Rosenka land values increase nationwide for 5th year in a row
On July 1, the National Tax Agency announced the rosenka land values for 2020. Land values nationwide saw a 1.6% year-on-year increase, an improvement from the 1.3% increase seen in 2019 and the fifth year in a row to see growth.
Tax breaks and better home loan rates to boost Japan's second-hand home market
As part of a plan to support and boost the market for used homes, the Japanese government is considering introducing measures to encourage lower interest rates on mortgages that include a component for renovations as well as tax benefits for buyers of older homes.
Although there is growing demand from consumers for relatively cheaper existing homes, more than half require some form of work such as earthquake-retrofitting or upgrades to make them barrier-free for older occupants. It is hoped that easier financing will encourage more consumers to consider older homes and reduce the number of vacant homes across the country.
Expanding the Flat 35 Home Loan
The Japan Housing Finance Agency’s ‘Flat 35’ home loan offers interest rates from as low as 1.69%. Although the loan can be used for both new and old properties, it may soon be expanded to provide additional financing for renovation costs at the time of purchase.Read more
Toshima-ku to extend tax on studio apartments
Toshima-ku in Tokyo announced that they will extend the special tax on builders of studio or 'one-room' apartments for another five years.
The tax applies to buildings with 9 or more apartments that are less than 30 sqm (323 sqft) in size. A construction company must pay a tax of 500,000 Yen on each studio apartment within two months of the commencement of construction.Read more