Japan land prices decrease for 1st time in 6 years amid COVID-19 pandemic

TOKYO: JULY 1 – Land prices in Japan fell an average of 0.5 percent in 2021 compared to a year before, down for the first time in six years due to sluggish demand by foreign visitors amid the COVID-19 pandemic, government statistics revealed Thursday.

According to the data released by the National Tax Agency, as of Jan. 1, land prices decreased in 39 of the country’s 47 prefectures.

The metropolitan areas of Tokyo, Osaka, and Aichi, and 10 other prefectures suffered a setback after increasing in the previous year.

Shizuoka logged the sharpest decline of 1.6 percent, followed by Gifu and Ehime, both down 1.4 percent.

Meanwhile, seven prefectures saw land prices rose, down from 21 prefectures last year, with the margins of increase narrowing.

Fukuoka marked the largest increase of 1.8 percent, while land prices in Okinawa went up 1.6 percent.

Of the 47 prefectural capitals, prices fell in 22, compared to one last year, especially at tourist spots and downtown areas.

Used for calculations of inheritance tax and gift tax, the tax agency’s annual survey of prices per one square meter of land facing major roads as of Jan. 1 covered about 325,000 points across Japan this year

-XINHUA