Japan real estate: Challenges of aging in large homes and managing inherited property

As Japan's population ages, homeowners are increasingly facing decisions regarding property maintenance and inheritance. One case study follows a 71-year-old couple who decided to sell their large 5LDK detached house, which they had occupied for over 30 years, in favor of a smaller 2LDK apartment near a station. The couple noted that maintaining unused rooms and managing garden upkeep became a burden as their children moved out.

According to the Ministry of Internal Affairs and Communications' '2023 Housing and Land Survey,' 87.6% of elderly couple households live in owned homes. However, experts warn that simply 'holding' inherited real estate without a management strategy can lead to declining asset value. To avoid the costs of property taxes, repairs, and vacancy risks, owners are encouraged to shift from a mindset of mere possession to one of active 'management,' making regular decisions on whether to repair, sell, or rebuild properties to ensure they remain viable assets for the next generation.