Is it worth it buying property in Hiroshima in 2025?

Authored by the expert who managed and guided the team behind the Japan Property Pack

Everything you need to know before buying real estate is included in our Japan Property Pack

Who is the author of this content?

BAMBOOROUTES

A team specialized in real estate investing in APAC countries (Japan, Thailand, Indonesia, Australia, etc.).

We are a team of financial experts, legal professionals, developers, and local real estate specialists dedicated to helping people like you avoid mistakes when investing in real estate in a foreign place, particularly in Japan. If you'd like to learn more about us, you can check our presentation page.

How this content was created 🔎📝

At BambooRoutes, we explore the Japanese real estate market every day. Our team doesn't just analyze data from a distance—we're actively engaging with local realtors, investors, and property managers in cities like Tokyo, Osaka, and Hiroshima. This hands-on approach allows us to gain a deep understanding of the market from the inside out.

These observations are originally based on what we've learned through these conversations and our observations. But it was not enough. To back them up, we also needed to rely on trusted resources

We prioritize accuracy and authority. Trends lacking solid data or expert validation were excluded.

Trustworthiness is central to our work. Every source and citation is clearly listed, ensuring transparency. A writing AI-powered tool was used solely to refine readability and engagement.

To make the information accessible, our team designed custom infographics that clarify key points. We hope you will like them! All illustrations and media were created in-house and added manually.

What kinds of properties are available to buy in Hiroshima in 2025?

Hiroshima's property market offers diverse options ranging from modern apartments to traditional detached houses and development land.

Apartments and condominiums dominate the central areas, with both new construction and pre-owned units available. These range from compact studios perfect for young professionals to spacious family apartments with multiple bedrooms. Most new developments focus on energy efficiency and modern amenities like advanced security systems and smart home features.

Detached houses are widely available in both urban and suburban wards, offering more space and privacy. Newer developments particularly emphasize energy-efficient designs and modern layouts, while older properties may require renovation but offer character and larger lots. These houses typically come with small gardens and parking spaces.

Land plots for residential and commercial development are especially abundant in suburban wards like Aki and Saeki, where ongoing development projects are expanding the city's footprint. These areas offer opportunities for custom builds or future development projects.

Investment properties including office spaces, retail locations, and small apartment buildings are also available for those seeking commercial real estate opportunities.

Is it better to buy or rent in Hiroshima right now?

Buying property in Hiroshima offers significant advantages for long-term residents and investors, particularly given the city's affordability compared to major Japanese cities.

Purchase prices in Hiroshima are over 80% lower than Tokyo, making homeownership accessible for many buyers. Rental costs are approximately 68% lower than Tokyo, but buying still provides better long-term value due to moderate price appreciation and stable rental yields. Property prices have shown consistent upward movement, especially in central and redeveloping areas.

For lifestyle considerations, Hiroshima provides an excellent balance of urban amenities with a relaxed living environment. The city offers less congestion than larger metropolitan areas while maintaining good infrastructure, cultural attractions, and job opportunities. Homeownership provides stability and the freedom to modify living spaces according to personal preferences.

Renting remains ideal for expats or those uncertain about long-term plans in Hiroshima. It requires less upfront capital, offers flexibility for relocation, and eliminates property maintenance responsibilities. However, rental markets in desirable areas can be competitive, and long-term renting may prove more expensive than purchasing.

Investment perspectives favor buying, with rental yields in central areas reaching 4-5.5% and moderate capital appreciation expected to continue through 2025.

How have property prices changed in Hiroshima over the past few years?

Hiroshima property prices have experienced moderate but consistent growth over recent years, with notable acceleration in premium segments during 2023.

Central areas have seen the strongest price appreciation, with new condominiums recording increases of up to 42.5% in 2023 alone. This growth reflects strong demand from both domestic buyers and international investors attracted to Hiroshima's combination of affordability and urban amenities. High-end properties have particularly benefited from limited supply and competition among affluent buyers.

Mid-range properties in urban and suburban areas have shown steadier but more sustainable growth rates of 5-10% annually. These areas benefit from infrastructure improvements and population growth as young professionals and families relocate to Hiroshima for employment opportunities and lifestyle benefits.

Looking toward 2025, property prices are expected to continue rising, particularly in central and redeveloping districts. Major infrastructure projects and urban renewal initiatives are driving value increases in key areas around Hiroshima Station and Motomachi. Suburban areas with good transport connections are also positioned for continued appreciation.

However, properties in outer districts and rural areas may see slower growth or slight declines due to demographic shifts and concentrated infrastructure investment in central zones. Overall market conditions suggest continued moderate price increases throughout 2025.

