Adjusting to Life in Japan: The Most Challenging Aspects
Welcome to Japan, a land of rich culture, enchanting landscapes, and a highly advanced society. If you're considering spending a year in this country, you might find it both fascinating and challenging. Here, we highlight some of the most difficult adjustments one might face, particularly in terms of the real estate market, money transfers, and online services.
The Real Estate Market in Japan
Living in Japan for an extended period, I've noticed that the real estate market can be quite perplexing, especially for newcomers. Unlike the thriving and ever-growing markets in other countries, the real estate in Japan depreciates over time, meaning your property can rapidly lose value. This can be a significant consideration for those planning to buy or invest in real estate.
Older houses, particularly those built with wooden structures, often face a significant challenge. After 30 years, they can be deemed worthless by the Japanese government, which means homeowners are not only faced with the upkeep of an increasingly outdated property but also the potential for financial loss. The government imposes yearly taxes on these older houses, further adding to the financial burden. While finding a cheaper or abandoned house might seem like a dream come true, the perception of value and the associated liabilities can make owning such property a less attractive option.
My recommendation would be to invest in more modern, well-maintained properties. Investing in a property that has the potential to increase in value can offer a better long-term return. However, for younger or single individuals, the ability to rent out an investment property can be more practical, as the rental market in Japan is generally robust.
The Annoying Yet Inevitable: Money Transfers
Money transfers from foreign bank accounts to Japanese bank accounts are often a nightmare, adding another layer of complexity to living in Japan. The process can be cumbersome and time-consuming, often requiring several steps and considerable patience. Fortunately, there are alternative methods available that can make this process smoother.
Most commonly, residents turn to ATMs or cryptocurrencies for these transfers. Using ATMs is straightforward, but it can be a relatively slow process. If you're willing to wait, cryptocurrencies like Bitcoin or Ethereum can provide a quicker solution, as they bypass many of the traditional banking channels.
Japan has made significant strides in financial technology, making it easy to pay for goods and services using smartphones. However, many retail establishments still predominantly accept cash. It's essential for expats to always have some extra Japanese yen (JPY) on hand, even if they plan to use other payment methods. Cash is king in Japan, and having it can make transactions smoother and faster in situations where digital payments aren't accepted.
Online Services and Rewards in Japan
The online services and rewards systems in Japan operate quite differently from what you might be used to in other countries. While Japan is known for its technological advancement, the digital ecosystem is not without its quirks. Some of the world's most popular brands have different versions tailored to the Japanese market, requiring users to create separate accounts for these services.
For instance, Starbucks has a dedicated membership card for Japan that is separate from the global version. While it might be convenient to use the same rewards card, there is no interoperability with the international system. Similarly, Amazon Japan will not recognize any points or perks accumulated in an overseas Amazon account. The same applies to payment platforms like PayPal, Google Pay, and other similar services. These platforms often require users to have a Japanese account to function properly.
The lack of international compatibility can be frustrating, especially for those who are experienced with using such services in other countries. It's best to set up local accounts and familiarize yourself with the local systems to avoid any inconvenience. By doing so, you can ensure a smooth transition and take full advantage of the services available in Japan.
In conclusion, while Japan offers a myriad of unique opportunities and experiences, it is essential to be prepared for some minor adjustments in the real estate market, the challenges of money transfers, and the different online service systems. By understanding these challenges, you can make a smoother transition and enjoy your stay in this fascinating country.