INTRODUCTION :- JAPAN BACKGROUND: In 1603, after decades of civil warfare, the Tokugawa shogunate (a military-led, dynastic government

) ushered in a long period of relative political stability and isolation from foreign influence. For more than two centuries this policy enabled Japan to enjoy a flowering of its indigenous culture. Japan opened its ports after signing the Treaty of Kanagawa with the US in 1854 and began to intensively modernize and industrialize. During the late 19th and early 20th centuries, Japan became a regional power that was able to defeat the forces of both China and Russia. It occupied Korea, Formosa (Taiwan), and southern Sakhalin Island. In 1931-32 Japan occupied Manchuria, and in 1937 it launched a full-scale invasion of China. Japan attacked US forces in 1941 - triggering America's entry into World War II - and soon occupied much of East and Southeast Asia. After its defeat in World War II, Japan recovered to become an economic power and an ally of the US. While the emperor retains his throne as a symbol of national unity, elected politicians hold actual decision-making power. Following three decades of unprecedented growth, Japan's economy experienced a major slowdown starting in the 1990s, but the country remains a major economic power. In March 2011, Japan's strongest-ever earthquake, and an accompanying tsunami, devastated the northeast part of Honshu island, killing thousands and damaging several nuclear power plants. The catastrophe hobbled the country's economy and its energy infrastructure, and tested its ability to deal with humanitarian disasters. GEOGRAPHY ::JAPAN Location: Eastern Asia, island chain between the North Pacific Ocean and the Sea of Japan, east of the Korean Peninsula Geographic coordinates: 36 00 N, 138 00 E Map references: Asia Area: total: 377,915 sq km country comparison to the world: 62 land: 364,485 sq km water: 13,430 sq km note: includes Bonin Islands (Ogasawara-gunto), Daito-shoto, Minami-jima, Okino-tori-shima, Ryukyu Islands (Nansei-shoto), and

Volcano Islands (Kazan-retto) Area - comparative: slightly smaller than California Land boundaries: 0 km Coastline: 29,751 km Maritime claims: territorial sea: 12 nm; between 3 nm and 12 nm in the international straits - La Perouse or Soya, Tsugaru, Osumi, and Eastern and Western Channels of the Korea or Tsushima Strait contiguous zone: 24 nm exclusive economic zone: 200 nm Climate: varies from tropical in south to cool temperate in north Terrain: mostly rugged and mountainous Elevation extremes: lowest point: Hachiro-gata -4 m highest point: Fujiyama 3,776 m Natural resources: negligible mineral resources, fish note: with virtually no energy natural resources, Japan is the world's largest importer of coal and liquefied natural gas, as well as the second largest importer of oil

Endangered Species. Japan is one of the largest consumers of fish and tropical timber. Antarctic Treaty. Komaga-take.Land use: arable land: 11.3 cu m/yr (2007) Natural hazards: many dormant and some active volcanoes. Tokachi. Tropical Timber 94. Ozone Layer Protection. Ship Pollution. Aso. Fuji. Climate Change-Kyoto Protocol. which lies near the densely populated city of Kagoshima. acidification of lakes and reservoirs degrading water quality and threatening aquatic life. Antarctic-Marine Living Resources. worthy of study due to their explosive history and close proximity to human populations.26% permanent crops: 0. other notable historically active volcanoes include Asama. Law of the Sea. contributing to the depletion of these resources in Asia and elsewhere Environment .500 seismic occurrences (mostly tremors but occasional severe earthquakes) every year.04 cu km/yr (20%/18%/62%) per capita: 714. Marine Dumping.500 m) and Sakura-jima (elev. Tropical Timber 83. Bandai. Iwo-Jima. Suwanosejima.117 m). Desertification. 1. have been deemed Decade Volcanoes by the International Association of Volcanology and Chemistry of the Earth's Interior. Environmental Modification. Hazardous Wastes.81% other: 87. and Usu Environment . about 1. agreements: party to: Antarctic-Environmental Protocol. Biodiversity.93% (2011) Irrigated land: 25. tsunamis. typhoons volcanism: both Unzen (elev. 1. Kirishima. Climate Change.000 sq km (2010) Total renewable water resources: 430 cu km (2011) Freshwater withdrawal (domestic/industrial/agricultural): total: 90. Oshima. Honshu Island's most active volcano. . Antarctic Seals. Yake-dake.current issues: air pollution from power plant emissions results in acid rain.

