Japan Apartment Buildings

[Zeek Collins]

Hello, I recently returned from an internship in the countryside of Japan. I know that everyone talks about the declining value of Japanese Real Estate. However, during my time there, my landlord was living happily near the beach with a big home, a new BMW, and a 36-unit apartment building (3 floors, 12 units per floor). The guy worked at a 7-11 for fun on the weekends. I know that most people are trying to make revenue on their real estate from the sale of the building itself. However, am I crazy to want to just hold onto the building and rent it out until it has no value? Below is my response to common points often brought up when it comes to the apartment building situation.

1. I also know that people are hesitant to buy property because of the aging population of Japan. But, also due to the aging population you have people like my landlord; whose children don't want to inherit the property because they live in a different area of the country.  This means that there are properties in very lucrative areas at a great price but, no buyers. Of course I'd choose a place closer to a train station in a larger city but, I'm not looking to make insane profits. I just want enough stable revenue to pay yearly expenses, hire a property management team, and pay the debt preferably in 5-10 years. I'm 22 the only thing I'm rich in is time.

2. It could just be me but, I know apartment buildings are heavily slept upon. If you buy in an area like Kanagawa, Tokyo, Osaka, Nagoya, or Fukuoka even; I find it very hard to believe that those areas won't find people living there in the next 100 years. it's not nearly as hard to find properties in a good location as we are made to believe. If you do decent research or have traveled to the area the story tells itself. For example, if you're in a place where there's a bunch of old people and most stores are closed past 3 pm that's not the place you want to be.

 3. I know another argument is that people want to live in new properties. Which is fair everyone does. I know I did.  However, if I have a low salary and this building is a little older but has good upkeep, the rent is fair and my landlord is decent. It's a no-brainer what I'm going with. Not to mention my Japanese friends who are in college all have cheap apartments by the college because they don't want to wake up at 5 am for a 2-hour commute to school. Because the colleges rarely have dorms. There will always be a buyer for an older apartment as long as the conditions are decent and the location is right. 

4. Getting Capital: Me personally, I have no clue. I am merely an overly passionate young adult chasing my white whale that is owning an apartment in Japan. 

I am putting this together just in case there is also someone who is as crazy as myself on BiggerPockets who has taken the leap or will take the leap in the future to see later down the line. All comments are appreciated and if my ignorance of the industry annoys you. Please use comedic insults only and I will take into consideration what you have to say.