[HN Gopher] Akiya houses: why Japan has nine million empty homes
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       Akiya houses: why Japan has nine million empty homes
        
       Author : pseudolus
       Score  : 83 points
       Date   : 2024-05-01 14:56 UTC (8 hours ago)
        
 (HTM) web link (www.theguardian.com)
 (TXT) w3m dump (www.theguardian.com)
        
       | toomuchtodo wrote:
       | Related?
       | 
       | https://www.japantimes.co.jp/news/2024/04/26/japan/society/h...
       | 
       | "The number of homeless people in Japan fell 8.0% as of January
       | from a year earlier to 2,820, the lowest level since data began
       | in 2003, the health ministry said in a survey report Friday."
        
         | Anon1096 wrote:
         | There have been lots of empty homes for a while now, so no, any
         | 1 year drop in homelessness rate is unrelated. But the absolute
         | number being low could be.
        
       | ZoomerCretin wrote:
       | > Vacant land attracts higher taxes in Japan than land with
       | buildings
       | 
       | A hell of an incentive to build or sell your land to someone who
       | will build. We've struggled with land speculation in the US for
       | longer than we've been a country despite an obvious solution
       | being available to fix this. We really could benefit from taxing
       | land value alone, regardless of the value of any structures on
       | top of it.
        
         | skybrian wrote:
         | There are lots of kinds of land. A vacant lot in a subdivision
         | is one thing, but what about agricultural land? How about a
         | wilderness land trust?
         | 
         | Incentives are a blunt instrument. They necessarily push in the
         | wrong direction sometimes, because they're dumb rules. Beware
         | one-size-fits-all solutions.
        
           | zdragnar wrote:
           | Neither agricultural nor wilderness trust land are counted as
           | vacant. There's specific zoning and tax rules in most
           | municipalities for them.
           | 
           | Land that is zoned for some form of residential, commercial
           | or industrial use but doesn't have building is considered to
           | be vacant.
           | 
           | The US doesn't have a shortage of land. However, vacant
           | _properties_ (residential or commercial buildings with no
           | tenants) are indeed a problem in densely populated regions.
           | 
           | For some areas, it's because the city population shrunk and
           | nobody wants to live there (Detroit comes to mind as a semi-
           | recent example) but for others it is speculative investors
           | who don't want to be a landlord and are just betting the
           | price will go up.
        
             | skybrian wrote:
             | In urban areas, sometimes they put in a parking lot, which
             | I suppose doesn't count as vacant?
        
         | gwern wrote:
         | Also a disincentive to _not_ buy land to build on, because now
         | you have to pay for the demolition of the dangerous pile of
         | rubbish on it pretending to be a house to reduce the tax
         | burden.
        
         | kube-system wrote:
         | There are similar tax incentives in the US, e.g. homestead
         | exemptions. A similar, if not better, effect could probably be
         | achieved by adjusting these programs.
        
       | stephc_int13 wrote:
       | This is likely something that will happen globally, simply
       | because of demographic trends.
       | 
       | Large cities will also be impacted, with a delay, as this is
       | where most young and educated people choose to live, for obvious
       | reasons.
       | 
       | In my opinion the housing market is the real demographic
       | dampener, more than anything else, and it means that the long
       | term trend for both demography and housing should be a slow
       | oscillation around equilibrium.
        
         | mynameisnoone wrote:
         | Everywhere except the SF Bay Area, Santa Cruz, Malibu, Boca
         | Raton, and Maui.
         | 
         | I think it's simply a communication and logistics problem to
         | match people from other areas to empty homes. If anything,
         | Japan and such should explicitly incentivize and encourage
         | migration to declining areas to ensure their own tax base.
        
         | ghaff wrote:
         | Many young and educated people in a relatively small number of
         | cities until they decide to start a family and then
         | historically they moved out. One also wonders what affect more
         | remote/hybrid work will have. My cohort in the late 80s
         | basically didn't live in the city unless that's where their job
         | was which it wasn't in the case of the computer industry.
         | There's nothing inevitable about young professionals wanting to
         | live in cities and certainly not staying there.
        
