2023.04.14
Weak Yen Accelerates Foreign Money Purchases of Japanese Real Estate
- Recently, I would like to talk about the merits of purchasing real estate for Japan from overseas.
- 1.One of the benefits of foreigners buying Japanese real estate is that it has long-term investment value. The Japanese real estate market has relatively little price fluctuation due to its stable economy. In particular, the impact on urban areas is not subject to large fluctuations compared to other overseas real estate markets, making it easier to purchase. Even during the Lehman shock, while large projects declined, small-scale properties in good locations in urban areas did not experience significant drops.
- 2.Japanese real estate is safer than other investment products, and has lower risks for investors. While real estate is a physical asset that can be damaged by natural disasters such as ground subsidence, Japan has increased the seismic resistance of buildings through advanced technology and regulation. Recent administrative checks have also been implemented, in part due to the impact of the ANEHA incident in the past.
- 3.There are various investment options available for Japanese real estate. Foreign investors can choose from various real estate options such as commercial real estate, residential real estate, and land. Additionally, as Japan is home to many world-renowned tourist destinations, they can also purchase holiday homes or lodgings for visitors.
- 4.The Japanese real estate market has a high level of transparency worldwide. The government closely monitors and oversees fair transactions through strict supervision, which allows foreign investors to conduct transactions with reliable real estate companies. Furthermore, Japanese real estate companies have a legal obligation to provide important information, ensuring investors can obtain accurate information
As described above, the Japanese real estate market offers many advantages. Notable among them are its value as a stable long-term investment, safety and low risk, diverse investment options, easy procedures, and transparency. These advantages make the Japanese real estate market an attractive investment destination for foreign investors.
In addition, Japan’s weak yen also means that selling at a time when the yen is strong can generate large profits. By selecting the right property, there is the potential for capital gains in a few years. The depreciation of the yen in Japan is very serious.
If the yen’s depreciation accelerates further, it will cause serious damage to Japan’s economy. The Japanese government will take some measures in the future, so further depreciation of the yen is unlikely. When the war in Ukraine appears to be over The Japanese government will take some measures in the future, so further depreciation of the yen is unlikely. Now may be a good time to buy.