Kumamoto. Aomori. Tokushima. Ishikawa. Tottori. Yamaguchi. Hiroshima. Fukui. Akita. Nara. Miyazaki. Tochigi. Hyogo. Saitama. (traditional date of the founding of the nation by Emperor JIMMU). Niigata. 29 November 1890 (Meiji Constitution provides for constitutional monarchy) National holiday: . Saga. Shiga. Chiba. but not ratified: none of the selected agreements GOVERNMENT ::JAPAN strategic location in northeast Asia Country name: conventional long form: none conventional short form: Japan local long form: Nihon-koku/Nippon-koku local short form: Nihon/Nippon Government type: a parliamentary government with a constitutional monarchy Capital: name: Tokyo geographic coordinates: 35 41 N. Oita. Miyagi. Aichi. Yamanashi Independence: 3 May 1947 (current constitution adopted as amendment to Meiji Constitution). Shimane. Ibaraki. Iwate. Okayama. Fukushima. Tokyo. Hokkaido.C. Ehime. Okinawa. Kochi. Fukuoka. Mie. Shizuoka. Kanagawa. Wakayama.Wetlands. DC during Standard Time) Administrative divisions: 47 prefectures. Gifu. Whaling signed. Gunma. Nagasaki. notable earlier dates: 660 B. Nagano. Kagawa. Kyoto. 139 45 E time difference: UTC+9 (14 hours ahead of Washington. Yamagata. Kagoshima. Osaka. Toyama.

House of Representatives . latest approved 6 October 1946. and the House of Representatives or Shugi-in (480 seats . system also reflects Anglo-American influence and Japanese traditions.last held on 16 December 2012 (next to be held by 15 December 2016) . 146 members in multi-seat constituencies and 96 by proportional representation) half elected every three years. designates the prime minister. the monarchy is hereditary Legislative branch: bicameral Diet or Kokkai consists of the House of Councillors or Sangi-in (242 seats . universal Executive branch: chief of state: Emperor AKIHITO (since 7 January 1989) head of government: Prime Minister Shinzo ABE (since 26 December 2012). 23 December (1933) Constitution: previous 1890. the bicameral legislature. following legislative elections.Birthday of Emperor AKIHITO. accepts ICCt jurisdiction Suffrage: 20 years of age. Deputy Prime Minister Taro ASO (since 26 December 2012) cabinet: Cabinet is appointed by the prime minister (For more information visit the World Leaders website ) elections: Diet. constitution requires that the prime minister commands parliamentary majority.last held on 21 July 2013 (next to be held in July 2016).members elected for maximum four-year terms. 300 in single-seat constituencies. 180 members by proportional representation in 11 regional blocs). effective 3 May 1947 (2013) Legal system: civil law system based on German model. the leader of majority party or leader of majority coalition in House of Representatives usually becomes prime minister. adopted 3 November 1946.members elected for fixed six-year terms. judicial review of legislative acts in the Supreme Court International law organization participation: accepts compulsory ICJ jurisdiction with reservations. the prime minister has the right to dissolve the House of Representatives at any time with the concurrence of the cabinet elections: House of Councillors .

