The game must be completed twice on a single save file: once with a Good/Good+ Ending and another time with a Bad/Bad+ Ending. It is found inside the Levin St. House with the bloody dog house where Harry Mason uses the three "Keys for Eclipse". The sword itself is kept in a hidden, Asian-themed room.
The katana inflicts a lot of damage and several types of attacks are possible, but it can be slow and difficult to use. It also propels Harry forward when he swings it, meaning that if the player holds in the attack button, Harry can move anywhere quite quickly just by swinging the katana, hitting anything in his path.
Silent Hill 3
The katana is found in the Hilltop Center's Art Gallery's store room. It inflicts a lot of damage and several types of attacks are possible. It is lightweight as well as powerful, and replaces the pipe as the player's primary melee weapon once it is discovered. Heather notes that even though it's short with only about two feet in length, it's still a katana. A second katana exists in the game, right next to the one that Heather takes, but examining it will reveal that Heather doesn't want to carry another katana when she already has one.
Silent Hill: Origins
The katana is first found in Cedar Grove Sanitarium, in the Otherworld version of the archives room, and two are later found in Artaud Theater. The katana, like all other melee weapons found in the game, will break after some use. It is less powerful than other versions across previous games, but still inflicts decent damage. Travis Grady uses the weapon as a traditional blade, slashing back and forth quickly, and will finish off an enemy by impaling the body with its treacherous tip.