Japan's Land Prices See Biggest Rise Since 1992

Faizan Hashmi Published March 18, 2025 | 03:00 PM

ISTANBUL, (APP - UrduPoint / Pakistan Point News - 18th Mar, 2025) Average land prices in Japan increased by 2.7% as of Jan. 1 compared to the same month of the previous year, marking the biggest jump seen since 1992, according to Kyodo News on Tuesday.

"The upward trend is continuing as the economy moderately recovers," a ministry official said, according to the news agency. "Investment demand for accommodation for foreigners and houses is also rising in tourist areas."

Despite the population decline, foreign investment is flooding the Japanese market, where low lending rates and a weak Yen make procurements inexpensive.

With the exception of the metropolises of Tokyo, Osaka, Nagoya, and their environs, land values in more than half of the places last increased in 1992, just before the nation's asset bubble burst.

The statistics then showed that prices went up in 5,183 sites, or 63.5% of those polled.

The latest survey showed prices increased at 6,706 places, or over half of the 13,405 locations evaluated.

All-category prices increased by 1.3%, whereas residential and commercial land prices increased by 1.0% and 1.6%, respectively.

Since 2022, there has been a continuous increasing trend. Prior to it, the 2008 failure of the financial firm Lehman Brothers, the 2011 earthquake, tsunami, and nuclear accident in northeastern Japan, and the COVID-19 pandemic that began in 2019 all contributed to a decline in pricing.