           | kube-system wrote:
           | Remote work is also giving professional workers more leisure
           | time, and many are putting more thought into where they live
           | as not just a place where they sleep, but also where they
           | work and socialize. Also, for the people who prefer living in
           | cities, there may be shifts in which cities are desired. Many
           | mid-sized cities in the US existed because of the physical
           | proximity required for the jobs there.
           | 
           | e.g. In 2001 a worker may have moved to Cincinnati or St
           | Louis because they got a job there. In 2024 a remote worker
           | might move to NYC or Austin because they want to live in
           | those places.
        
             | ghaff wrote:
             | Or they might decide NYC is an incredible luxury if they
             | don't have a job in finance there.
             | 
             | As I say, we'll have to see how it plays out. Obviously
             | fully remote has become a decidedly minority mode
             | (especially to the degree people worry their next job won't
             | be fully remote) contrary to what some expected during the
             | pandemic.
        
           | marssaxman wrote:
           | > until they decide to start a family and then historically
           | they moved out
           | 
           | That's a mid-to-late-20th century North American pattern
           | based on zoning restrictions, mortgage policies, highway
           | development policies, and racial conflict. There is nothing
           | inevitable about it, and Japan has had a completely different
           | experience.
        
           | autoexec wrote:
           | > There's nothing inevitable about young professionals
           | wanting to live in cities
           | 
           | I think it's more likely than not that young professionals
           | with money will want to live in places where they can easily
           | access a large variety of quality products, services, and
           | entertainment. Places where they can meet and spend time with
           | other young professionals. Once they get families they'll
           | tend to prioritize places with good schools, childcare, and
           | support systems (their parents, doctors, etc) but I don't
           | think being able to work from home is going to make people
           | want to live too far from cities while they are young.
        
             | ghaff wrote:
             | And the fact is that those good schools, for example, are
             | in the orbit of some of the more elite cities much of the
             | time. SF's geographical constraints I think sometimes
             | mislead people into thinking towns near expensive cities
             | are all equally expensive.
             | 
             | Many cities that are themselves expensive have suburbs and
             | exurbs, some of which are themselves very expensive, but
             | others of which are much more moderate and often have
             | decent school systems and may be within an hour for medical
             | care or an evening's entertainment.
        
           | carlosjobim wrote:
           | Young people will never be able to afford a home by working,
           | no matter how much they produce for the economy. It is
           | commonplace now that young people at the workplace produce 5x
           | as much as their older colleagues. But they are never
           | rewarded for it.
           | 
           | What they will get rewarded for though is getting (somebody)
           | pregnant. Then the parents of both the father and mother will
           | rush in to help them get real estate and to escape the dead
           | end of working.
           | 
           | In short, they can't afford to move out from the city until
           | pregnancy opens the doors for them.
        
             | beaeglebeachh wrote:
             | Lol this is the myth isn't it.
             | 
             | Reality is getting screamed at by a toddler while you
             | single-handedly build a depression era shack in desert
             | wasteland for 40k, while simultaneously working full time
             | and somehow caring for your kids too. Spend your time
             | tearing your hair out, essentially working 3 full-time jobs
             | while paying for daycare, rent, and construction materials
             | so despite all this work your financials go into a black
             | hole.
             | 
             | My parents did send me a $100 Lowes gift card, so there is
             | that. At least now I can do ghetto job of pretty much any
             | building trade.
             | 
             | It's mostly that having a kid lites the fire under your
             | ass, not so much others are helping because they usually
             | don't.
        
               | carlosjobim wrote:
               | My example is in the cases that young workers get any
               | help at all. Some families do it old school and actually
               | help their children without requiring pregnancy, but it's
               | much rarer. And as you said, many families won't help at
               | all.
        
             | WheatMillington wrote:
             | >It is commonplace now that young people at the workplace
             | produce 5x as much as their older colleagues.
             | 
             | Is this commonplace? This doesn't match my experience, not
             | in tech but in finance departments.
        
               | carlosjobim wrote:
               | In low margin or high intensity industries, you're not
               | going to have anybody who doesn't pull their own weight,
               | whether young or old. But for normal jobs, it's more or
               | less the norm that a huge number of your long-time
               | workers are doing hardly anything at all.
        
