Inflation And Japan's Empty Houses

I'm sure you've heard Japan has a major population decline problem. Most all industrialized countries do. While it may mean hardship for the Japanese it also presents opportunities. Two of those opportunities are happening right now. One is inflation and the devaluing of the yen. The yen just hit 150yen to 1USD this morning.

(source - https://newsdig.tbs.co.jp/articles/-/757737)

It has been bouncing around the 140-150yen for over a month now which is great for me because my income is in dollars.

The other benefit of the population decline is real estate. While it might not be great from an investment stand point, it actually could be. Homes all over Japan are being liquidated at fire sale prices. Here are some examples.

This house is in Northern Nagoya and is only 3,960,000yen or $26,500. It is very typical of an older Japanese house. It will need cleaning and refinishing or several areas, but other than that it's livable. https://ieichiba.com/project/P202300678

I would redo the entrance and kitchen for sure.

I think Nagoya is the optimal place to live in Japan outside of Tokyo or Osaka because it is a large city in between the two mega cities.

This house I'd like to get into. The exterior needs a bunch or repairs, but nothing major, and the interior looks ok, but even though I love wood, I would re-do about 75% of it. It's 5,380,000yen or $36,000.
https://ieichiba.com/project/P202300550

I'd also have to wall off a room to make an additional bedroom which is no problem.

This property is only 6,000,000yen or $40,000. It's a 2BR that has been partially reformed. It is located next to Odawara, Hakone and other onsen towns. It's close to the JR station which is important if you plan to rent it out or as an AirBnB.

https://ieichiba.com/project/P202300337%E5%A4%A7%E4%BA%95%E7%94%BA%E4%B8%8A%E5%A4%A7%E4%BA%95

This house is up in Northern Japan, Iwate prefecture. If you don't mind living a bit in the countryside this would be a good place. It's 2,500,000yen or $16,770!

https://ieichiba.com/project/P202300471%E8%8A%B1%E5%B7%BB%E5%A4%AA%E7%94%B0

It's a large house with an agricultural barn in the back.

The large city of Morioka is only 30-40 minutes away by train or car which is a big plus.

This next property is for the serious investor. For 12,000,000yen or $80,500 you can pick up this mountain hotel!

https://furusato-net.co.jp/bukken/bukkenShosai/112.html

But a property like that comes with a lot of maintenance and utility bills so you would have to keep that in mind. Beautiful place.

For me places like this are an opportunity as I am a contractor and I love to reform houses. I could spend a few weeks in these houses and turn them into awesome places for both Japanese and foreigners. I've been talking to my wife about doing one to see what happens. She is on board as long as we don't have to move away from Tokyo..... Now that might be a problem. She said you can do it, have fun, they will stay in Tokyo. Works for me!

There are thousands of these properties all across Japan just waiting for the right people. Perhaps a foreigner who is looking for a second home? What ever the reason, there appears to be inventory for several years to come. Are you game?

Thanks for reading!