What are the current real estate market trends in Hiroshima?

The Hiroshima real estate market in 2025 shows strong buyer demand coupled with limited supply in desirable areas, creating competitive conditions favoring sellers.

Buyer activity has intensified, particularly among young professionals and families drawn by job opportunities and Hiroshima's lifestyle advantages. Corporate relocations and urban development projects have increased demand for quality housing in central areas. Foreign investors are also showing growing interest in Hiroshima's affordable entry points compared to Tokyo or Osaka markets.

Supply constraints are evident in central and high-end property segments, where available inventory struggles to meet demand. New construction is ongoing but cannot immediately address the supply-demand imbalance, particularly for move-in ready properties with modern amenities. This dynamic has contributed to accelerating price growth in premium locations.

Rental markets demonstrate robust demand, especially for modern, energy-efficient properties that appeal to environmentally conscious tenants. Rental yields in central areas are rising as property values increase while rental demand remains strong. Older properties face declining yields as tenants increasingly prefer newer, well-equipped units.

Major redevelopment and infrastructure projects continue enhancing property values in strategic districts. These initiatives include transportation improvements, commercial developments, and urban beautification projects that make affected areas more attractive to residents and investors.

What are the steps to buy property in Hiroshima as a foreigner?

Foreign nationals can purchase property in Hiroshima without restrictions, enjoying the same ownership rights as Japanese citizens including full freehold ownership of land and buildings.

No visa requirements exist for property purchase, though owning property does not grant residency or visa status in Japan. Buyers can complete transactions regardless of their current visa situation or residency status. However, long-term residents may find the process more straightforward due to established banking relationships and local knowledge.

While not strictly required, establishing a Japanese bank account significantly simplifies the purchase process, particularly for ongoing expenses, tax payments, and utility management. International wire transfers for property purchases are acceptable, but local banking facilitates smoother transactions and ongoing property management.

1. Property search through online platforms or real estate agents2. Property viewing and market research3. Submitting a letter of intent or formal offer4. Negotiating terms and signing a purchase agreement5. Arranging financing (cash or mortgage from Japanese or international lenders)6. Final settlement and title transfer procedures7. Registration with local authorities and tax reporting if required for non-residents

Engaging a reputable, bilingual real estate agent is strongly recommended to navigate language barriers, legal requirements, and cultural practices in Japanese property transactions.

Where can I find properties for sale in Hiroshima?

Multiple platforms and agencies serve Hiroshima's property market, offering various approaches to finding suitable properties for purchase.

Major online property portals include RealEstate.co.jp, Japan-Property.jp, and specialized international platforms like BambooRoutes.com that cater specifically to foreign investors. These platforms offer English-language interfaces, detailed property information, and filtering tools for specific requirements. Century 21 Global and other international franchises maintain local offices with multilingual services.

Local real estate agencies provide valuable on-ground expertise and may have exclusive listings not available on major platforms. Many established firms in Hiroshima offer bilingual services or can arrange translator support for foreign clients. These agencies often have better knowledge of emerging neighborhoods and off-market opportunities.

To verify agency legitimacy, check company registration status, read client reviews on independent platforms, and consult expat community forums for recommendations. Established agencies typically belong to professional associations and maintain transparent fee structures. Avoid agencies demanding large upfront payments or making unrealistic promises about returns or appreciation.

Property exhibitions and local networking events provide additional opportunities to meet developers, agents, and other investors. These venues often showcase new developments and provide insights into market trends and upcoming opportunities.

How much do I need to budget for different types of properties in Hiroshima?

Property prices in Hiroshima vary significantly based on location, age, and property type, but remain substantially more affordable than Japan's major metropolitan areas.

Property Category	Affordable Range (JPY)	Mid-Range (JPY)	High-End (JPY)
Central Apartments	15M - 25M	25M - 45M	50M - 100M+
Suburban Houses	20M - 30M	35M - 60M	70M - 120M+
Land (per tsubo/3.3m²)	800K - 1.5M	1.5M - 3M	3M - 5M+
Rural Properties	5M - 20M	20M - 30M	30M - 50M+
Investment Properties	25M - 40M	40M - 80M	80M - 150M+

These price ranges reflect current market conditions as of mid-2025, with premium locations commanding the highest prices. Central areas like Naka Ward and Minami Ward fall into higher price categories due to proximity to amenities, transportation, and employment centers. Emerging areas like Aki Ward and Saeki Ward offer better value while maintaining growth potential.