             | travem wrote:
             | > It is commonplace now that young people at the workplace
             | produce 5x as much as their older colleagues.
             | 
             | This does not sound connected to any reality I have seen,
             | and seems facially ageist.
        
               | carlosjobim wrote:
               | Call it what you want. I see it all the time. And not
               | many new slacker type jobs are being made, for young
               | people to do the same. Every generation probably has the
               | same percentage of people who don't do anything. The
               | difference is that such a person who is young is a "neet"
               | on unemployment, while such a person who is old collects
               | a nice paycheck from a job.
        
         | lugu wrote:
         | > In my opinion the housing market is the real demographic
         | dampener
         | 
         | As simple as it is, I never though of it this way. It makes
         | more sense to me than the commonly accepted explanation that
         | kids are a liability in modern life. Thanks!
        
           | OccamsMirror wrote:
           | It also explains why even in fairer countries with more
           | financial support for new parents, such as Norway, are also
           | not having kids anymore.
        
       | incomingpain wrote:
       | Japan's population decline does seem to suggest that they are
       | going to have ridiculously affordable housing for the foreseeable
       | future. But most likely a general thermodynamics of disrepair
       | over the buildings to come as well.
       | 
       | Don't own property in Japan.
        
         | downrightmike wrote:
         | It's the same as everywhere else. People will move to cities
         | for work because that's where the jobs will be. So buy there.
        
         | autoexec wrote:
         | > Don't own property in Japan.
         | 
         | Maybe don't buy property as an investment, but if someone
         | actually wants to live in Japan, finds a nice bit of land, and
         | can affordably build a nice place for themself in a small town
         | or countryside I doubt the declining population is going to
         | make them think twice.
        
           | spacebanana7 wrote:
           | If the decline becomes severe, areas can become difficult to
           | live in. Having schools, transport and shops closing for lack
           | of population sucks.
        
         | masklinn wrote:
         | Small / detached residential buildings have never really been
         | valuable in japan, with exceptions: because of natural
         | disasters either you could not expect the building to last that
         | long, or by the time you went around to buy it it was not up to
         | code anymore and you had to tear it down to build a new one.
         | 
         | Also while Japan's population declines overall, it also
         | concentrates in a few metropolises, so rural land becomes
         | cheaper, but also ever less attractive. Same with smaller
         | cities. Japan is not going to have "ridiculously affordable
         | housing for the foreseeable future", because the cheap housing
         | is not where people are looking for housing. It's like saying
         | that the US has affordable housing because NM has cheap land.
        
           | jwells89 wrote:
           | Relative to US cities, housing in Tokyo is generally pretty
           | affordable. High end condos in the most hot/central parts of
           | the city are still pricy but that's a small percentage of
           | available housing stock.
           | 
           | The places a friend of mine who lives in Tokyo has rented
           | over the years have all been considerably nicer and sometimes
           | larger than what one would get for the same price in SF, LA,
           | or NY while still being in walking distance of essentials and
           | a short train ride away from any part of the city.
        
       | spike021 wrote:
       | It doesn't seem like it went into much detail but while many of
       | these end up advertised to foreigners as cheap homes to buy,
       | they're not really easy to just live in unless you already live
       | and work in Japan. Simply buying an Akiya home and moving to
       | Japan won't be sufficient to live there.
       | 
       | Someone with more knowledge than me could probably explain this
       | better though.
        
         | timr wrote:
         | A lot of the most ridiculous deals you see online _require_
         | that you update the building. The whole reason they 're selling
         | the thing for pocket lint or the price of a cheap bento or
         | whatever is because they don't want it sitting there rotting.
         | 
         | Local municipalities are going to be very skeptical of anyone
         | without residence buying such a home.
        
           | aredox wrote:
           | Exactly. That's also the deal behind those "1 EUR houses" -
           | castles, even ! - that one can buy in Italy or Switzerland.
        
             | Faaak wrote:
             | Italy yes, but not Switzerland for sure! Maybe France or
             | Spain?
        
               | tstrimple wrote:
               | Don't count the Swiss out. Everyone likes building
               | castles.
               | 
               | https://en.wikipedia.org/wiki/List_of_castles_and_fortres
               | ses...
        
