Feb 2019

Japanese Real Estate Heats Up

JPI has seen this happening over the past 3-5 years. All the indicators point to a boom time for Japanese Real Estate. This week key figures released from the Bank Of Japan (BOJ) confirm once again that more and more people are coming back to Japanese Property.

It is over 30 years since the Japanese property bubble burst, leaving hundreds of thousands of investors out of pocket. An entire generation has avoided investing in Japanese real estate due to the memories of the bubble time. Now it seems the bad memories are fading and with record low borrowing rates, a new generation of investors is coming back to property.

For the fourth straight month domestic real estate funding has increased. The property lending to GDP ratio has now risen to 14.04% and the BOJ may well be issuing a warning in their April report.

All of this may very well be true in Tokyo and Niseko with prices rising and deals becoming scarce. However look further afield to Osaka, Kobe, Fukuoka, Nagoya and prices are still affordable and returns strong.

Once again it goes to show the importance of local knowledge of media speculation. No doubt these figures are true and accurate but based largely on the capital and Niseko. Don’t be dragged into these traps, contact JPI today to learn how you can “Invest Together, Grow Together.

Here’s the full article from the Nikkei Asian Review.