How To Check If A Japanese Property Has A Mortgage

Where a mortgage appears on the record

A Japanese property's registration record (登記事項証明書, touki jiko shomeisho) is organized into sections. The descriptive section covers the physical property itself — location, land area, or building structure. The ownership section, 甲区 (kou-ku, "part A"), lists the current registered owner and the chain of past owners. Mortgages and other registered rights are kept separately, in 乙区 (otsu-ku, "part B") — this is the section to check for a mortgage.

A standard mortgage is registered as a 抵当権 (teitoken, "mortgage right"), the lender's registered claim against the property, giving it priority to force a sale and recover the loan if it goes unpaid. A 乙区 entry for one states the lender (抵当権者), the claim amount used when the mortgage was registered (債権額), and the registration date. That claim amount is the figure used to set up the lien, not a live running balance — the registry does not track how much of the loan has since been repaid.

A second type shows up too, especially on properties tied to a business: 根抵当権 (ne-teitoken, "revolving mortgage"), used for a credit line that is drawn down and repaid repeatedly rather than a single fixed loan. It is a separate registration type with its own field names — 根抵当権者 (the lender) and 極度額 (kyokudogaku, "maximum amount," the ceiling the lien secures) instead of 抵当権者 and 債権額 — so a check that only looks for the 抵当権 field names can miss an active 根抵当権 entirely.

What an active mortgage entry actually means

If a 乙区 mortgage entry is still showing as active, the lender's claim has not yet been formally released. In a normal Japanese property sale, an existing mortgage is expected to be discharged as part of closing: the seller (typically working with their bank and a judicial scrivener) files a cancellation, 抹消登記 (masshou touki, "cancellation registration"), usually on the same day funds change hands, paid for out of the sale proceeds or a payoff arranged in advance. Once discharged, the cancellation is entered on the record, so a mortgage that has been properly paid off and released does not remain a live claim against the property for the new owner.

Seeing an active mortgage on a record you check before or during negotiations is not, by itself, a red flag — discharge is normally part of closing itself, not something that has to be done before you make an offer. It only becomes a genuine concern if the seller cannot cover the payoff from the sale proceeds and has no other way to release the lien, which is uncommon. That is a question for the agent or judicial scrivener handling the transaction, not something the registration record alone can answer.

Here is the practical workflow for checking whether a property has a mortgage:

1. Locate the parcel or unit. Confirm the property on the map by address or lot number, the same starting point as any registry check. Our lot number search covers this if you need the underlying parcel.
2. Order the full registration record, not just the ownership extract. The Ownership Matters extract isolates the ownership section for a focused view of the current owner and their registered share; a mortgage entry lives in the separate 乙区 rights section, so if you want to check for mortgages or other liens, request the full record. See How To Order A Japan Property Registration Record In English for the ordering workflow.
3. For a house, check both the land and building records. A mortgage can be registered against the land, the building, or both, so reviewing only one record type can miss it.
4. Read the 乙区 section for both entry types. Look for a standard mortgage entry naming a 抵当権者 (mortgage holder) and 債権額 (claim amount), and separately for a revolving mortgage entry naming a 根抵当権者 and 極度額 (maximum secured amount) — checking only the first can miss an active 根抵当権. If an entry is marked as cancelled, that lien has already been released; if not, it is still active.
5. If you find an active mortgage, ask about discharge timing. Confirm with your agent or the judicial scrivener handling closing that payoff and cancellation are scheduled as part of the transaction, rather than assuming it either way.
6. Order a fresh record close to closing if the timeline is long. The record reflects the registry as of the moment it is issued, so a mortgage status you confirmed months earlier should be rechecked before you rely on it at closing.

The most common mistake is checking only the land record or only the Ownership Matters extract for a house and assuming that covers the whole picture, when a full check means both record types and the 乙区 section specifically. The second most common is treating an active mortgage found early in the process as a deal-breaker, when for most transactions it is simply resolved at closing.

What you need to provide is the property's address or lot number (and the room number for a condo unit). From there:

• Land registration record: ¥1,500
• Building registration record: ¥1,500 (also used for a condo unit's own record)
• Ownership Matters extract: +¥500 per record type ordered (so +¥1,000 if you request it for both a land and a building record), focused on the ownership section — useful for confirming who owns a property, but not a substitute for the full record if you specifically need to check for mortgages
• Official parcel map: +¥500, showing the registered parcel boundary

Both add-ons are included on Pro and Team plans. Documents are delivered by email and stored in your dashboard.

A few honest caveats. The record shows what is registered as of the moment it is issued, so it will not reflect a discharge that is filed after you order it. The claim amount on a mortgage entry is the figure used to register the lien, not the current loan balance, so it can overstate what is actually still owed. And the registration record tells you whether a lien is registered — it does not tell you how or when a seller plans to clear it, which is a logistics question for the people running your closing. Our Japan property due diligence checklist covers where a mortgage check fits alongside the rest of your research.

FAQ

Does every property sale in Japan involve paying off a mortgage? Only if the property has one. Many properties, especially older houses and akiya, have no active mortgage at all. When one exists, discharging it is a routine part of closing, not something unusual.

Can I still buy a property that currently shows an active mortgage? Yes. Seeing an active mortgage while you are researching or negotiating is normal. What matters is that it is formally discharged at or before closing, which is standard practice and typically arranged using the sale proceeds.

Is a cancelled mortgage entry hidden from a buyer once it's paid off? No. A cancelled entry stays visible on the record marked as cancelled rather than being erased, so you can see the history rather than just the current status.

Do I need to read Japanese to check this myself? The record is issued in Japanese with no official English version. Our guide on reading a Japanese property registry explains the sections so you can interpret the 乙区 entries yourself, or you can brief a translator or agent efficiently once you know what to look for.

What if the seller can't pay off the existing mortgage? It is uncommon, but if it comes up, treat it as a question for the agent or judicial scrivener handling the transaction rather than something to resolve from the registration record alone.

Related guides:

• What Is Touki In Japan
• How To Read A Japanese Property Registry
• How To Order A Japan Property Registration Record In English
• How To Check Property Ownership In Japan
• Japan Property Due Diligence Checklist