#Japan #Tokyo #Real Estate #Renoveru #Renovation Trends

An Overview of Renovation Trends in the Japanese Real Estate Market

Renoveru Inc., headquartered in Minato, Tokyo, has recently published its user report, detailing the changes in buying and renovating secondhand condominiums. As a pioneering renovation platform, Renoveru aims to promote the circulation and utilization of real estate stock in Japan. This report aggregates the achievements from their one-stop renovation service.

Summary of Findings

The report highlights several pivotal trends in the real estate market:

• - The decrease of users considering both new and secondhand options, with an increase in those focused solely on secondhand purchases.
• - A notable rise in the number of properties built 21 to 30 years ago, while about 60% of purchased properties are over 31 years old.
• - An increase in younger buyers, particularly those in their 20s and early 30s.
• - Families and partner households now make up over 40% of the buying demographic.
• - The average renovation price has risen to 15,700,000 yen, up 15% from previous years.
• - Around 65% of users in the metropolitan area opted for properties in Tokyo.
• - The average living space for these renovations is approximately 68 square meters, slightly above the metropolitan average for new constructions.
• - There is a growing demand for forward-thinking counseling that allows buyers to choose homes based on their personal aspirations and lifestyle.

Changes in Buyer Demographics

In the current climate, potential buyers are increasingly favoring secondhand condominiums over new constructions. In 2024, only 40% of users were considering new units, a significant decrease from 67% in 2023. This shift demonstrates the growing acceptance of secondhand condominiums as a standard option in the housing market.

Age Distribution

Interestingly, the demographics of buyers have also shifted. The proportion of buyers in their 20s and early 30s increased sharply from 33% to 47% over two years. This trend is influenced by rising rental prices and a growing homeownership rate among younger individuals, which climbed from 35.2% to 39.7%.

Family Structure Changes

The report also notes that households comprising couples and partners now make up more than 42% of buyers, indicating a change in family structures where dual-income earners are increasingly common. This contrasts with the previous demographic balance that included a larger percentage of single individuals and families.

Pricing Trends

The rising costs for renovations are evident, with the average price now hitting 15,700,000 yen. This increase is attributed to rising labor and material costs, highlighting the trend of homeowners willing to invest more in enhancing their living experiences.

Regional Preferences

In terms of location, 65% of buyers in the Tokyo metropolitan area choose properties within Tokyo itself. This trend reinforces the notion that secondary markets outside the capital are not as appealing, further underlining the enduring desirability of Tokyo real estate.

Living Space Insights

As for space, the average property size now stands at 68 square meters, larger than the averages for new condos in the metropolitan area. This emphasizes the significant value that buyers find in secondhand options, which often provide more space at reasonable prices.

Future Outlook for Home Buying

As people navigate the complexities of modern living—with varied lifestyles and aspirations—the need for personalized guidance in home ownership is becoming more pronounced. About 90% of potential buyers express a desire for expert advice when faced with numerous options, indicating that many feel overwhelmed in the market. As a result, consultations aiming to clarify these anxieties have grown in demand, with statistics showing a 1.7 times increase in successful transactions following such expert advice.

Upcoming Events

In light of these findings, Renoveru is hosting ongoing consultation events where individuals can gain insights into purchasing secondhand properties and renovating them to meet their unique needs. Interested parties are encouraged to attend these informative sessions to explore their ideal living situations.

For further details about the user report and Renoveru's consultation events, please visit Renoveru.

Conclusion

Overall, the increasing attention to secondhand condominiums and the desire for personalized guidance reflect a transformative phase in the Japanese real estate market. As buyers continue to seek homes that align with their individual aspirations, the role of supportive counseling will be crucial in their decision-making processes.