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Questions are good

Due diligence, due diligence, due diligence

Frequently asked questions

SnowDog Village

As an owner can I let my family and friends stay instead of me?


Absolutely - There is no restriction on the owner allowing friends and family stay as long as there is no advertising - there are no restrictions on use - the owner just doesn’t receive an income whilst it is being used for personal use or by friends and family




How is the view from every side of the project?


The views are amazing and are either to the ski slopes of Niseko Village or to Mount Yotei (a beautiful extinct volcano standing at 2,000m) - there are woods and gardens surrounding as well, depending on where you are looking. It is a very beautiful area, with a very upmarket low-rise villa complex next door that has added to the value of the area.




Does the selling price include the Japanese consumption Tax of 10% and can the owner claim back this tax?


The 10% tax is included in the purchase price. As we are developers and not tax accountants, we recommend getting professional advice with a tax accountant regarding an owner claiming back this tax.




How many apartments are in the whole project?


There are 42 apartments made up of studios, 1-bedroom, 2-bedroom and 3-bedroom apartments some of which are duel keys to maximise returns and usage




How many parking lots are at the project and are they free for the owners?


There are a number of parking lots that are free to use for owners if pre-booked. During the winter season there is a little less space as when clearing the snow we need to put this somewhere.




How large is the building area?


A Block – 575.72m2 - 12 apartments B Block – 405.69m2 - 8 apartments C Block 609.99m2 - 9 apartments




As an owner if their apartment is already booked can they still stay there?


The owner especially in high season will need to pre book in advance as bookings are being made daily, and often a long time in advance (high season runs at 90% occupancy) - if there is room in the development then the person who has rented the room will be moved so the owner can use their own space. If this is not possible and the owner still wants to stay during this time then there may be a fee to move the person who booked the room if it costs Vacation Niseko money to move them.




Is the project pet friendly?


Yes it is pet-friendly (the reason it’s called SnowDog Village) We only allow dogs in the apartment and obviously they need to make sure the pets make no damage. Each owner must produce an up to date passport for their dog as well as passing an obediency test before staying the property.




If the owner prefers to manage their own rental, is it possible?


It is not possible to rent out your apartment on your own as you will need to have a hotel license to do so, and unless you have a Japanese company with the correct licenses then it isn’t possible. Each room has a hotel license so that Vacation Niseko can legally rent this out. I suppose if you wanted to rent it on a yearly basis then this is possible to do separately, however not on a short-term basis under 6 months. This also makes sense so that rental pricing is kept on an equal basis and stops any undercutting which is not good for a development like this




How will the revenue be divided to the owner?


The rental is paid to the owner at the end of the ski season when the lionshare of the income is obtained. Vacation Niseko have an online portal for each owner so they can see live their occupancy levels and generated income.




What are the payment terms?


The project is completed so the buying process is as outlined below 2,000 USD Reservation fee – Fully refundable for 21 days 1. Takes the property off the market 2. Freezes the price 3. Allows time for due diligence & viewing the property if required 10% - Contract signing – payable 21 days after reservation 90% - Transfer of the title deed – between 21 days and 3 months (depending on client)




How is the reservation payment made?


Either through a bank transfer or cheque - a credit card facility will be in place shortly too




What are the details of the project’s facilities?


We have a restaurant called Upashi Seta with 5* TripAdvisor reviews, we have a ski room, a shuttle bus for the winter which takes you to the ski slopes of Niseko Village every 30mins and to Annupuri and Hirafu, as well as a wooded garden and dog run for the summer. Each room is fully fitted with modern kitchens and bathrooms with everything needed to make your holiday home and stay feel like home away from home.




Do you have disaster insurance?


Yes we do and this also includes in the policy earthquake cover.




What is the property made of?


The property is made up of wood, concrete and tiles - with absolutely top class insulation (it follows very strict building regulations, actually higher than the required level and one that is on par with UK regulations)




What type of heating do you have?


We have both underfloor heating at the entrance so that the wet snow gear can dry, and central heating in each room that are excellent and keep the rooms very warm.




Is it possible to get a mortgage?


At the moment in Niseko it is very hard to get a mortgage however some providers in various countries are willing to offer mortgages against properties in their countries to purchase in Niseko – please inquire further to find out where this is possible




Do you have concierge service at SnowDog Village?


Vacation Niseko will act as a concierge service and literally get you anything you want from bus transfers, ski hire, lessons to the best restaurant bookings




What are the owner privileges?


They own an excellent investment that is way below market value. And on top of that we have some great owner offers – enquire below to find out more information




Is the ownership of an apartment at SnowDog Village freehold?