Additional costs include property taxes, registration fees, agent commissions, and potential renovation expenses. Foreign buyers should budget 5-8% of purchase price for transaction costs and legal fees.

What are the biggest mistakes people make when buying property in Hiroshima?

Property buyers in Hiroshima frequently encounter avoidable pitfalls that can significantly impact their investment returns and living experience.

Underestimating renovation costs represents the most common and expensive mistake, particularly with older properties or akiya (abandoned houses). While these properties may appear attractively priced, hidden structural issues, outdated electrical systems, or necessary modernization can cost millions of yen. Always conduct thorough inspections and obtain detailed renovation estimates before purchase.

Location research failures lead to poor investment decisions and lifestyle disappointments. Growth potential varies dramatically between Hiroshima's wards, with central and redeveloping areas showing strong value retention while outer districts may stagnate. Research infrastructure plans, demographic trends, and proximity to employment centers before committing to specific areas.

Building age considerations significantly impact both rental yields and maintenance costs. Properties over 20-30 years old may face declining rental demand as tenants increasingly prefer modern amenities, energy efficiency, and contemporary designs. Factor age-related depreciation and upgrade requirements into purchase decisions.

Skipping professional legal and agency support creates unnecessary risks and potential costly errors. Language barriers, complex legal procedures, and cultural business practices require expert guidance. Always engage reputable, bilingual agents and legal professionals familiar with foreign buyer requirements.

It's something we develop in our Japan property pack.

What's the cost of living like in Hiroshima compared to other Japanese cities?

Hiroshima offers significantly lower living costs than Japan's major metropolitan areas while maintaining excellent urban amenities and quality of life.

Compared to Tokyo, Hiroshima's overall cost of living is 30-45% lower across most categories. Housing costs show the most dramatic difference, with rental prices 60-70% lower than Tokyo equivalents. Utilities, groceries, dining, and transportation also cost substantially less while maintaining comparable quality and service levels.

Against Osaka, Japan's second-largest metropolitan area, Hiroshima remains more affordable with generally lower property prices and living expenses. The difference is less dramatic than with Tokyo but still represents meaningful savings, particularly for housing and daily expenses. Both cities offer similar cultural amenities and business opportunities.

Relative to smaller nearby cities and rural areas, Hiroshima commands higher costs but provides superior employment opportunities, educational facilities, healthcare services, and cultural amenities. The premium reflects the city's status as a major regional center with international connections and diverse economic base.

For international residents, Hiroshima's cost advantages become particularly apparent when compared to major Western cities, offering developed-world infrastructure and services at significantly lower costs. This combination makes Hiroshima attractive for both lifestyle migration and investment purposes.

Which areas in Hiroshima are best for buying property?

Hiroshima's diverse districts offer distinct advantages for different buyer profiles, from affordable family neighborhoods to premium central locations.

Affordable areas include Asaminami Ward, Aki Ward, and Saeki Ward, which provide excellent value for families and first-time buyers. These areas offer good transportation connections to central Hiroshima, family-friendly amenities, schools, and parks while maintaining lower property prices. Population growth and infrastructure improvements in these wards suggest continued appreciation potential.

Up-and-coming districts like Aki Ward combine urban conveniences with natural surroundings, appealing to buyers seeking lifestyle balance. Saeki Ward offers suburban tranquility with growth potential as the city expands and develops new residential areas. These locations provide opportunities for buyers to benefit from early-stage appreciation before areas become fully established.

Upscale central areas including Naka Ward and Minami Ward command premium prices but offer the highest demand, best amenities, and strongest price appreciation. These areas provide excellent access to shopping, dining, cultural attractions, and transportation hubs including the Shinkansen station. Professional services, international businesses, and expatriate communities concentrate in these central zones.

Central redevelopment zones around Hiroshima Station and Motomachi benefit from major infrastructure investments and urban renewal projects. These areas are experiencing significant transformation with new commercial developments, improved transportation facilities, and enhanced public spaces driving property value increases.

What's life like in Hiroshima for expats?

Hiroshima provides a comfortable environment for international residents with adequate support infrastructure and cultural amenities, though less extensively developed than Tokyo or Osaka.

International education options include Hiroshima International School as the primary provider, along with several smaller international programs and English-language kindergartens. While fewer options exist than in larger cities, available schools maintain good standards and serve the expatriate community adequately. Many local schools also offer English programs for internationally-minded families.

Social hubs and expatriate communities are active and welcoming, with regular international events, English-speaking groups, and cultural exchanges. Professional associations, hobby clubs, and volunteer organizations provide networking and social opportunities. The foreign community, while smaller than in major cities, is well-connected and supportive of newcomers.