a strong work ethic.7%. capital. Government stimulus spending helped the economy recover in late 2009 and 2010. seats by party LDP 294. Your Party 7. 50 District Courts (Chiho saibansho).6%. which surpassed Japan in 2001. Japan's industrial sector is heavily dependent on imported raw materials and fuels. others 1. New Komeito 12. Both features are now eroding under the dual pressures of global competition and domestic demographic change. largely because of the after effects of inefficient investment and an asset price bubble in the late 1980s that required a protracted period of time for firms to reduce excess debt. associate justices appointed by the Cabinet and confirmed by the monarch. which .6%. New Komeito 20. averaging just 1. Your Party 18. 438 Summary Courts (Kani saibansho) ECONOMY ::JAPAN Economy . government-industry cooperation. Measured on a purchasing power parity (PPP) basis that adjusts for price differences.9%. independents 3 House of Representatives . a 5% average in the 1970s. independents 5 Judicial branch: highest court(s): Supreme Court or Saiko saibansho (consists of the chief justice and 14 associate justices) note . While self-sufficient in rice production.overview: In the years following World War II. JRP 9. Two notable characteristics of the post-war economy were the close interlocking structures of manufacturers. but reconstruction in the Tohoku region has been uneven. others 4. others 4.percent of vote by party .percent of vote by party (by proportional representation) . and distributors. JCP 11. JRP 22. but the economy contracted again in 2011 as the massive 9.2%.4%. DPJ 16.LPD 115. seats by party . suppliers. Japan imports about 60% of its food on a caloric basis. The economy has largely recovered in the two years since the disaster. TRP 3. JCP 8. TPJ 9. but the economy has fallen into recession three times since 2008. each with a Family Court (Katei-saiban-sho).election results: House of Councillors . he has pledged to reconsider his predecessor's plan to permanently close nuclear power plants and is pursuing an economic revitalization agenda of fiscal stimulus and regulatory reform and has said he will press the Bank of Japan to loosen monetary policy. with 203 additional branches. A sharp downturn in business investment and global demand for Japan's exports in late 2008 pushed Japan into recession. overall real economic growth had been spectacular . JRP 54. and labor. mastery of high technology.a 10% average in the 1960s. Your Party 18. For three decades. Newly-elected Prime Minister Shinzo ABE has declared the economy his government's top priority. and a comparatively small defense allocation (1% of GDP) helped Japan develop a technologically advanced economy. SDP 3.LDP 31. and third-place India. known as keiretsu.the Supreme Court has jurisdiction in constitutional issues judge selection and term of office: Supreme Court chief justice designated by the Cabinet and appointed by the monarch.NA. JCP 4.4%. New Komeito 31. Growth slowed markedly in the 1990s.7%. A small agricultural sector is highly subsidized and protected. and a 4% average in the 1980s. and the guarantee of lifetime employment for a substantial portion of the urban labor force. DPJ 59. all justices are reviewed in a popular referendum at the first general election of the House of Representatives following each judge's appointment and every 10 years afterward subordinate courts: 8 High Courts (Koto-saiban-sho). Japan in 2012 stood as the fourth-largest economy in the world after second-place China.0 magnitude earthquake and the ensuing tsunami in March disrupted manufacturing. DPJ 57.2%. Modest economic growth continued after 2000. with crop yields among the highest in the world.

The new government will continue a longstanding debate on restructuring the economy and reining in Japan's huge government debt.per capita (PPP): $35.300 (2010 est.) country comparison to the world: 36 $35.6% of GDP (2012 est.) 4.) GDP .514 trillion (2010 est. reliance on exports to drive growth.) note: data are in 2012 US dollars Gross national saving: 21.100 (2011 est. and an aging and shrinking population are other major long-term challenges for the economy.900 (2012 est.) $35.) GDP .edged out Japan in 2012.88 trillion (2012 est.) . Persistent deflation.7% (2010 est.6% (2011 est. GDP (purchasing power parity): $4.) country comparison to the world: 5 $4.) country comparison to the world: 134 -0.) $4.real growth rate: 2% (2012 est.488 trillion (2011 est.576 trillion (2012 est.) note: data are in 2012 US dollars GDP (official exchange rate): $5. which exceeds 200% of GDP.

ships. steel and nonferrous metals. poultry. vegetables. fruit. by end use: household consumption: 60.products: rice.1% services: 72. eggs.8% (2012 est. fish Industries: among world's largest and technologically advanced producers of motor vehicles. processed foods Industrial production growth rate: 1% (2012 est.5% investment in fixed capital: 21. chemicals.) Agriculture .6% exports of goods and services: 14. electronic equipment. pork. sugar beets.composition.) country comparison to the world: 123 Labor force: .7% imports of goods and services: -16.) GDP . textiles.5% of GDP (2010 comparison to the world: 65 22% of GDP (2011 est. machine tools. by sector of origin: agriculture: 1.) 23.6% (2012 est.9% government consumption: 20.) GDP .1% industry: 26.composition.2% investment in inventories: -0. dairy products.

9% highest 10%: 27.) country comparison to the world: 38 4.2% services: 69.9% industry: 26.Gini index: 37.) country comparison to the world: 9 Labor force .8% (2010 est.) Population below poverty line: 16% (2010) Household income or consumption by percentage share: lowest 10%: 1.6% (2011 occupation: agriculture: 3.9 (1993) Budget: revenues: $1.55 million (2012 est.) Unemployment rate: 4.5% (2008) Distribution of family income .578 trillion (2012 est.4% (2012 est.6 (2008) country comparison to the world: 76 24.) Taxes and other revenues: .988 trillion expenditures: $2.65.

