2021 National Land Values (As of January 1st)
March 24, 2021
On a national average, the average for all uses has fallen for the first time in 6 years since 2015, residential areas for the first time in 5 years since 2016, and commercial areas for the first time in 7 years since 2014.
Looking at the average of the three major metropolitan areas of Tokyo, Osaka, and Nagoya, the average of all uses, residential areas, and commercial areas all fell for the first time in eight years since 2013.
Looking at the regional average, the average for all uses and commercial land fell for the first time in 4 years since 2017, and the residential land fell for the first time in 3 years since 2018.
Although it has weakened overall due to the effects of COVID-19, the degree of change in land price trends varies depending on the application and region. The change from last year in which commercial areas are larger than residential areas by use, and the three major metropolitan areas are larger than rural areas by region.
What is the National Land Value?
The official national value for land is one of the four types of public values set for each purpose of the competent ministry, and is the value which the Land Appraisal Committee of the Ministry of Land, Infrastructure, Transport and Tourism evaluates as of January 1 every year.
The evaluation period is the same as the inheritance tax value implemented by the National Tax Agency, but since the evaluation purpose is the standard for calculating the expropriation value of public land, it is the closest to the actual value, so it can be said to be a guideline for all public values.
How is this value used or analyzed?
In addition, since we as real estate agencies use this information as a judgment index when assessing land prices, the government’s official announcement attracts a ton attention almost every year.
|Name||Ministry||Official Evaluation Amount||Evaluation Period|
|National Land Value||Land Appraisal Committee, |
Ministry of Land, Infrastructure, Transport and Tourism
|Prefectural Land Survey Value||Prefectural Governor||100%||July 1st|
|Inheritance Tax Value||National Tax Agency||80%||January 1st|
|Property Tax Value||Mayor||70%||January 1st |
*Every 3 Years
The purpose of the National Land Values are as follows;
|Purpose and Use||Purpose for National Values|
|General Land Transaction Index||Values are used as a Reference|
|Calculation Standard for Public Work Compensation||Calculation Index for Accommodating Private Land in Public Work|
|Real Estate Appraisal Criteria||Evaluation Index for the Real Estate Appraiser|
In urban planning within specified areas in each prefecture, approximately 26,000 points nationwide are set as reference sites. The standard land value is evaluated by a surveyor (土地家屋調査士). The official value and the actual value may vary (traded value), the public evaluation is 100% of the value. It is said to calculate the actual or traded value, multiply the public evaluation by 1.1% to get a reference for the market value.
This trick or calculation method is just used as a guide since real estate prices and values will react to large scale developments in said areas.
Osaka Area: Largest Percent Increase
- Residential: Minoh-19: Standard Land Value 2021 ¥230,000 円/㎡ (y-o-y change of 4.5%)
- Address: 1-20-9 Senba Nishi, Minoh
- Commercial: Minoh 5-4: Standard Land Value 2021 ¥530,000 円/㎡ (y-o-y change of 8.2%)
- Address: 3-1-6 Senba Higashi, Minoh
With the construction of the train line Osaka Kitakyuko (Midosuji Extension) into Mino City, one could assume the value for land in this area should increase. Also, Osaka University will be opening a new campus in this area next month (April 2021).
Osaka Area: Highest Value
- Residential: Fukushima-7: Standard Land Value 2021 ¥1,050,000 円/㎡ (y-o-y change of 2.9%)
- Address: 3-13-2 Fukushima, Fukushima-ku, Osaka
- Commercial: Osaka Kita 5-28: Standard Land Value 2021 ¥22,900,000 円/㎡ (y-o-y change of -8.4%)
- Address: 4-20 Ofuka-cho, Kita-ku, Osaka
I could also assume the highest values for both residential and commercial land is found in Osaka Prefecture. As for the residential site found in the Nakanoshima area along Dojima River and the commercial location being Grand Front Osaka.
For the full data list click here: 2021 National Land Value Outline
What Stuck Out
Out of the approximate 26,000 surveys done, there were a few points of references which stood out for comparison measures.
Near Kutchan Station in Kutchan, Hokkaido, the villa area around Kutchan has become a global tourist destination as a Niseko resort brand. Development plans are underway with an eye on the end of the COVID-19 pandemic, and the number of transactions during the pandemic has risen due to a decrease in overall transactions. Although the rate has shrunk, land prices have continued to rise, making it the number one residential area in Japan.
In the commercial area in front of the station, there was a sense of expectation for improved convenience due to the extension of the Hokkaido Shinkansen, etc., and though the rate decreased, land prices continued to rise making it the number one commercial area in Japan.
- Kutchan-3: Standard Land Value 2021 ¥135,000 円/㎡ (y-o-y change of 25.0%)
- Kutchan 5-1: Standard Land Value 2021 ¥121,000 円/㎡ (y-o-y change of 21.0%)
Retail and the restaurant business (commercial real estate) was hit drastically due to the ongoing pandemic causing the number of domestic and international tourists to decrease dramatically.
- Osaka Chuo 5-2: Standard Land Value 2021 ¥21,100,000 円/㎡ (y-o-y change of -26.5%)
- Osaka Chuo 5-19: Standard Land Value 2021 ¥5,800,000 円/㎡ (y-o-y change of -28.0%)
Osaka Chuo 5-19 saw the steepest decrease among the commercial locations surveyed and the second steepest decrease overall.
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For the Original Reports: Ministry of Land, Infrastructure, Transport and Tourism