A view of Umi Jigoku of Beppu Jigokumeguri, Beppu, Oita prefecture, Japan

Beppu, Oita: Japan's Onsen Capital with Low Prices and Tourist Demand

A definitive guide to Beppu, Oita – explore Japan’s famous onsen town, affordable property market, tourism demand, lifestyle, and real estate opportunities.

目次

  1. Area Overview

  2. Atmosphere and Vibe

  3. Tourist and Local Destinations

  4. Livability

  5. Real Estate Information

  6. Other Information

Beppu is a renowned hot-spring resort and a unique real-estate market. Surrounded by the mountains and facing the Beppu Bay, this city with a permanent population of ca. 110,000 is distinguished with a year-round tourism demand.

The local hot springs, Beppu Onsen, comprise the eight hot-spring areas known as Beppu Hatto. With the total number of hot-spring sources of 2800 and a prodution of over 100,000 liters of hot-spring water per minute, Oita prefecture is at the first place in Japan both by the number of hot-spring sources and by the production of hot-spring water.

The number of tourists in 2024 is estimated to be 7,080,000, including 2,560,000 overnight visitors. In 2024, the number of foreign tourists reached 451,894, increasing by 60.5% compared to the previous year. Meanwhile, the price of real estates is significantly lower than in the big cities and luxury resorts of Japan. Altogether, the high tourism demand and the availability of price categories make Beppu an attractive choice for both tourists and real estate investors.

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Area Overview

Beppu is a city in the Oita prefecture on the eastern coast of Kyushu facing Beppu bay. The city is relatively small and varied in terms of topography. The urban area is mostly located along the coastal area rising rapidly into the mountains. Some of the Beppu area hotels and residences are located on the hills offering magnificent views of Beppu bay.

The Beppu Station is the hub of the transportation network with services provided by the JR Nippo Main Line. From the Beppu Station one can reach Oita city within 15 minutes and Hakata within approximately 2 hours. Beppu is also easily accessible via airplane with a local Oita airport being only 45 minutes from the city.

The most convenient way to reach Beppu from Tokyo, Osaka, Nagoya, and other big cities is by airplane. Direct flights are available from the major cities, and Beppu is connected to other cities in Kyushu via trains.

Key Areas

The Beppu Station and the Central Beppu are the key areas for both tourists and local residents due to a wide variety of dining, shopping, hot-spring baths, and transportation facilities.

Kitahama is the area located along the coast facing the bay and is one of the major hotel and tourism district of Beppu offering sea views and a convenient location near the Beppu Station. Another popular area is Kamegawa located to the north of Beppu also offering hot-spring resorts but with an additional opportunity to enjoy the beaches.

Kannawa is famous for the unique atmosphere of hot-air vents, traditional bathhouses and numerous restaurants providing great insight into the local Beppu onsen culture. Myoban is a mountainous area also offering hot-spring resorts but with more focus on the sulfur springs.

The area of Kankaiji and Horita offer a more residential and natural scenery with magnificent views of the mountains and sea attracting both local residents and some tourists. Myoban, Kankaiji and Horita are good examples of hilly onsen areas which provide more private and resort-like experiences.

Atmosphere and Vibe

While Karuizawa, an alpine resort, and some of the Okinawa islands might be considered more scenic and luxurious options in Japan, Beppu offers a unique and authentic experience both for tourists and local residents.

The local culture and lifestyle are closely intertwined with the hot-spring traditions. Even though some ryokans offer high-end experiences, they are generally fairly affordable and serve as an essential part of the local culture. According to the Oita tourism website, Beppu Onsen is the central area of Beppu with a number of communal bathhouses.

During the day, the city has a mix of tourism-related activity and a local pace. While the local attractions draw a significant number of tourists, the residents continue to enjoy their daily lives. The local areas along the coast and shopping district remain the most busy, while the areas in the mountains offer a more laid-back experience.

During the evenings, the atmosphere changes dramatically, becoming much calmer than one might expect in a resort city. The areas around the Beppu Station and Kitahama transform into an entertainment district with a number of restaurants and bars to choose from. Other areas such as Kannawa offer a more authentic and local experience with less emphasis on tourism.

If one is looking for a more vibrant nightlife, Fukuoka might be a better choice, while Beppu offers an authentic local flavor with an opportunity to enjoy the traditional Japanese cuisine and hot-spring baths.