The ownership is Freehold 100% in your own name whether you are a domestic or international buyer. This is also the same if purchasing with a company in Japan or off shore.




What are the management fee costs?


There is a yearly management levies are approximate 1,315 JPY / US$12 per m2 per month. Sinking fund approx 66 JPY / US$0.60 per m2 per month These are approximate figures as each block is slightly diffferent and are paid on a yearly basis in advance. The rental management percentages are as below and taken from rental income: Management fee - 10% of rental income Lettings commission - 20% of rental income Vacation Niseko is the rental management company - https://vacationniseko.com/en




Who manages the property on behalf of the owner?


Vacation Niseko are the rental managers of SnowDog Village. They have a very strong reputation and are excellent at their job. www.vacationniseko.com We also have a General Manager who works on behalf of us and our owners to assist Vacation Niseko in hitting their occupation targets. We would be happy to discuss this in more detail as the rental side of the business is always evolving - please email info@jnwasia.com




I love SnowDog Village so how do I start the purchasing process?


Fantastic - the first step to become part of the JNW family is to contact us directly and we will be in touch to discuss which property best suited your needs. We like to meet or virtually meet all our owners before they purchase as like to keep this as a family. Please fill in this form here and we will be in touch shortly!





Thailand

Can a foreigner own property in Thailand?


Foreigners can own investment real estate in Thailand under foreign freehold and leasehold ownership. Through these two methods foreigners can own the property in their own names registered at the land office. These are the only two forms of investment methods that JNW Properties endorse. There are other methods that are commonly used however may not be 100% within the legal boundaries of property investment in Thailand.




How does freehold foreign ownership of a Thai investment property work?


When purchasing an apartment property under Thai-law, foreigners can own up to 49 percent of the built area of a condominium licensed property on a freehold foreign ownership basis. As a foreigner this enables you to own the property 100% in your own name registered at the land office. Some developers though charge a premium for these ‘foreign quota’ units. The remaining 51 percent of the properties must then be sold to Thai nationals or Thai entities (such as Thai limited companies which some developers set up with Thai partners and shareholders so that foreigners can use this model to purchase - this is not totally legal and should only be used with professional legal advice) The transfer tax is currently 6.6 percent when transferring a freehold foreign ownership.




Is leasehold ownership a safe way to purchase a holiday home in Thailand?


Leasehold ownership is a safe way to purchase your dream home in Thailand. As a foreigner you can lease a condominium or villa for a registered lease term of 30 years which is held at the land office, then with contractual options to renew the lease for multiple subsequent lease terms of 30 years each. This is normally extended by two to three term periods to give 90-120 years. If purchasing a villa, at the moment foreigners by law cannot own the land in their own name, you need to be a Thai national to do this. So one of the safest ways as a foreigner is for a Thai limited company to be set up to own the land and they you can lease the villa which is on the land in the same format as above. The difference with a condominium property is that the building will be registered on completion in accordance with the laws of Thailand relating specifically to condominiums and as such Thai law provides foreigners who acquire units in a condominium with enhanced ownership rights and legal protection. The current condominium law states that 49% of the registrable area of the condominium can be sold directly to foreigners. The remaining 51% of the registerable area of the condominium can be owned through the same leasehold structure as above although this is rare to find.




How do I make my payment for purchasing my Thai real estate investment


It is important to remember that all funds used to purchase an investment property by a foreigner must be remitted to Thailand as foreign currency. A “Foreign Exchange Transaction Form” certificate must be obtained by foreigners for each payment from the beneficiary bank. These must then be shown to the Land Department before the property can be registered. When the foreign funds are sent to Thailand, the purpose of the transfer (to buy a condo, or villa with the address) needs to be stated in the transfer instructions. Those that haveThai baht in a non-resident bank account or have a Thai foreign currency bank account can withdraw money to pay for the real estate. However, a confirmation of the intent to use these funds to buy a property needs to be shown to the Land Department in the form of a withdrawal slip and a bank certificate. These foreign ownership regulations also apply to foreigners with a Thai spouse. Foreigners with Permanent Residency status do not need to transfer funds from overseas.




Do JNW Properties offer legal and tax advice?


No JNW Properties does not offer legal or tax advice. We are not lawyers or accountants and supply all the advice for information purposes only. Our advise will alwasy be that you take professional advice from a Thai law or accountancy firm before purchasing a property and we would be happy to assist in recommending a reputable firm to you.




What are the buying costs for purchasing a Thai condominium or villa through freehold and leasehold ownership?


