Co-organized by The Standard and Sing Tao The Standard Overseas Property Online, the Overseas Property Facebook Live gathers insights from industry professionals and introduces outstanding property projects from top markets around the world.
In the latest episode of Overseas Property FB live held on May 7, Anvy Cheung, Chief Executive Officer of Sakura Group, and Edgar Huen, Sakura Japan Head of Project & Research (Japan), shared their views on Japan’s economic outlook and investment prospects.
Despite the global downturn due to the current pandemic, Cheung and Huen maintain a positive outlook on the Japanese property market. While a number of conservative property owners in Japan sold their property at a discount in view of the gloom in the market last year, the market has rebounded this year.
Cheung noted, “This year, the number of discounted property available has decreased drastically. Meanwhile, local investors have got used to the pandemic situation and retain their trust in the market. Therefore, there has been a boom in transactions, leading to a high demand for housing, especially in the primary market.”
Huen reckoned it is now an opportune time to invest in shops and Airbnb properties because of the country’s steady economic recovery, a stable currency, a low entry threshold, and sound returns on investment. “Although the number of tourists to Japan has dried up in the short term due to the coronavirus, I believe its attractions remain, and the tourist market will revive very rapidly after the virus is out of the way,” he said.
He pointed out that, in the pre-Covid era, shops and Airbnb properties in popular areas were very expensive and hard to come by, but they are now available at a discounted price.
For investors looking for residential homes, Cheung recommended second-hand studio apartments close to the CBD. “Studio flats have the highest turnover rate and are the easiest to rent out among the various configurations of homes in Japan,” she advised. “For homes situated close to the CBD, opt for those within a 1 to 5-minute walk from train stations; for homes that are farther from the CBD, opt for those that are within a 10-minute walk from the train station.”
Huen reminded investors to take into consideration the land price in making a purchase, and opt for properties built by well-established developers. He recommended two residential projects: ‘The High Horie’ and ‘The Premist Tower’.
He noted that, while both projects are developed by esteemed developers in Japan, they are available for both residential and commercial purposes. Therefore, investors can take advantage of the properties and apply for the Japanese Investor/Business Manager Visa. With price starting from HKD 2-3M, investors can expect a 5-6% rental yield.
With an office in Hong Kong and teams based in the UK and Japan, Sakura Japan Property Limited offers first-hand, second-hand homes, or dwellings under construction with comprehensive and thoughtful services, including on-site property inspections and repossessions.
Sakura Japan Property Limited
Tel: 6810 2200