) country comparison to the world: 200 Public debt: 219.) Fiscal year: 1 April .) country comparison to the world: 73 Budget surplus (+) or deficit (-): -10% of GDP (2012 est.) .) country comparison to the world: 2 210.1% of GDP (2012 est.) country comparison to the world: 4 -0.48% (31 December 2011 est.33.) country comparison to the world: 181 1.8% of GDP (2012 est.48% (31 December 2012 est.6% of GDP (2011 est.3% (31 December 2009) Commercial bank prime lending rate: 1.31 March Inflation rate (consumer prices): 0% (2012 est.3% (2011 est.) Central bank discount rate: 0.1% (31 December 2012) country comparison to the world: 140 0.

82 trillion (31 December 2011 est.72 trillion (31 December 2012 est.011 trillion (31 December 2012) country comparison to the world: 3 $3.636 trillion (31 December 2011 est.12 trillion (31 December 2011 est.) Stock of domestic credit: $13.) Market value of publicly traded shares: $4.1 trillion (31 December 2010) Current account balance: $60.) country comparison to the world: 2 $13.41 trillion (31 December 2010 est.Stock of narrow money: $6.) country comparison to the world: 2 $6.) Exports: $776.8 billion (2012 est.) country comparison to the world: 3 $14.) Stock of broad money: $13.541 trillion (31 December 2011) $4.6 billion (2012 est.176 trillion (31 December 2012 est.) country comparison to the world: 11 $119 billion (2011 est.) .

Qatar 4% (2012) Reserves of foreign exchange and gold: $ comparison to the world: 5 $789. US 8.) Debt .) country comparison to the world: 2 $1. UAE 5%.8%. Saudi Arabia 6.6%. Australia 6.7% (2011 est.6%. power generating machinery 3.1% (2012) Imports: $830. semiconductors 3.7%.external: $3.5%.) Imports .2%.296 trillion (31 December 2011 est. clothing 3.4 billion (2011 est.5% Exports .4%.5%. Hong Kong 5.115 trillion (31 December 2011) .3%. South Korea 7.1%.) Imports .partners: China 21. liquid natural gas 5.9%.5%.2%. auto parts 4.) Exports .commodities: motor vehicles 13.) country comparison to the world: 5 $ China 18.7%.5%. US 17.6%.268 trillion (31 December 2012 est.commodities: petroleum 15. plastic materials 3. semiconductors 6. Thailand 5. audio and visual apparatus 2. iron and steel products 5.8%. South Korea 4.5%. coal 3.1 billion (2012 est.5%.9 billion (2011 est.024 trillion (31 December 2012) country comparison to the world: 6 $3.

) 93.2 billion (31 December 2012 est. says its global head of Asia Frank Khoo. AXA Real Estate.html A KEEN EYE FOR REAL ESTATE As Japanese corporate sentiment gets a boost from "Abenomics" the country's sluggish property market is showing signs of life.) 87.) 79.054 trillion (31 December 2012 est.2 billion (31 December 2011 est.Stock of direct foreign investment .at home: $222.) country comparison to the world: 25 $242.57 (2009) 103.abroad: $1. the property arm of Europe's second largest insurer that has 45 billion euros ($59 billion) of assets under management. with office prices in Tokyo expected to surge 10 percent over the next 18 months. He forecasts higher demand for commercial property in the coming months stemming from an improvement in corporate profitability in Japan.79 (2012 Exchange rates: yen (JPY) per US dollar 79.58 (2008) https://www.3 billion (31 December 2011 est. according to one of the world's largest real estate funds.) country comparison to the world: 8 $972.81 (2011 est.cia. .) Stock of direct foreign investment . is now looking at buying office space in Tokyo.78 (2010 est.

