We will take you through the real estate sales step-by-step from property valuation, sales and move.
This guide explains procedure of selling a property, type of mediation contract, necessary fees, documents and items.
Move-out, Balance Settlement and Delivery of the Property
The property will be delivered once the remaining balance is settled. The seller needs to make sure that the property will be ready to be delivered by the balance settlement day.
Please make sure to confirm the borders between surrounding properties, to move out, to clear any unnecessary items from the premise and to settle any utilities fees by then.
The procedure from the balance settlement to delivery of the property:
- The final check of the property will be conducted at the premise in presence of both the seller and the buyer.
- A judicial scrivener checks all the necessary documents to apply for ”registration of ownership transfer”.
If there is an existing mortgage such as a housing loan, it is necessary to arrange to pay off the mortgage in a lump sum prior to the balance settlement day.
- The buyer pays the remaining balance to the seller. Once the payment is complete, applications for ownership transfer and disposition of the mortgage will be conducted.(Generally it is delegated to a judicial scrivener.)
- Settling fixed asset taxes and any property management fees (in case the property is an apartment).
The seller is responsible for the payment up to the delivery day. As of the delivery day, the buyer is responsible to pay the prorated amount from that day.
- As soon as the remaining balance is settled, the property (and the keys) is delivered. All the keys such as the main entrance, kitchen door, garage remote, etc. must be delivered to the buyer.
Both parties must sign “the delivery confirmation” note and exchange a copy,which confirms that the process of closing the sales contract is complete. At this time, the management regulations of the apartment, a brochure from the developer at the initial sales, instruction manuals for equipments included such as air conditioning, water heater, kitchen stove, etc. will be handed over to the buyer.
The seller pays the commission fee to the real estate agent and judicial scrivener; and
the sale of the property is complete.
Required items when settling the remaining balance
- Registration certificate
- Jitsuin Officially registered seal(If a foreigner doesn't have one, one can substitute with registered signature.)
- Original copy of seal registration certificate (issued within 3 months)
- Tax certificate
- Agent commission
- Registration fee (Registration of change of residence, registration of mortgage disposition if needed)
- Keys for the property
- Other documents (Management regulations, manuals for the equipment, etc.)