             | robocat wrote:
             | On 1EUR houses in Italy:
             | https://edition.cnn.com/travel/patrica-italy-town-one-
             | euro-h...
        
           | rootusrootus wrote:
           | Sounds much like the situation in Detroit.
           | 
           | I know someone who tried to pull that stunt and bought a
           | house in Detroit for just a few thousand dollars. It really
           | did not take the city all that long (less than a year for
           | sure) to decide he was not going to fix the place up. They
           | made him an offer he could not refuse -- give it to the
           | Detroit Land Bank for nothin, or go to court.
        
             | m463 wrote:
             | I remember browsing real estate sites with friends
             | comparing monthly rents in california to outright housing
             | purchases in detroit. But the former would have amenities
             | while the latter had ... adversities.
        
       | neaden wrote:
       | I've always heard that in Japan people don't generally buy a
       | house to live in, preferring to knock it down and build a new
       | construction. That seems like it would be an important
       | contributor since this is more like how many empty lots there
       | are.
       | 
       | Edit: Here's an article about it that was posted last year
       | https://news.ycombinator.com/item?id=36952874
        
         | coffeebeqn wrote:
         | They at least used to build houses that they expect to get
         | destroyed by natural disasters
        
           | RockRobotRock wrote:
           | Just because the construction is cheap doesn't mean they're
           | prone to falling down. They probably have the strictest
           | earthquake codes in the world.
        
         | timr wrote:
         | True, but becoming less common as build quality increases.
         | Setting aside woo-woo explanations (e.g. "people are afraid of
         | ghosts"), the primary driver of this phenomenon was/is that
         | older construction isn't up to code, and costs more to bring up
         | to code than to knock down and rebuild.
         | 
         | Houses with more intrinsic value -- for example, traditional
         | timber-frame homes, or machiya in Kyoto -- have more interest
         | for remodelers, even today.
        
         | m463 wrote:
         | Although it mentions urban houses, most of them seem to be
         | rural.
         | 
         | I can imagine this is significant because japanese cities are
         | probably very pleasant to live in, since they are safe and
         | people are very self controlled.
         | 
         | (cities in the US for instance, generally have city benefits,
         | but on balance require street smarts and caution)
        
           | KennyBlanken wrote:
           | > (cities in the US for instance, generally have city
           | benefits, but on balance require street smarts and caution)
           | 
           | In many US cities the crime rate is below what it is in rural
           | areas.
           | 
           | As a counterpoint: being non-Japanese and attracting the
           | attention of the police goes _very_ poorly. Some Japanese go
           | out of their way to try and start trouble with foreigners,
           | then claim you assaulted them, and bam, you 're into a
           | criminal justice system with a 99% conviction rate and some
           | of the worst prison conditions in the developed world.
        
       | Animats wrote:
       | The US has about 15 million vacant homes. Look in Zillow for
       | towns more than 20 miles from an Interstate.
       | 
       | Also, there's Cleveland.
        
         | neaden wrote:
         | US has about 2.7 times more people, so equivalent to 24 million
         | houses with US population.
        
       | duffyjp wrote:
       | I lived in rural Japan for two years, and there were a number of
       | akiya in my town and this was 20 years ago. I wasn't aware
       | property taxes are higher on vacant lots but that explains
       | things. The akiya I saw were 100% beyond repair, they looked like
       | something out of a dystopian movie.
       | 
       | I don't know the motive behind that tax law, but if they reversed
       | it I bet a lot of those eyesores would be torn down and replaced
       | with a little much needed green space. In my wife's neighborhood
       | in suburban Tokyo there were several lots used as mini farms or
       | fruit tree orchards. An infinitely better use of the space IMO.
        
         | Klonoar wrote:
         | > I wasn't aware property taxes are higher on vacant lots but
         | that explains things.
         | 
         | If you look around Tokyo and see the dumbest set up parking lot
         | possible, it's often a land owner who's just gotta put
         | something there.
        