"Companies are going to use current low rental rates to move from outer Tokyo into inner Tokyo for better quality buildings [in turn pushing rentals up]. "The REITs are back in the market acquiring assets. Original Source URL: http://www. then you basically own a property and get 8% cash in your bank at the end of every month using none of your own capital.would drive a recovery in the property market. or 3.6 percent. find a renter and your expected yield should be net 8% to make it a worthy investment." Khoo said. With 10-year Japanese government bonds below 0. I think money will go that way."The weak yen is going to help the exporters and smaller manufacturers as well.08 billion through an initial public offering in February after pricing the stock at the top of the range." he added. down from third place in 2012. according to global real estate services firm Cushman and Wakefield. In further evidence of rising optimism over the property sector. will climb 1-2 percent this year and 2-4 percent next year. which have largely remained flat for the past three years.5 percent investing in a Japanese REIT. if you can get a 4 percent yield in commercial real estate." Khoo said. With higher demand we should see vacancy coming down and rentals going up. He forecasts vacancy rates will fall to 4 percent in 2014 from 8 percent currently. Basically what this means is you buy a property. they are really hungry for yield. Investors have flocked into Japanese real estate investment trusts (REITs) in recent months on hopes "Abenomics" . If you’re able to borrow 100% of the purchase price from a bank. Shares of REITs including Japan Real Estate Investment and Nippon Building Fund have surged more than 50 percent year to date. Buy a building with many units and it spreads out your vacancy risk as an investor thanks to volume. Khoo added that with Japanese government bond yields look set to remain low. "If you look at the mom and pops.or Prime Minister Shinzo Abe's economic revival plan that pushes for both monetary and fiscal stimulus . this should lift confidence and translate into higher demand. Japan's Nippon Prologis REIT. ." he INVESTMENT REQUIRED Investing in Japanese real estate is better here on a cash flow basis than other countries. there has been a shift in attitude towards investing in property among both institutional and retail investors. which owns and manages warehouses across the country. Tokyo's central business district is currently ranked the world's fifth most expensive market to rent office space in. adding that office rents. raised $1.cnbc.

700 (US$4. Land prices are also rising. the average price of land in Tokyo Metropolitan Area rose by 5. m.130.931) per square metre (sq.000 (US$6. during the year to June 2013. The average price of existing condominium units rose by 5. based on figures released by the Land Institute of Japan (LIJ).6% y-o-y to JPY444 trillion (US$44. which are now affectionately referred to as “Abenomics”. who came to power in December 2012.000 (US$202. devaluation of the yen and aggressive quantitative easing by the Bank of Japan (BOJ). The average price of existing detached houses was up by 1.2% y-o-y to JPY686.7% to 19. In adjacent areas like Saitama. The number of new dwelling starts in Japan increased by 8.Japanese tenants are moving from the rural areas into the suburban areas surrounding Tokyo. Total outstanding real estate loans in Japan increased 2.334) per sq.000 (US$324. m.9% to JPY399. The average price of existing detached houses was down by just 0.8% to JPY542.500 (US$2. m. m. the number of condos sold rose by 14.000 (US$1.000 (US$5. m. compared to the same period last year.6% to 451. In Osaka.066) per sq.5% to JPY20. while in Osaka Metropolitan Area the average land price increased by 2.063 during the first half of 2013.644) over the same period. over the same period. there are many opportunities to purchase high cash flow producing real estate that can rent to tenants for under JPY 100.) in June 2013. In Osaka Metropolitan Area:    The average price of new condominium units rose by 8.476) per sq. the total number of condos sold rose 16. Chiba and Kanagawa prefectures. In Tokyo Metropolitan Area:    The average price of new condominium units soared by 9..526) per sq.000 (US$2. include increasing public infrastructure spending. Transport and Tourism (MLIT).070 during the first half of 2013 compared to the same period last year.081) over the same period. The average price of existing condominium units increased by 5% to JPY250. These economic policies.039) per sq. according to the Ministry of Land.4% to 8. m. REASON I CHOOSE THIS OPPORTUNITY After almost two years of house price falls.5% to JPY32. Residential construction activity is picking up. In Tokyo. according to LIJ.86 trillion) in . mainly due to the economic policies of Prime Minister Shinzo Abe. Japan’s housing market is now gaining momentum. Property sales are rising sharply. during the year to June 2013.758 over the same period.3% to JPY132.000.2% to JPY204. Infrastructure.000. During the year to June 2013.

according to the Bank of Japan (BOJ). has recently revised the outlook on the country’s real estate sector from negative to stable. Tokyo’s successful bid to host the 2020 Summer Olympics is expected to boost property demand and the construction sector during the next 7 years.700 – down on last year because the Yen has fallen.8% for the whole year of 2013. but not much. and it is strengthening. They’re a little higher on smaller apartments. Yields in Tokyo range from 5. up from a 2% in 2012 and a 0.8% in Q1 and Q2 2013.47%. The economy is expected to expand by about 2. It’s a trend we spotted last year.Q1 2013. . The international rating agency. Prices per square metre range from around $9. Not bad for a city like Tokyo. Moreover.300 to $12. according to local property experts. House prices are expected to continue to rising in the remaining months of 2013. The Japanese economy grew by an annualized rate of 3. 2013 Yields continue to rise in Tokyo Rental yields in Tokyo’s five central wards have continued to increase.12% to 6. Moody’s. Analysis of japan Residential Property Market » RENTAL YIELDS Last Updated: Apr 26.6% contraction in 2011.

