Thank you for the very insightful and convincing argument! What do you think will happen to the property price in Tokyo in 2058 or 2100 when the population is expected to fall below 100mil and 50mil?
As figure 5 in the article shows, the total number of properties in Japan will likely start to decline in 2026. Even though property prices will likely continue to increase in major cities and tourist destinations as the influx of people to urban areas increases, properties prices in Japan as a whole will almost certainly decrease.
The issue with looking too far into the future is that if Japan doesn't grapple with the population decline soon, other issues might break the country so bad that real estate will not even be part of our discussion. The biggest of these issues, the national debt, might force the government to default, which would severely depress all assets in Japan...
Thank you for the very insightful and convincing argument! What do you think will happen to the property price in Tokyo in 2058 or 2100 when the population is expected to fall below 100mil and 50mil?
As figure 5 in the article shows, the total number of properties in Japan will likely start to decline in 2026. Even though property prices will likely continue to increase in major cities and tourist destinations as the influx of people to urban areas increases, properties prices in Japan as a whole will almost certainly decrease.
The issue with looking too far into the future is that if Japan doesn't grapple with the population decline soon, other issues might break the country so bad that real estate will not even be part of our discussion. The biggest of these issues, the national debt, might force the government to default, which would severely depress all assets in Japan...
Thank you for additional information!
I hope Japanese government wakes up soon and take immediate measurement or else it’s doomed!