       | swozey wrote:
       | I follow an American car drifter on youtube who moved to Japan in
       | '22 and I've been shocked at how affordable his life is. He has
       | kids and a wife and they'll go out to dinner and I think his
       | usual bill is in the 20-30s for everyone.
       | 
       | He said it's super hard to rent a house as a foreigner there, he
       | lucked out and found a landlord that knew him from youtube and
       | leased an absolutely beautiful townhouse for $1800 that would be
       | well into the $5ks in my city. Glass garage doors, just decked
       | out.
       | 
       | Fruit though, he loves to show how expensive the fruit is and
       | it's shockingly expensive. Not exact here but we're talking like
       | $10-20 for a single melon.
       | 
       | I'm not sure what city he's in, he seems to be IN a city and is
       | in Tokyo a lot but I can't remember if he's IN tokyo. So maybe
       | it's not Tokyo expensive but I'd always assumed Japan was
       | incredibly expensive to live in, in general.
       | 
       | If anyones interested he has a bunch of videos where he talks
       | about the move, house tour, etc. He's one of my favorite
       | youtubers and I'm not even that into the drift stuff.
       | 
       | https://www.youtube.com/watch?v=hDQkOPQXPLM
        
         | resolutebat wrote:
         | Those $20 melons (and it's not hard to find $100 melons) are
         | for gifting purposes. Suburban neighborhoods will have little
         | fruit and veg shops (yaoya) that sell all the fruit that's
         | _not_ perfect in every way at a steep discount.
        
       | chaostheory wrote:
       | Has Japanese culture changed its mind over immigration yet?
       | 
       | World demographics will likely get even worse if war spreads
       | globally, including in Asia.
        
         | resolutebat wrote:
         | The tide has shifted over bringing in "temporary" workers for
         | service industries. Convenience stores, hotels, restaurants etc
         | are increasingly staffed by Nepalese, Vietnamese, Taiwanese
         | etc.
         | 
         | However, Japan remains very resistant to accepting permanent
         | immigration.
        
       | hkmaxpro wrote:
       | For comparison, China's vacant home problem is at least 5 times
       | Japan's.
       | 
       | China probably has so many vacant homes that even 1.4 billion
       | people can't fill, according to an estimate of a former deputy
       | head of its National Bureau of Statistics last September [1].
       | 
       | If each vacant home is occupied by a household of 2.76 [2], there
       | are about 510 million vacant homes in China. That's 55 times
       | Japan's.
       | 
       | But China's population is only about 11 times Japan's. And vacant
       | homes only multiply over time [3].
       | 
       | [1] https://www.reuters.com/world/china/even-chinas-14-bln-
       | popul...
       | 
       | > How many vacant homes are there now? Each expert gives a very
       | different number, with the most extreme believing the current
       | number of vacant homes are enough for 3 billion people
       | 
       | > That estimate might be a bit much, but 1.4 billion people
       | probably can't fill them
       | 
       | [2] https://www.statista.com/statistics/1087871/china-average-
       | ho...
       | 
       | > The national average was 2.76 people per household in 2022.
       | 
       | [3] https://www.tbsnews.net/international/empty-houses-hit-
       | recor...
       | 
       | See the chart.
        
         | lozenge wrote:
         | China's vacant homes are new builds.
         | 
         | "Since the 1980s, China has built enough new housing to re-
         | house the entire population but the construction boom has
         | become a self-sustaining, perpetual engine of construction for
         | the sake of construction - supply with no demand. And there are
         | not just miles of empty apartment blocks but entire "ghost
         | cities" complete with office towers, hospitals, schools,
         | futuristic airports, museums, universities, libraries,
         | theaters, sports fields, and miles and miles of apartment
         | towers and subdivisions of McMansions - but almost no people.
         | (20) Twenty-one percent of China's urban residents, the wealthy
         | and middle classes, own two urban apartments, some own three or
         | four - all bought for speculation, not to live in, not vacation
         | homes. More than 22.4 percent of urban apartments and houses
         | remained vacant in 2014. (21) By one estimate, more than 64
         | million surplus apartments had been built in China, enough to
         | house almost half the population of the United States, yet
         | millions more are under construction."
        
           | hkmaxpro wrote:
           | So China's new vacant homes are similar to Japan's vacant
           | homes built in the 1980's and 90's, but 5 times the scale,
           | adjusted for the population.
           | 
           | BTW, you quoted the following article from 2015. The 64
           | million surplus apartments number is outdated.
           | 
           | https://truthout.org/articles/china-s-communist-
           | capitalist-e...
        