Freehold Condominium ownership Transactions that involve freehold property, such as land or a freehold condominium, have the following taxes/fees that need to be considered:

  • Transfer registration fees - 2%
  • Withholding tax - 1%
  • Specific Business Tax - 3.3%
  • or Stamp duty - 0.5%
Important note - a transaction that is deemed commercial, such as when the property is registered in a company name or when it has been held in a personal name for less than 5 years, then Specific Business Tax applies, otherwise stamp duty is applicable.

The transfer registration fee ( also known as assessed value) is currently 2% of the land office appraised value of the land or property (the amount the land office values the property at). Often this will be significantly below the actual market value or the agreed purchase price.

Withholding tax is calculated at 1% of either the land office appraised value or purchase price, whichever is higher if the seller is a company. However, if the seller is an individual, then the withholding tax is calculated using a combination of the appraised value, the length of time owned and the progressive personal tax rate.

Specific Business Tax is calculated as 3.3% of either the land office appraised or the purchase price, whichever is higher. Stamp duty is calculated as 0.5% of which is the greater out of the land office appraised value and the purchase price.

So how are these taxes and fees split between the buyer and seller? Normally, the transfer registration fee should be split 50:50 between both parties with the seller liable for the withholding tax as well as either the specific business tax or the stamp duty. Many deals however are agreed on the basis that all the transfer fees and taxes are split equally between buyer and seller. This is all part of the sales and purchase negotiations. Leasehold ownership - 1.1% When purchasing the lease of a plot of land, building, apartment or villa, both stamp duty and a lease registration fee need to be paid. The total value of the lease (i.e. total rental throughout the lease term), is used to calculate the amount of stamp duty at 0.1% and the lease registration fee at 1% that needs to be paid. In Thailand, the seller normally pays the stamp duty and the lease registration fee is then split 50:50 between both parties. These fees are the same if the party involved is a person or a company. The seller of the lease is also subject to tax on any capital gain - see capital gains tax Q&A




Is there capital gains tax in Thailand?


Yes if you are a seller of either leasehold orfreehold property, or own shares in a Thai company, they are all subject to tax on any capital gain. If the seller is:

  1. A person, any capital gain is subject to income tax (rates of 10 to 37%).
  2. Thai company, corporation tax is applicable (rates of 15 to 30%).
  3. Foreign company, the company is subject to 15% withholding tax.

Important Note - foreign buyers of a Thai property need to ensure that they have documentation to confirm that the funds for their purchase were sent in from overseas and in a foreign currency, not Thai baht. The Foreign Exchange Transfer Form (FET) is the official document required as this is the remittance of the foreign currency into Thailand, and the subsequent exchange into Thai baht inside the country. With this documentation to show that foreign currency was sent into Thailand for the purchase, the seller can then later repatriate the same amount of money that they sent in tax free and only the capital gain is subject to income tax.





Japan

What is the type of ownership structure of a property in Japan for a foreigner?


The ownership is Freehold 100% in your own name whether you are a domestic or international buyer. This is also the same if purchasing with a company in Japan or off shore.




Does the selling price include the Japanese consumption Tax of 10% and can the owner claim back this tax?


The 10% tax is included in the purchase price. As we are developers and not tax accountants, we recommend getting professional advice from a tax accountant regarding any claiming back or other matters.




What are the purchase taxes when buying a property in Japan


When purchasing a property in Japan there are a number of taxes that are required to be paid at JNW Properties. We have outlined below what is required as a buyer and seller; however we recommend employing an expert in this before purchasing. Purchase tax

  • Acquisition Costs approximately 2% - 3% of the purchase price. Payable on completion
  • Income tax on rental income generated is 5% - 45%, depending on amount of net rental income
  • Holding costs include Fixed Asset Tax and City Planning Tax which is approximately 0.4 to 0.6% per annum.
Consumption Tax
  • 10% of purchase price - normally included in the sale price however it is becoming more common to not include in the sale price of the property, so be aware of this when purchasing. There are circumstances when it is possible to claim this back but you should get expert advice regarding this.
Capital Gains Tax (on disposition)
  • 30% before the first January after 5 years of ownership
  • 15% from the first January after 5 years of ownership
Check out our free 10-steps to purchasing property in Japan *For further details on tax, please contact the recommended tax advisor




What is the purchase process when investing in Japanese real estate?


Purchasing property is very straightforward in Japan and as foreigners can own 100% freehold in their own name then the only worry is making sure you purchase the right property for you.

  • Select your preferred plot of land, house or apartment
  • Pay a HK$20,000 reservation fee - this freezes the price, takes the property off the market and allows time to complete due diligence
  • Make a 10% down payment upon signing of sales and purchase contract after 14 days
  • Pay the 90% balance within 4-6 weeks
See our guide - 10-steps to purchasing property in Japan





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