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Hiroshima's property market offers exceptional value compared to major Japanese cities like Tokyo and Osaka. As of September 2025, central apartments average ¥271,000 per square meter while suburban properties provide excellent opportunities at ¥170,000 per square meter. The city has experienced remarkable growth with new condos seeing 42% price increases in redevelopment zones, making it an attractive destination for both investors and residents seeking quality properties at competitive prices.
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Hiroshima's property market stands out as one of Japan's best value investments, with central apartments at ¥271,000/sqm and suburban properties at ¥170,000/sqm as of September 2025.
The city has seen consistent growth over the past five years, with properties appreciating 2-4% annually and exceptional spikes in redevelopment areas reaching 42% year-on-year for new builds.
| Property Type | Central Hiroshima Price | Suburban Price |
|---|---|---|
| Apartments | ¥271,000/sqm | ¥170,000/sqm |
| Detached Homes | ¥35M-70M+ | ¥25M-35M |
| Land (per tsubo) | ¥1.5M-3M+ | Lower rates |
| Commercial Space | ¥300,000+/sqm | Varies by location |
| Average Land Price | ¥141,900/sqm | ¥141,900/sqm |
| Total Purchase Costs | +8-10% additional fees | +8-10% additional fees |
| Mortgage Rates | 0.45-1.8% APR | 0.45-1.8% APR |
What's the current average price per square meter in Hiroshima?
The current average price per square meter in Hiroshima varies significantly between central and suburban areas as of September 2025.
Central Hiroshima apartments command ¥271,000 per square meter ($1,817/sqm), representing a 9% year-on-year increase for existing condominiums. New condominiums in redevelopment zones have experienced even more dramatic price jumps due to urban renewal projects transforming the cityscape.
Suburban apartments offer considerably better value at ¥170,000 per square meter ($1,133/sqm), with these areas experiencing modest or stable growth patterns. The prefecture-wide land price averages ¥141,900 per square meter ($948/sqm) in 2024, up from ¥137,000 per square meter in 2023.
Detached homes in suburban areas typically range from ¥25-35 million ($179,000-$250,000), while central properties command significantly higher prices. This pricing structure reflects Hiroshima's position as an exceptional value market compared to Tokyo and Osaka.
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How does the price vary depending on property type?
Property prices in Hiroshima vary dramatically across different types and locations, with clear distinctions between residential, commercial, and land investments.
| Property Type | Central Hiroshima | Suburbs/Towns |
|---|---|---|
| Apartments | ¥271,000/sqm | ¥170,000/sqm |
| Detached Homes | ¥35M-70M+ | ¥25M-35M |
| Land (per tsubo) | ¥1.5M-3M+ | Lower outside center |
| Commercial | ¥300,000+/sqm | Data limited |
| New Developments | Premium pricing +20-30% | Moderate premium |
Which neighborhoods offer the best value and growth potential?
Hiroshima's neighborhoods fall into distinct categories based on pricing, amenities, and growth potential as of September 2025.
The most expensive areas include Naka Ward (downtown) and Minami Ward, along with redevelopment zones around Hiroshima Station and Motomachi. These premium locations command the highest prices due to superior amenities, transportation access, and consistent appreciation rates.
Up-and-coming neighborhoods present excellent opportunities for growth-focused buyers. Aki Ward combines urban convenience with natural beauty, while expanding areas near Saeki Ward benefit from new infrastructure projects. These districts offer strong long-term appreciation potential at more accessible entry prices.
Budget-friendly options include Asaminami Ward, Aki Ward, and Saeki Ward, which remain popular among families and first-time buyers. These areas provide larger homes at prices significantly below central Hiroshima while maintaining good quality of life and community amenities.
The redevelopment zones around major transportation hubs represent the fastest-growing segments, with new builds experiencing 42% price increases year-on-year in select areas.
How do central and suburban prices compare?
The price differential between central Hiroshima and suburban areas reflects distinct market dynamics and buyer preferences.
Central Hiroshima properties command premium pricing with faster appreciation rates, stronger rental demand, and superior access to the Shinkansen, major offices, and urban amenities. The ¥271,000 per square meter average for central apartments represents the city's most desirable and liquid market segment.
