Encouraged by a weaker yen, Hong Kong investors are hunting for Japanese real estate, snapping up luxury second homes on Tokyo’s waterfront and seeking steady rental yields from studio apartments in smaller cities.
International property agents said sales have increased this year as the yen fell to multi-decade lows against the Hong Kong dollar, which has risen alongside the U.S dollar as the Federal Reserve raised interest rates while the Bank of Japan kept its ultra-easy policy. Expectations for an end to anti-COVID-19 border controls have also led to a recent rise in inquiries, although some clients were buying properties without even seeing them in person, they said.
"You have Japan as a tourist destination, as well as somewhere people can see themselves spending a lot of time,” said Jason Lam, the Hong Kong-based co-founder of Japan Hana Real Estate. "The falling yen has definitely triggered a lot of focus on Japan.”