    │
└─────────────────────────────────────────┘

• Tokyo: Rental yields are not particularly high because of the expensive initial purchase price. However, Tokyo offers the best price retention, extremely high liquidity, meaning properties can be resold quickly, and steady potential for capital gains over time.
• Osaka: Osaka is benefiting significantly from infrastructure projects, the Osaka Expo, and the development of integrated resorts (IRs). Home-price growth during 2026–2030 is considered highly promising.
• Fukuoka: The Tenjin Big Bang (天神ビッグバン) urban redevelopment project is providing a major boost. Properties near major stations such as Hakata and Tenjin have strong potential for price growth.
• Nagoya: Land prices fluctuate steadily with relatively little speculation, making the city more suitable for long-term home ownership than short-term investment.

5. Where is the best place to buy? Suggestions by profession and settlement plans

There is no single answer that is "right for everyone." The best city for buying a home depends on your work and your family's plans:

Suggestions for IT Engineers, Finance Professionals, and Digital Marketers

• Recommended: Tokyo or Osaka.
• Why: These cities are home to many multinational companies and major technology corporations. Salaries in Tokyo's IT and finance sectors are high enough to support a home loan. To optimize costs, you could buy in areas with convenient transportation, such as Saitama (Omiya, Kawaguchi) or Kanagawa (Kawasaki), and commute to central Tokyo in just 30–40 minutes by train.

Suggestions for Mechanical, Automotive, and Manufacturing Engineers and Factory Technicians

• Recommended: Nagoya (Aichi) or surrounding areas (Mie, Gifu).
• Why: Aichi is Japan's industrial "capital." Jobs in mechanical engineering are plentiful and stable. With reasonable home prices, you can easily buy a detached house 一戸建て (ikkodate) with a spacious parking area for your family.

Suggestions for International Students Switching to a Work Visa, Freelancers, and People in the Service and Tourism Industries

• Recommended: Osaka or Fukuoka.
• Why: These cities offer a warm climate, friendly residents, and a more manageable cost of living. Osaka and Fukuoka have strong commercial, service, restaurant, and tourism sectors. They are ideal environments for Vietnamese people who want to open a restaurant, run a service business, or buy a home to live in while renting out part of it.

Suggestions for Technical Intern Training Program (TITP) / Specified Skilled Worker (Tokutei Ginou) residents who want to settle long-term

• Recommended: The suburbs of Osaka, Nagoya, or Fukuoka.
• Why: If your initial savings are still limited, buying in the suburbs of these cities can give you easier access to smaller loans or allow you to purchase an older reformed house (renovated) for as little as 10 - 20 million yen (~1,6 - 3,3 billion VND).

6. Additional costs and paperwork Vietnamese buyers should remember

In addition to the purchase price, you must prepare additional costs 諸費用 (shohiyo) amounting to approximately 6% – 10% of the property's total value.

Table of additional fees and taxes when buying a home

Important documents Vietnamese buyers need to prepare:

To apply for a home loan 住宅ローン (jutaku ron) and transfer ownership, you will need the following documents in Japanese:

1. 住民票 (juminhyo): Certificate of residence, obtained from the city or ward office 市役所/区役所, showing your full residence-status information.
2. 印鑑登録証明書 (inkan toroku shomeisho): Certificate proving that your personal seal has been officially registered.
3. 源泉徴収票 (gensen chosuhyo): Annual income and withholding-tax statement issued by your employer for the most recent 2–3 years.
4. 課税・納税証明書 (kazei / nozei shomeisho): Certificates issued by the local government proving your tax assessment and full tax payments.
5. Residence card 在留カード (zairyu card) & Passport: People with permanent residency 永住権 (eijuken) can receive the most favorable loan rates from Japanese banks (from just 0,5% - 0,8%/year). If you do not have permanent residency, you may still be able to borrow from certain banks, such as SBJ Bank, Suruga Bank, or Chinese banks, with a down payment 頭金 (atama-kin) of around 10% - 20%.

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Frequently Asked Questions

Q. Can Vietnamese people buy a home in Japan without permanent residency (永住権)?
Yes. Japanese law does not prohibit foreigners from purchasing and owning real estate, including perpetual ownership of both the house and the land. However, obtaining a home loan 住宅ローン (jutaku ron) is more difficult without permanent residency. You will need to prepare more cash, including a down payment of 10% - 20% of the home's value, or work with banks that offer policies for applicants without permanent residency, such as SBJ Bank and Shinsei Bank.

Q. Should I buy a detached house 一戸建て (Ikkodate) or a condominium マンション (Mansion)?
A mansion is suitable for people who prefer living near a station, value security, and do not want to worry about exterior maintenance. However, you will need to pay management fees 管理費 (kanrihi) and a repair reserve fund 修繕積立金 (shuzen tsumitatekin) of approximately 20.000 - 30.000 JPY per month. An Ikkodate, on the other hand, offers more space and private parking without monthly management fees, but self-funded repairs after 10–15 years can be expensive, and these homes are often farther from stations.

Q. Is it safe to buy an older home in Japan? Should I be worried about earthquakes after buying?
It is very safe if you choose a home built according to the newer earthquake-resistance standards 新耐震基準 (shin-taishin kijun), which have applied since June 1981. When buying an older home, you should carefully check the property's renovation history, especially for a mansion, or hire a home-inspection company 住宅診断 (jutaku shindan) before making the purchase.

Q. How much does it cost to maintain a home in Japan each year?
Each year, you must pay the fixed asset tax 固定資産税 (kokassetsanzei) and city planning tax 都市計画税 (toshi keikakuzei), which average approximately 100.000 - 200.000 JPY per year depending on the property's assessed value.

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Conclusion

Choosing whether to buy a home in Tokyo, Osaka, Nagoya, or Fukuoka is not just a matter of comparing prices. More importantly, the city must fit your family's career plans and financial capacity. As of August 2026, if you are looking for financial security and a lower repayment burden, Nagoya and Osaka are the leading candidates. If liquidity, growth potential, and broad career opportunities are your priorities, Tokyo and Fukuoka are ideal destinations.

We hope this detailed article has offered practical insights and given you greater confidence on your journey toward putting down roots and building a life in Japan!

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More reading from OlaChill:

• To stay updated with more useful articles about life, procedures, and personal finance in Japan, visit the OlaChill Blog.
• If you would like to learn more about the process of obtaining a home loan in Japan as a Vietnamese resident, read the in-depth article in our series, Guide to the home-loan application process in Japan.
• Don't forget to visit the OlaChill homepage for the latest cultural, travel, and news updates for the Vietnamese community in Japan!

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