Suburban and nearby town properties offer substantial savings with lower pricing, stable or slow growth patterns, and appeal primarily to families and value-focused buyers. The ¥170,000 per square meter suburban apartment average provides nearly 40% savings compared to central locations.
Up-and-coming suburban areas with new transport links may experience faster appreciation than established suburban neighborhoods. The key factor determining suburban property performance is proximity to planned infrastructure improvements and urban expansion projects.
Investment returns favor central properties for rental income and capital appreciation, while suburban properties excel in providing larger living spaces and family-friendly environments at more affordable price points.
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What are typical purchase prices for different property sizes?
Concrete purchase prices in Hiroshima demonstrate the city's competitive positioning within the Japanese real estate market.
A city center 2-bedroom apartment (60 square meters) typically costs around ¥16.3 million ($109,000). Premium new units (70 square meters) in desirable central locations range from ¥19-28 million ($127,000-$187,000), reflecting the quality and location premium.
Suburban detached houses (120 square meters plus land) generally cost ¥25-35 million ($179,000-$250,000), offering excellent value for families seeking space and privacy. These properties often include gardens and parking, providing suburban lifestyle benefits.
Land plots for construction (30 tsubo/99 square meters) range from ¥4.5-9 million ($31,000-$62,000) in central areas, with suburban plots available at lower prices. This option appeals to buyers wanting custom-built homes.
Commercial spaces (100 square meters in the Station area) typically cost ¥30-40 million ($215,000-$285,000), often higher for premier locations with maximum foot traffic and business potential.
What additional costs should buyers expect?
Total property acquisition costs in Hiroshima extend well beyond the purchase price, requiring careful budgeting for various fees and taxes.
Upfront buying costs add 8-10% of the purchase price through various mandatory expenses. Agent fees reach the legal maximum of 3% of the purchase price plus ¥60,000, subject to 10% consumption tax on the fee portion.
Stamp taxes range from ¥10,000-30,000 depending on the property value, while registration, inspection, and mortgage fees contribute additional costs. These miscellaneous expenses can accumulate significantly for higher-value properties.
A typical example illustrates the real cost impact: a ¥25 million home would incur ¥2-2.5 million in additional costs beyond the purchase price. This represents a substantial portion that buyers must factor into their financial planning.
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How do mortgages work in Hiroshima?
Hiroshima mortgage markets offer competitive terms that make property ownership accessible for qualified buyers as of September 2025.
Interest rates currently range from 0.45-1.8% APR for residential loans, with terms extending up to 35 years. Most banks provide both fixed and variable rate options, allowing borrowers to choose based on their risk tolerance and market outlook.
Monthly payment calculations demonstrate affordability: a ¥25 million property financed over 30 years at 1% interest generates monthly payments of approximately ¥80,000-85,000. This payment level remains manageable for most middle-income households.
Qualification requirements include proof of income, residency status, and down payments typically ranging from 10-20% of the purchase price. Foreign buyers may face additional documentation requirements but can generally access similar loan terms.
The combination of low interest rates and reasonable qualification standards makes Hiroshima mortgages attractive compared to many international markets, supporting both domestic and foreign property investment.
How have prices changed over recent years?
Hiroshima property prices have demonstrated consistent upward momentum over the past five years, with acceleration in recent periods.
The five-year trend shows steady appreciation with city center apartments rising from ¥200,000 per square meter to the current ¥271,000 per square meter. Detached homes have experienced 2-4% annual appreciation, while land prices climbed from ¥120,000 per square meter in 2019 to ¥141,900 per square meter in 2024.
The most recent year has brought notable acceleration with condominiums up 9%, land prices increasing 3.5%, and new builds surging 42% in select redevelopment zones. This represents an exceptional period driven by urban renewal projects and increased investor interest.
These price movements reflect Hiroshima's growing recognition as an attractive alternative to higher-priced major cities, combined with local economic development and infrastructure improvements enhancing the city's appeal to residents and investors.
The consistent appreciation pattern suggests a healthy market with sustainable growth rather than speculative bubbles seen in some other Japanese cities.
