A historically weak yen has made Japanese real estate look like a discount to dollar-, euro-, and SGD-based buyers — a major driver of the current foreign-demand wave.
What the currency really changes
- Entry discount: the same property costs far less in foreign-currency terms than a decade ago.
- Yield boost: rental income converts favourably back home.
- FX risk on exit: if the yen strengthens, repatriated proceeds shrink.
The currency tailwind is real but cuts both ways. Smart buyers model their returns in both yen and home currency, and avoid treating today’s exchange rate as permanent.
