Nov 02 (benzinga.com) - The yen's depreciation has proved to be a boon for the Japanese housing market, as investors have been pouring money into the East Asian country's relatively cheaper real estate sector.
Real estate activity in Japan has been the strongest in the world as of May, with foreign investors doubling their investment year over year to $2 billion in the first quarter.
The growing interest in Japan's property market is driven by the nation's attractive lending conditions. This includes a 70% loan-to-value ratio and a low borrowing cost of approximately 1%.
Investors have been betting on the back-to-office trend, which led to a 110% year-on-year increase in office investment volumes in Japan during the first quarter, reaching $4.5 billion. According to data from JLL, offices constituted half of the total investment volumes and remained the primary choice for investment. ...continue reading