Tourist and Local Destinations

The hot-spring culture is at the core of Beppu’s tourism, but the city offers a variety of attractions for both residents and visitors. The major attraction is Beppu Onsen which comprises the eight hot-spring areas of Beppu Hatto. Beppu’s hot-spring areas are diverse in terms of their appeal and provide a wide range of experiences from family-friendly to more extreme adventures. According to the Japan National Tourism Organization, Beppu is “the biggest hot-spring resort in western Japan”, which boasts “almost 3000 hot-spring sources”. From the perspective of real-estate investment, the hot-spring tourism is crucial for Beppu as an attraction to draw both local and foreign visitors.

Jigoku Meguri

The Jigoku Meguri or the Hells of Beppu is another popular tourist destination offering a unique geographical spectacle. Although the area is too hot for a bath, the range of colors of the ground and the steam rising from the rocks provide a unique experience.

View of Jigoku Meguri in Beppu
Source: Beppu Tourism Website

Kannawa Onsen

The Kannawa Onsen is ideal for experiencing the local steamy atmosphere of Beppu. The area offers a wide range of traditional bathhouses, ryokan, and restaurants. One of the local specialties of Kannawa is jigoku-mushi, a local dish cooked with the help of natural steam vents.

Myoban Onsen

Myoban Onsen is another local hot-spring area, this time located on higher grounds offering spectacular views over Beppu bay. Myoban is famous for its yunohana huts which produce salts from hot-spring steam, as well as a variety of mud treatments and sulfur baths.

The Beppu Beach Sand Bath

The Beppu Beach Sand Bath is a popular tourist spot offering traditional Japanese sand-bath experience heated with natural geothermal resources.

Beppu Park

The Beppu Park is the central parkland area offering an opportunity to enjoy the local nature, including walking trails, exercise equipment, and holding events.

Beppu Ropeway and Mount Tsurumi

The Mount Tsurumi offers spectacular views over Beppu city and surrounding mountains and is accessible from the Beppu Ropeway, a local transportation infrastructure to reach the top without spending too much time hiking.

Livability

One of the main advantages of Beppu is that it is not just a tourist destination, but a city with a population of 110,000 residents. Beppu offers a variety of supermarkets, healthcare, education, shopping, and transportation facilities making the city a comfortable place to live.

University Town

One of the most notable institutions in Beppu is the Ritsumeikan Asia Pacific University (APU), a local international business school which significantly contributes to the economy and culture of Beppu. From the real estate perspective, a university represents an opportunity for long-term rental agreements with students and faculty members. APU provides a unique opportunity to offer more diverse accommodations compared to traditional hot-spring related businesses.

Healthcare

Beppu is home to a variety of local hospitals providing healthcare services for the population of Beppu and the surrounding areas. Altogether, such an essential infrastructure makes Beppu a favorable place to live compared to other hot-spring resorts which might lack fundamental services.

Transportation

For someone residing in the central part of Beppu, a car is not obligatory as Beppu station provides access to local train connections, and buses are available to reach other areas of interest. At the same time, transportation is a crucial consideration for anyone planning to move outside of the city into the hills or valleys. For instance, a car might be necessary due to difficult terrain or lack of local transportation means. Such a case might concern buying an older property or a large-scale villa with less developed access.

Climate

As a southern prefecture, Oita has a more mild climate compared to the central and northern parts of Japan. While the winters are generally warm, the nights in the mountainous areas might be cold, and summers are hot and humid. The rainfalls can be heavy, and Kyushu, in general, is more subject to extreme weather such as typhoon flooding. Therefore, it might be worth considering the drainage and other moisture-related aspects of the future housing site or building.

Real Estate: Rent and Property Information

Beppu offers a wide range of opportunities both for buyers and renters, compared to other large cities or resort areas such as Karuizawa. Beppu provides an excellent opportunity for purchase at a relatively low price level compared to Tokyo, Osaka, and other Japanese cities. However, it should be noted that in demand areas, new developments, housing with wonderful ocean views, and those located in popular hospitality clusters, prices may be significantly higher. At the same time, the opportunity to buy in Beppu is generally much more cost-effective.

Rental Market

The following prices per month can be rented for a property located within a 15-minute walk from the following stations:

StationIndicative Monthly Rent
Beppu Station¥39,000–¥61,000
Higashi-Beppu Station¥38,000–¥57,000
Beppu Daigaku Station¥32,000–¥46,000
Kamegawa Station¥34,000–¥56,000

In comparison with other large cities, Beppu’s rental prices are relatively low. For an investor’s budget, Beppu is a great option to rent out a property to cover costs and make a profit.

Property Price

In turn, prices in Beppu for the secondary market are also quite favorable. According to SUUMO’s 2026 data, resale condos near Beppu Station start from ¥15.32 million and end at ¥27.12 million. At the same time, detached houses near Kamegawa Station start from ¥10.35 million and end at ¥23.55 million. It should also be noted that these prices are for advertising, not realizing prices.