Expensive. Looking good for Japanese residential property! Read Rental Yields » TAXES AND COSTS Last Updated: Jan 30. depreciation and income-generating expenses such as maintenance and repairs are deductible from the gross rent. Inheritance: Inheritance is based on residency status but foreign individuals inheriting property located in Japan are still subject to inheritance tax. rising incomes will continue to support rising rents. In Yen terms residential prices continue to strengthen. which is levied at progressive rates. but that is what global cities cost. ranging from 3. Residents: A permanent resident taxed on his worldwide income at progressive rates. 2013 Effective rental income tax is low in Japan Rental Income: Rental income of nonresident individuals is subject to 10% tax. That’s likely to continue so long as Abenomics is in place. Nonresident taxpayers are taxed on their net income. Net gains on property held beyond five years are taxed at 15%. However. This is going to be interesting.9%. Assuming that Abenomics really leads to a revival of the Japanese economy. from 5% to 40%. Read Taxes and Costs » BUYING GUIDE Last Updated: Jan 30. i. especially prices of assets that produce nice incomes. like Tokyo property. 2013 .e. Capital Gains: Net gains realized from selling short-term real properties. More money in the system means lower interest rates means increasing asset prices.4% to 5. are taxed at 30%. effective rental income tax is low. property held for less than 5 years.

respectively.50% and 3%.15% agent’s fee plus an additional payment of JPY63.45%. 2006 Japanese landlords get key money Tenancy laws passed in 2000 shifted the balance of power from tenants to landlords. landlords receive key money worth one to two month’s rent. Aside from two to three month’s security deposit. making eviction easier. Rents: Rents are freely negotiable. Tenant Eviction: Automatic renewals of leases were abolished in 2000. Read Landlord and Tenant » ECONOMIC GROWTH . If the tenant prematurely ends the contract the landlord can charge one month’s rent.26% to 9.Moderate roundtrip buying costs in Japan The total roundtrip transaction cost is around 9. inclusive of the 3.000 (US$682). Read Buying Guide » LANDLORD AND TENANT Last Updated: Jun 21. making Japan strongly pro-landlord. The acquisition tax differs for land and buildings at 1.

shrinking by 0. include the following:        Inflation targeting at 2% Correction of the excessive appreciation of the yen Setting negative interest rates Radical quantitative easing Expansion of public investment Buying operations of construction bonds by Bank of Japan Revision of the Bank of Japan Act . the Japanese economy grew by an average of 1.6 million in 2012 and GDP per capita of US$46. These economic policies. 2011.5% annually. 2013 Healthy economic growth in 2013 Japan is the world’s third largest economy.5% in 2009. the economy had GDP growth of 2%. Japan’s largest export market. In 2012. The Japanese economy is projected to grow robustly in the coming years mainly due to the economic policies advocated by Prime Minister Shinzo Abe. a major aid donor and one of the primary sources of global capital and credit. who came into power in December 2012. From 2000 to 2007.7%.736. which are now widely referred to as “Abenomics”. The economy returned to growth in 2010 with real GDP growth of 4. However due to the global financial meltdown. The country is the world’s fourth largest exporter and fourth largest importer. and has the world’s largest electronics industry.Last Updated: Oct 19.6% in 2011 due to the impact of the Great Tohoku Earthquake (magnitude 9. with a population of 127. Then Japanese growth contracted again. exacerbated the situation.0) last March 11. the economy contracted by 1% in 2008 and by another 5. Then there’s the anti-Japanese feeling in China sparked by the dispute over Diaoyu/Senkaku Islands. In addition the economic slowdown in China.

