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The usual maximum allowed height of a wooden building in Japan is two stories. Some wooden houses may have lofts, but these may not be used as bedrooms, only for storage space. Steel and concrete buildings may have more stories, but usually they only have two. Basements are not allowed and are never found.
The ratio of built-upon area is regulated according to a system called {{nihongo|kenpeiritsu|建蔽率|}} involving the floor area of the house and the area of land the house is built upon. The area is restricted to being, for example, 80% of the area of the land. The ''kenpeiritsu'' varies according to the
The taxable value of a house is controlled by its building material. Wooden houses are considered to have a lifespan of twenty years, and concrete ones to have a lifespan of thirty years, and the assessed price depreciates each year contrary to housing markets in other nations. Most real estate agents also
== Traditional housing ==
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