Japan sees sharpest rise in land prices since 1992

Deflation days are over. My neighbors tell me that wouldn't be able to afford another home in the same neighborhood anymore.

I'm not sure who will be celebrating this news, people already owing land I guess, but for everyone else it just means it will be harder and harder to buy land, a house, a condominium. Oh of course the government because they will be able to charge higher tax rates.

After the long period of deflation, we have been told that rising prices are good, but as you can see, no it isn't, and now we will suffer from them.

After the long period of deflation, we have been told that rising prices are good, but as you can see, no it isn't, and now we will suffer from them.

Deflation is the best time for the people. Inflation is needed to show ”continuous growth” (even when in reality nothing is growing), erode value of money so that debts of government pay for themselves, and so on.

The average Taro always loses in inflationary situation.

15 years into my mortgage and ready to sell!

Completely agreed. Inflation has always been bad for working people who just want to own homes and live their lives. Thanks to the very mild deflation of the 2000s, I was able to buy an old apartment in central Tokyo for my wife and me to live in. That would be unaffordable now, with salaries stagnant and daily expenses going up. Inflation has really sent our QoL downwards. Maybe if you're among the rich, connected elite, with your income guaranteed to rise with the CPI, and the ability to borrow while things are affordable and then pay it back with money that isn't worth as much, you're shielded from inflation or are having it work for you, but for the bottom 90%, we're working harder, paying more, and earning less.

Hardly exactly anything that could ever be described as a "sharp rise."

well.

price of land is very different somewhere in Tokyo or in some inaka faraway from big cities.

story is about-nothing.no added value.

Just a reminder for downvoters 1.4% is exactly half of the inflation rate of 2.8% so not anything like a sharp increase, in fact in real terms it is a decline.

Just a reminder for downvoters 1.4% is exactly half

Also remember this average is weighed down by far flung regions with low property values. (ie, more central locations will likely see much higher, such as Kanagawa)

Agreed it isnt really "sharp" though, but a significant difference from what has been the norm.

A 1.4% rise is just a tiny blip on an international scale.

But, at least for owners, prices are no longer going backwards.

The standard deviation on this is very high. Lots of land is falling in value, but desirable bits have been going up at the announced inflation number or more.

Build costs also have climbed significantly in the last five years, again more than the announced inflation number, so "just build something new" is also less attractive.

I could unwillingly pay the increased the land price, but not the increased build cost for the place we built in 2007.

Yea in Tokyo, Osaka, Nagoya. That's it. Prices are overinflated in other areas with literally no demand. The city won't even allow sales under a certain price.

Want to own land In one of the best countries to live in the world??..

Pay the price..

In the back of beyond in nowhere-machi, prices are in the millions of yen but there aren’t any jobs, entertainment, doctors, dentists etc.

In the big cities there are shoeboxes or as a once famous French foreign minister opined…

”rabbit hutches”

Eastman, if you had watched NHK last night they showed how Hakuba in Nagano has seen it's land prices rice by 38%! That is not the middle of Tokyo. Other places in Hokkaido are also seeing huge increases that are pricing locals out of the market. Again not only central Tokyo.

15 years into my mortgage and ready to sell!

Good idea if buying in a place where land prices are stagnant or falling. Not so much if planning to buy in neighborhood where land prices have gone up.

Deflation days are over. My neighbors tell me that wouldn't be able to afford another home in the same neighborhood anymore.

Why do they need another home? got one already. X sure as land demand increases urbanisation expands, i.e. tokyo over the last... since ~2008. Sure pay the price or accept that you can only afford a 'hamster cage' (sorry just invented that one) Tora planning /property aspirations are not always reality.

It’s 16% in Singapore. You can’t blame women having kids, nobody’s having children.

Expect rents to go up and not keep track with salaries. This is bad for Japanese not good.

Let’s remember, inflation suits the government to let them inflate their/our debt away. Deflation hasn’t hurt me or my family since the 90s. Inflation!!!!! Prices go up, and everyone salary somehow has to chase that, but never really beats it. Or the landlords companies pinch the rest, so the average smith/Suzuki isn’t better off. So it doesn’t really benefit the consumer except to say BUY it NOW.

Won't last long !

Japan sees sharpest rise in land prices since 1992

Wish this were true for where I bought my house out in the countryside.