8 billion). the domestic currency weaken sharply to JPY97.7% from a year earlier. based on figures from the Ministry of Finance. head of Japan economic research at the Morgan Stanley. However. Consumer prices have continuously fallen in the past four years.8% of GDP over 7 years.3% in 2011 and -0. http://www.04% in 2012.K. The one of reasons for this. Japan’s trade deficit is growing. Reitaku University Japan have experienced the housing bubbles and subsequent collapses of the bubbles in succession.” said Feldman. [host of the London 2012 Summer Olympics].Robert Feldman. Because of Prime Minister Shinzo Abe’s efforts to correct the excessive appreciation of the yen. Shimizu and Watanabe (2010) indicated that there is no significant relationship between the demand for houses and house prices in Japan. In July DEMAND: Housing demand and housing prices in Japan and the US. -0.8 percent of GDP over 7 years. mainly due to the weaker yen and the country’s soaring energy import bill. “Our rough view is that the impact could be at least similar to the U.1% in May 2013 from the same period last year. with annual inflation rates of -1.globalpropertyguide.7% in 2010. projects that the Olympic Games will add around 0.3% in 2009.8% in both Q1 and Q2 2013. This suggests that it is possible that the concept of demographics having an impact on the demand for houses.7% to 0.7-0. at around 0. its second consecutive month of gains and the largest increase in consumer prices in five years. housing demand based on population had dropped at the same period.8% for the whole year of 2013. or about 6-8 trillion yen on a gross output basis.82 = US$1 in August 2013. mainly due to increased manufacturing. the country’s trade deficit ballooned to JPY969. it is hard to explain whether there is a bubble and the size of the bubble according to prefecture (state) using demand elements. the fastest annual rise since 2010. The Japanese economy grew by an annualized rate of 3. according to the International Monetary Fund (IMF). Chihiro Shimizu. -0. In August 2013. We focused on the relationship between the demand for houses and house prices based the panel data in Japan. The economy is expected to expand by about 2. Abe’s decision immediately reaped rewards when exports increased by 10.9 billion (US$9. In this sense. or about 3-4 trillion yen on a value added basis. The house price in Japan continued to decline for 20 years after the collapse of bubbles. which thus caused the house . the nationwide annual inflation rate rose to 0.

The Company also provides consulting services on real estate.. Arealink Co Ltd (8914) Arealink Co. The company also provides support businesses for real estate investment funds.D. manages.Ltd. Area Quest also provides a total business solution.Works Co. Presented in Session 123: The effects of demographic changes on housing in the Asia-Pacific region COMPETITION AD Works Co Ltd A. Arealink also develops and constructs custom-made and rental buildings.Ltd... sells. manages and maintains the shopping malls. The Company develops shopping malls. Ltd. operates real estate business and provides due diligence services that evaluate values of real estate properties. The Company also publishes magazines for rental properties. and maintains large-scale shopping malls throughout Japan.prices to increase.. Apamanshop Holdings leases and manages real estate properties. rent the space. leases. develops. Ltd.. such as marketing activities and leasing contract by coordinating business outsourced mainly by tenant companies. provides property management services on behalf of property owners. Business One Holdings Inc (4827) . Area Quest Inc (8912) Area Quest Inc. Is it correct or reasonable result? The purpose of this paper develop several housing population-based demand factors and focus on the relationship between these demand factors and housing prices on Japan. Ardepro Co Ltd (8925) ARDEPRO CO. The Company also attracts and negotiates with new tenants for the owners. Apamanshop Holdings Co Ltd (8889) Apamanshop Holdings Co. In addition. and manages real estate properties. provides real estate leasing services. Aeon Mall Co Ltd (8905) AEON Mall Co. maintains a real estate properties database and provides real estate agency services and information services through its franchises.Ltd. is not effective in explaining the price fluctuations in neither Japan nor the US. The Company also operates real estate businesses including storage and parking space rental.

The Company also leases and manages real estate properties.Business One Holdings. The Company also constructs. sells real estate properties mainly in Tokyo and Kinki areas. Inc.. manages. LTD. Daibiru Corp (8806) DAIBIRU CORPORATION leases office buildings including apartments and hotels. The Company also develops and sells estimate evaluation software for plumbing and electrical contractors. mainly provides real estate management services for . Central General Development Co Ltd (3238) CENTRAL GENERAL DEVELOPMENT CO. http://www. Cosmos Initia Co Ltd (8844) COSMOS INITIA Co. develops and sells condominiums. Ltd. Business One Holdings operates corporate mortgage services as well as real estate brokerage services.. maintains. The Company also provides commercial cleaning and management services through its related companies. and repairs multi-unit buildings and office buildings and provides real estate brokerage