In addition, Beppu has many different types of real estate, from older properties that require renovation to high-class condos with beautiful views of the harbor.

Land Price

Notably, land prices in Beppu vary significantly. According to Beppu City’s Land Price Announcement, the price of land in Aoyama (suburb) starts from ¥72,600 per square meter, in Kamegawa (suburb) – from ¥48,100 per square meter, while in the more remote village of Minamitateishi – only from ¥25,300 per square meter.

Rental Yield Potential

Thanks to the fairly low cost of real estate, Beppu can be a great option for an investor who wants to rent out a property in the Beppu area. Beppu offers a diverse range of potential renters, such as:

  • Tourists
  • Overnight domestic visitors
  • Overnight foreign visitors
  • Students
  • Local residents
  • Hospitality sector workers
  • Long-term residents and retirees

Thus, the demand for both long-term and short-term rentals in Beppu remains relatively high throughout the year. Even a small condo near Beppu Station will be able to provide regular renters throughout the year. In addition, a well-furnished traditional-style house in one of the local attractions may be in demand among local people as a rental. At the same time, it must be borne in mind that the management of such a business is subject to local licensing and municipal laws.

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Other Information

The tourism demand to Beppu is well illustrated by the fact that the city welcomed more than 7 million visitors in 2024, including more than 2.5 million overnight visitors. At the same time, 451,894 foreign visitors arrived in Beppu, of which 335,286 were overnight visitors. In addition, it is worth noting that foreign tourism demand is growing rapidly – in 2024, foreign visitors increased by 60.5% compared to 2023 and increased four times compared to China. The growing number of foreign tourists will have a positive impact on the demand for both long-term and short-term rentals.

Foreign Ownership

It should be noted that a foreigner who wants to buy real estate in Japan does not need to have citizenship or permanent residency in Japan, but, however, owning real estate in Japan does not give you a visa to stay in the country.

Short Term Rentals

In turn, if you are planning to rent out your property on a short-term basis as a tourist accommodation, be sure to research and understand the local hospitality laws. In particular, there are specific rules and regulations in Japan regarding short-term rentals. Notably, Beppu is a popular tourist destination and has a vibrant hospitality sector that may have specific requirements and regulations.

Onsen Rights & Hot Spring Properties

In turn, it should be borne in mind that when choosing a property in Beppu, there is the nuance of onsens or hot-spring baths. Some real estate in Beppu has the right to use the hot springs, but it is necessary to study the accompanying costs and terms of use so as to not spend more money on incidentals than expected.

Natural Hazards

As in any volcanic area, Beppu has a number of potential natural hazards. In particular, Beppu has many potentially dangerous areas, including landslide zones. In this regard, it is necessary to study the local hazard maps and assess the risks for the chosen real estate. At the same time, Beppu has many beautiful suburban areas with picturesque views of the sea, which can be a great investment if the risks are properly assessed. Particular caution should be exercised when considering properties located on slopes, including assessing the state of the retaining walls.

Renovation

In addition, when considering real estate in Beppu, keep in mind that it has many older properties that can be purchased at a relatively low price. At the same time, it must be borne in mind that renovation can be expensive, so it is necessary to assess for yourself whether it is worth renovation or not and what costs it will entail.

More Affordable Resort Market

One of the main advantages of Beppu is that you can rent or buy real estate for a relatively low price. At low purchase prices, even in Beppu, you can create wonderful conditions for visiting the onsen. Compared to other resort areas, Beppu not only provides all the necessary infrastructure for the long-term stay of residents, but also has a developed rental market.

Final Thoughts

In summary, Beppu is a great investment for those who want to become owners of real estate in any of Japan’s resort areas at relatively low prices. Despite the popularity of Beppu hot springs, it must be noted that the city has many ways to attract both locals and tourists. Thus, according to recent statistics, in 2024 Beppu once again hosted more than 7 million visitors, including a considerable number of overseas visitors. In addition, Beppu has a large number of both local residents and students who may be interested in renting. At the same time, the low price of local real estate compared to other Japanese cities is also advantageous for investment, which makes Beppu one of the most desirable places to invest in real estate in Japan.

When searching for investment opportunities, keep in mind that in addition to low prices, it is also important to weigh other factors, such as the price-quality ratio of the property, its location, the demand for rent, and the cost and timing of renovations.

If you are looking for a more affordable option for a second home, Beppu will provide you with all the comforts of the Japanese onsen experience. For investors, Beppu, with its affordable prices and huge tourism demand, will be able to provide excellent returns on investment. Whether you want to enjoy the view of Beppu bay from your window, relax in wonderful hot springs or visit local Japanese baths and bars, Beppu will provide you with a great experience!

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