The truly important way of thinking about "property acquisition" in real estate investment
How do I find a property to invest in real estate?
This is the first question that many people who are interested in real estate investment have. I had the same problem when I first started investing.
The most important thing in real estate investment is not to search for properties on the Internet. The shortest route to success is to build a relationship of trust with the agent who introduces you to the property and become familiar with them.
In this article, based on my own stories of failure and experiences, I will explain in detail how to get a good property.
The success or failure of real estate investment is largely determined by the acquisition of the property.
First of all, I would like to tell you that the success or failure of real estate investment is largely determined at the time of acquiring the property. This is because, although it is possible to make a slight comeback through renovations and leasing (tenants), the acquisition price cannot be changed. Therefore, it is important to focus on buying the property as cheaply as possible.
On the other hand, it is possible to recover even if you cannot buy the property cheaply. The good thing about real estate investment is that time is on your side. Even if you buy a property with a slightly lower yield than the market price, you can cover it with rental income if you hold it for a long time.
I actually acquired a 16-room, all-vacant, state-owned property deal, and experienced a major failure that required significant renovation costs. However, after eight years, the remaining debt was reduced to one-third, and ultimately it was not a loss.
👉 This failure caseHere(Rakumachi Column)
However, the biggest factor for success is "buying cheaply."
The background to my success in achieving high profitability and a strong financial position
As I mentioned in my previous post, I have achieved the following:
👉 Self-introductionHere
Average yield: 20%
Deemed capital ratio: Over 50% (※Deemed capital = Directors' borrowings + Equity capital)
Debt redemption period: 5 years
Average remaining loan term: 6 years
This is the result of our unconventional and unique methods applied in each process of property acquisition, renovation, leasing and management, and financing and financial strategies.
The most important thing is to acquire a property. I have always been particular about "buying significantly cheaper than the market price."
Property search = portal site? Not true.
Many people who are just starting to invest in real estate start looking for properties on portal sites such as Rakumachi, Kenbiya, and at home. However, the truth is that truly good properties do not appear on portal sites. This is because good properties are "sold before they are even listed." Most of the properties listed on portal sites are unsold or priced higher than the market price.
By the way, in the early days of investing, I also searched hard for properties on portal sites. I checked portal sites over and over again from morning to night, and finally I was able to purchase an apartment building near Nakano Station (with a 7.5% yield). I purchased it at the market price at the time, so this property was not a very good one.
Of course, you may be able to find a property with a mispriced listing on a portal site. However, the method of acquiring such a property is first come, first served, and extremely unrepeatable. In other words, there is a limit to relying solely on portal sites.
Income properties acquired in the past two years (all properties disclosed)
Here are 15 income-generating properties that I have acquired in the past two years. The majority of these properties have a yield of 20% or more.
Acquired in September 2023: Apartment 23%
Acquired in September 2023: Apartment 16%
Acquisition in November 2023: Apartment building 20%
Acquired in March 2024: 3 detached houses, 28%
Acquired in March 2024: 2 detached houses, 27%
Acquired in March 2024: Apartment 16%
Acquired in April 2024: Apartment building 21%
Acquired in May 2024: Apartment 21%
Acquired in July 2024: Apartment building 21%
Acquisition in October 2024: Detached house 20%
Acquired in November 2024: Apartment 24%
Acquired in December 2024: Apartment building 32%
Acquisition in March 2025: Detached house 25%
Acquired in May 2025: Apartments and detached houses 26%
Acquired in July 2025: Apartment building 37%
Of these, 10 properties were introduced by real estate agents. Most of these properties would be inundated with bids as soon as they were listed on a portal site.
The yield I present is the "real yield" including renovation costs. It is different from people who only advertise the surface yield.
Good properties come only from people
Most of the properties I have purchased so far have been introduced by real estate agents. I have hardly ever purchased a property through a portal site.
So how do you get those referrals?
it is,
Buy a property once.
and,
Become familiar with the business.
That's all there is to it.
Once you have made a transaction with them, and they think that you are a buyer, you will naturally start to receive valuable non-public information from them next time.
Portal sites are tools for meeting businesses
So, if it is important to have a good relationship with a contractor, how can you build such a relationship? Use a portal site as a starting point to get to know the contractor.
Build relationships so that you can be introduced to other properties, not just the one you inquired about. And once you have made a transaction and built a track record, you will start to receive more excellent property information.
However, when we say getting to know a contractor, it doesn't mean that just any contractor will do.
In my case, I get a lot of referrals from local management companies and property management companies.
Be careful, because some companies are "guides to hell" who only think about their own profits.
Some companies simply republish REINS listings on portal sites. Even if they appear to have a lot of real estate for profit, no matter how much you consult with such companies, you will not get any good information. It is important not to make a mistake in the direction of your efforts.
Furthermore, there are many unscrupulous agents who, in order to obtain brokerage fees, push overpriced properties one after another on people with good attributes, even if the properties are obviously not good. The incident in the past, in which ignorant real estate investors were sold overpriced properties one after another, taking advantage of the fact that they could get loans from Suruga Bank, is still fresh in our memory, resulting in a large number of bankruptcies. There are also unscrupulous agents who sell overpriced, recently built, one-room apartments to consumers who are ignorant about investing.
I have received endless consultations from people who have been persuaded by such companies, been forced to buy one bad property after another, and are now drowning in debt and unable to move forward. Far from leading investors to success in real estate investment, these companies are "guides to hell" that drive investors to ruin. You should never get involved with them.
It is also important not to be seen as a "troublesome person" by the contractor.
If you are seen as a troublesome person by agents, you will not be introduced to good properties. If you introduce a good property, they will definitely buy it, you will not be unkind, you will respond quickly, and you will not ask for troublesome things - these are the people who will be introduced to properties first. Always be aware of building a good relationship with agents.
Real estate investment is all about "connections"
Ultimately, real estate is a people-to-people business. This is true not just in acquiring properties, but also in renovating, leasing, managing, and financing. We will go into more detail on this in another article.
I want to give this advice loud and clear to anyone who is just starting to invest.
Real estate is all about people.
Spend time networking instead of searching online.
lastly
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