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What's the forecast for Hiroshima property prices?
Hiroshima property price forecasts indicate continued growth across multiple timeframes, driven by ongoing development and market fundamentals.
Next year (2026) projections suggest central area prices will rise 3-7%, with suburban areas experiencing stable or gentle increases. This moderate growth rate reflects sustainable market conditions without overheating concerns.
The five-year outlook (2030) anticipates 20-30% growth for city center properties, supported by continued investment and ongoing development projects. This projection assumes sustained economic growth and infrastructure improvements enhancing Hiroshima's attractiveness.
Ten-year forecasts (2035) predict continued moderate growth with eventual leveling as the market matures. Future urban renewal projects may create periodic spikes, but overall appreciation rates should moderate as the city approaches full development potential.
These forecasts depend on continued economic stability, population growth, and successful completion of planned infrastructure projects that enhance Hiroshima's regional importance and livability.
How does Hiroshima compare to similar Japanese cities?
Hiroshima's property prices position it as exceptional value compared to other major Japanese cities while offering similar growth potential.
| City | Average Price/sqm (Central) | Year-on-Year Change |
|---|---|---|
| Tokyo | ¥819,000-1,116,000 | +10.7% |
| Osaka | ¥477,000-875,000 | +2.3% |
| Fukuoka | ¥700,000-800,000 | +9% |
| Hiroshima | ¥271,000 | +9% |
| Nagoya | ¥400,000-600,000 | +3-5% |
| Sapporo | ¥300,000-450,000 | +5.8% |
What are the smartest property choices by investment strategy?
Different investment strategies in Hiroshima require specific property selections to optimize returns and meet individual objectives.
Long-term residents should focus on central neighborhoods for convenience and appreciation potential, or growing family districts like Asaminami, Aki, and Saeki for better value and quality of life. These areas provide the best balance of livability and long-term wealth building.
Short-term rental investors should target properties near tourist attractions including Naka Ward, Peace Park, and areas with Miyajima access. These locations generate high revenues but require careful attention to legal requirements and seasonal demand fluctuations.
Long-term rental strategies work best in areas with reliable demand such as the Hiroshima Station area, university districts, and central business zones. These properties typically yield 4-5.5% with stable occupancy rates and minimal management challenges.
Resale-focused investors should consider up-and-coming districts and redevelopment zones for capital gains potential, or akiya (old houses) for value-add renovation projects if comfortable with higher risk and active management requirements.
What are the best current opportunities in Hiroshima's market?
Current market conditions in Hiroshima present several compelling opportunities for different types of property buyers and investors.
Central apartments offer turnkey investment opportunities with approximately 4-6% yields and low vacancy rates. These properties provide steady cash flow with minimal management requirements and strong appreciation potential in prime locations.
Akiya renovation projects present higher yield potential (6-10%) with lower upfront costs, but require renovation expertise and carry additional risks. These opportunities appeal to hands-on investors comfortable with property improvement projects.
Early investment in up-and-coming districts like Asaminami, Saeki, and Aki offers lower current prices with strong appreciation potential. These areas benefit from ongoing development while remaining accessible to first-time buyers and value-focused investors.
Land acquisition near redevelopment zones could benefit from the next wave of urban upgrades, providing long-term capital appreciation for patient investors willing to hold properties through development cycles.
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Conclusion
This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.
Hiroshima represents one of Japan's most compelling property investment opportunities, combining exceptional value with strong growth fundamentals and sustainable market conditions.
The city's strategic position, ongoing development projects, and competitive pricing compared to Tokyo and Osaka make it an ideal choice for both residents and investors seeking quality properties with appreciation potential.
Sources
- Hiroshima Price Forecasts - BambooRoutes
- Japan Average Land Price Hiroshima - Statista
- Hiroshima Property Market - BambooRoutes
- Japan Property Investment Guide
- Best Areas in Hiroshima - BambooRoutes
- Buying Real Estate in Japan Complete Guide
- Cost of Buying Real Estate in Japan
- Real Estate Purchase Costs Japan
- SMBC Housing Loan Interest Rates
- Apartment Prices in Japan - BambooRoutes