           | xenadu02 wrote:
           | A version of those huge stone coins found in some cultures.
           | The "owner" of the coin is in name only, it can't really be
           | moved. Value is stored via the knowledge of how many exist
           | and who owns them.
           | 
           | For China's ghost cities: Each empty apartment has a unique
           | address and an owner so I guess that counts as a byzantine
           | form of currency too. Maybe the BOC could print "empty
           | apartment" bank notes where it maintains the empty apartment
           | on your behalf but you can trade the note in for the deed to
           | the apartment.
           | 
           | What about stock shares.... eh let's not go there :)
        
       | gwbas1c wrote:
       | > Nevertheless, interest among foreign tourists in experiencing a
       | stay in traditional Japanese accommodation is high, with demand
       | currently outstripping supply, notes Sakata.
       | 
       | A few years ago I noticed that Universal Studios in Japan, and
       | nearby hotels, are cheaper than in LA. (I want to go to Super
       | Mario World.)
       | 
       | Unfortunately, flying my family to Japan is super-expensive.
       | 
       | Anyway, this article makes me want to stay in a converted house
       | in Japan.
        
       | kmeisthax wrote:
       | Ok, I'm curious, so I'll ask the dumb question. If I were to buy
       | one of these homes, how much of a bureaucratic nightmare would it
       | be?
       | 
       | For the record I don't live in Japan and have no viable
       | immigration basis. Nor do I have a clue if they have a "no
       | foreign property ownership" law like the one Canada just got. I
       | do speak rudimentary Japanese and could probably bumble my way
       | through the paperwork.
        
         | rgmerk wrote:
         | I've seen stories in the Australian media about foreigners
         | (Australians and Americans) buying these and restoring them.
         | The story was set up by a couple of Americans who've set up a
         | business assisting people to do it. Even taking into account
         | the fact that they were trying to promote their business, it
         | was clear that it's not easy, but with patience it's possible
         | to end up with a pretty amazing house incredibly cheap - at
         | least by, say, Californian standards.
         | 
         | The thing I found strangest is that some of the houses featured
         | were in beach towns not that far from Tokyo. If I were a
         | middle-class Japanese family, I'd be buying one of these as a
         | weekender.
        
         | lovemenot wrote:
         | By coincidence, I visited an Akiya in Nagano yesterday. It's
         | not free, but it's very cheap. I will probably buy it (+60%
         | likelihood). If so, I will spend additional 200% asking price
         | on repairs.
         | 
         | Technically, I am resident in Tokyo but own and live in a house
         | in Nagano. It had been empty for 6 years, but not abandoned
         | when I bought it 2 years ago. Here is what I know:
         | 
         | - There is no residence requirement to own property in Japan.
         | You can be domiciled anywhere.
         | 
         | - Even for a government-sold Akiya, you will pay some
         | reasonable fees to realtor and scrivener.
         | 
         | - You probably will not be able to get a loan if domiciled
         | overseas.
         | 
         | - Legal is not particularly difficult (compared to other
         | countries). I have only done it in person, and cannot imagine
         | doing it remotely.
         | 
         | - There is no option to do legal in English. You will need a
         | Japanese speaker. Or at least let them explain the documents at
         | your level. They will do so sincerely.
         | 
         | - If your akiya includes farmland, you will need to demonstrate
         | a plan to farm it. If the plan is not accepted by local govt,
         | or you don't fulfill the plan, the sale may be voided.
         | 
         | - It is generally not a scammy environment. ymmv.
         | 
         | Anyone thinking to buy property in Iida, Nagano please look me
         | up.
        
         | KennyBlanken wrote:
         | If you're not Japanese, a lot of things will be a nightmare.
         | Japan is _incredibly_ racist and xenophobic.
         | 
         | It also has a criminal justice system that convicts _everyone_
         | who ends up in court (being a Japanese judge seems to be easy
         | street redefined) and prison conditions are terrible.
         | 
         | Oh, and if you're black, expect to be constantly
         | followed/stopped by plainclothes police who will demand your
         | identity card, while not identifying themselves.
        
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