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2024-05-17In an era when the global real estate market is generally underperforming, home prices in Japan, especially in Tokyo, are like a wild horse out of control, riding high and bucking the trend by 52%.
According to real estate statistics, between 2019 and 2023, theForeign investment in Japanese real estate has surged.
In the first nine months of 2023 alone, Singapore's real estate investment in Japan reached nearly $3 billion, with the U.S. not far behind at $2.5 billion, and Canada coming in third with nearly $1 billion.
These figures not only reflect the hotness of the Japanese real estate market, but also highlight theInternational capital is bullish on the Japanese market for the long term.
Also.Continued depreciation of the yencap (a poem)Bank of Japan's easing policyThe Japanese real estate market has also attracted a large influx of foreign investors.
So how do you choose between Tokyo, Osaka and Kyoto ...... investment cities? How to choose the type of real estate?
Osaka, one of the major cities in Japan, has attracted the attention of more and more investors in recent years. And with the recovery of Japan's tourism industry and an increase in foreign visitors, theInvesting in Osaka B&Bs has become a hot business opportunity.
Advantages of Investing in a B&B in Osaka
1.Japanese government policy support
In 2018 Japan enacted a brand new Minpaku Law: normally, Japanese minpaku are only allowed to operate 180 days per year. However, Osaka, as a special zone minshuku area, can operate 365 days a year.
In other words, Osaka canLegal operation of B&Bs throughout the year, not subject to the new law.
Image Credit: Original B&B Law
2.High and stable return on investment
Osaka's tourism market has great potential, and investing in a B&B can yield a high rate of return. According to market research, the return on investment for B&Bs in Osaka is typically in the range ofBetween 8% and 10%Much higher than other investment options.
Investing in a bed and breakfast canGain long-term stability.With the development of the tourism industry and the increase in the number of tourists, the demand for B&Bs will continue to grow. Investors can attract more tourists and gain sustained revenue by continuously improving and upgrading the quality and services of B&Bs.
3.Potential Market for Legalized Gaming in Osaka
Taking advantage of the various architectural facilities built for the Expo, Osaka chose to build the IR complex on the artificial island Yumeshima, the main site of the 2025 Expo.Gaming Resorts, an integrated casino resort that combines a luxury shopping mall, an upscale convention center, gourmet dining from various countries, and a casino. According to a consultant's forecast report.Osaka's future annual gambling revenue could exceed $10 billion.
The gaming industry can be a "rocket" for a city's economic development. Vegas attracts tourists from all over the world, generating a huge demand for accommodation, and the real estate sector in the world's four largest casinos is currently booming.
In reference to Las Vegas, with its casinos and supporting entertainment industry, attracting over 40 million visitors annually, it has created an insurmountable myth for the home price market, with three consecutive years of home price appreciation in excess of 10%.
4.High economic and commercial value of the city
Osaka has more opportunities to host international events, second only to Tokyo.In November 2018, the host city for the World Expo was announced in Osaka, and not only that, but various international summits have chosen to be held in Osaka in recent years.
For example, the Osaka G20 Summit 2019, the Osaka Rugby International Cup 2019, as well as the Osaka Expo 2025 and the Osaka Casino, which is scheduled to open in 2024, are all showing us the city's economic and commercial value.
5.Osaka's long-term attractiveness as a tourist destination
Osaka is not only one of the commercial centers of Japan, but alsoone of the most important tourist centers.Osaka has been ranked number one in Japan in terms of the number of tourists for years.
There are many tourist attractions in Osaka, including classic and elegant historical sites such as Tenshukaku, Shitennoji Temple, and Dondenkaku, as well as must-visit online attractions such as Universal Studios, the Oceanarium, and the Tenpozan Grand Ferris Wheel, making each one a memorable experience.
These rich cultural and tourism resources attract a large number of tourists to visit and spend money, which brings a strong demand for the real estate market.
6.Acquisition of a second identity
In addition, there are opportunities to invest in B&Bs in JapanAcquisition of Japanese identityThe
By investing a certain amount of money in Japan, establishing a company, investing in and holding real estate in the name of the company, and conducting a legal and stable business (e.g., long/short term rentals, B&Bs, hotels, etc.), applicants will be able to obtain a Management Visa and legally reside in Japan. After obtaining a management visa, the applicant will initially be granted a status of residence for one year. Thereafter, depending on the overall situation of the company's management, the visa may be renewed for a period of one, three or five years.
After holding this visa for 5 years, the applicant is eligible to apply for Japanese citizenship; after 10 years, the applicant may apply for permanent residence in Japan.
All in all, investing in real estate in Osaka, Japan offers many advantages.Investors can take full advantage of Osaka's location, economy, culture and market to find stable investment opportunities in the real estate market.Of course, it is also necessary to pay attention to market changes and risk management in the investment process to ensure the success and return of the investment.
If you are interested in Japanese real estate, please feel free to contact Timeless Group! We have a professional team that can match quality properties to your needs.