Prospects for real estate investment 2021

It has been almost 2 years since the Ministry of Health, Labor and Welfare announced the first new corona infection in Japan on January 16, 2020.

We all know that corona will not end soon and the new concept “working from home” has been become a common working style. Companies less require to have large offices in the city center when they let their employees work from home. This saves companies office rent cost and employees don’t have to commute on crowded trains very morning. Workers can spend more leisure time with their families and hobbies. This leads to change in real estate investment and rental management.

The renters tend to select a location which bring them and their families the most comfort. Moreover, instead of choosing the properties within 5-10 minutes to stations, they will not mind to choose the location within 15 minute walk. This brings more rent chances for properties which are a bit far from the stations. The selection of big cities or country side houses or mansions will be more broad than before coronavirus.

A “comfortable town” is an area where the conditions required by residents to improve their quality of life are met.
For example

・ There is a park where you can enjoy jogging
・ There is a nice library
・ There is a scenic cycling road
・ There is a cinema close by
・ Healed by the old streets

Suburban properties with lower rents and wider floor plans than properties in the city are attractive to residents who want to value their home time.

Having an independent working space and communication environment is a major premise, but it is also important to have the attractiveness of Plus Alpha to enjoy life.

・ There is a large living room where you can relax and watch movies.
・ You can have a kitchen garden in a large garden
・ You can spend time with multiple pets
・ There is an atelier familiar with art
・ There is a kitchen space where you can cook elaborate dishes
・ You can play an instrument without worrying about your surroundings

We do not know what will happen during long-term rental management.
Even if this corona wreck is gone, there is a good chance that the second and third new coronas will appear. Therefore, real estate investment is required to have the ability to accurately read and respond to changes in needs.