Public transportation systems are excellent, featuring comprehensive tram networks, bus services, and convenient Shinkansen connections to Tokyo, Osaka, and other major cities. Navigation is straightforward with English signage in central areas and tourist zones. Bicycle transportation is popular and practical for daily commuting.

Language barriers exist but are manageable in central areas where English is more commonly spoken, particularly in business districts and international establishments. Suburban and rural areas require more Japanese language ability for daily interactions, though essential services increasingly accommodate English speakers.

We did some research and made this infographic to help you quickly compare rental yields of the major cities in Japan versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you're planning to invest there.

If I want to rent my property out long-term, what should I focus on?

Long-term rental investment in Hiroshima requires strategic area selection and understanding of tenant preferences to achieve optimal returns.

Prime rental areas include Naka and Minami Wards for their central locations, excellent transportation access, and high tenant demand. These areas attract young professionals, expatriates, and corporate tenants willing to pay premium rents for convenience and amenities. Aki and Saeki Wards represent emerging opportunities with growing family markets seeking value-oriented housing with good access to schools and parks.

Typical tenant demographics include young professionals working in Hiroshima's technology, manufacturing, and service sectors, families seeking affordable housing with good schools, university students and researchers, and corporate tenants on temporary assignments. International professionals and expatriate families represent a smaller but often higher-paying tenant segment.

Rental yields in central areas typically range from 4-5.5% gross annually, with newer properties commanding higher rents and yields. Older properties may achieve lower yields due to tenant preferences for modern amenities, energy efficiency, and updated fixtures. Property condition and amenities significantly impact rental demand and achievable rents.

Average rental rates vary by area and property type, with studio and one-bedroom apartments in central wards averaging around ¥60,500 monthly, while two-bedroom units achieve approximately ¥86,600 monthly. Larger family homes and premium properties command higher rents based on location and features.

It's something we develop in our Japan property pack.

What about short-term rentals in Hiroshima?

Short-term rental operations in Hiroshima are legally permitted but subject to specific regulations and zoning restrictions that require careful compliance.

Regulations for minpaku (short-term rentals) require property registration with local authorities and adherence to safety, hygiene, and operational standards. Some residential zones restrict or prohibit short-term rentals, particularly near schools and in exclusively residential areas. Operators must comply with tax obligations, neighbor notification requirements, and guest registration procedures.

Optimal zones for short-term rentals include central Hiroshima near major tourist attractions like Peace Memorial Park, areas around Hiroshima Station with convenient transportation access, and districts with high business traveler traffic. Tourist-friendly neighborhoods with restaurants, shopping, and cultural sites generate consistent booking demand.

Guest demographics include domestic and international tourists visiting Hiroshima's historical sites, business travelers attending conferences or meetings, visiting families and groups seeking temporary accommodation, and travelers using Hiroshima as a base for exploring the Chugoku region. Seasonal patterns favor spring (cherry blossom), summer festivals, and autumn periods.

Monthly earnings potential varies significantly by location, property quality, and management effectiveness. Well-located, professionally managed properties in central areas can generate ¥100,000-¥250,000 monthly, though income fluctuates seasonally and depends on occupancy rates, local events, and broader tourism trends.

Is it actually worth buying property in Hiroshima in 2025?

Property investment in Hiroshima presents compelling opportunities across multiple investment strategies, particularly for buyers seeking affordable entry into Japanese real estate markets.

For residential living, Hiroshima offers exceptional value with property prices 80% lower than Tokyo while maintaining high quality of life, excellent infrastructure, and strong urban development. The city provides an ideal balance of metropolitan amenities and livability, making homeownership both affordable and rewarding. Ongoing infrastructure projects and economic development support long-term residential value.

Rental investment prospects are robust with rental demand remaining strong across multiple tenant segments. Central areas achieving 4-5.5% rental yields, combined with moderate capital appreciation, create attractive total returns. The city's growing economy, educational institutions, and expatriate population provide diverse tenant demand supporting rental income stability.

Resale potential varies by location, with central and redeveloping areas showing strongest appreciation prospects while outer districts face more limited growth. Strategic area selection focusing on infrastructure development zones and demographic growth areas offers the best potential for capital gains. However, overall market conditions suggest steady rather than explosive appreciation.

As we reach mid-2025, Hiroshima's combination of affordability, growth potential, regulatory accessibility for foreign buyers, and quality of life creates a compelling investment proposition for both lifestyle and financial objectives.

It's something we develop in our Japan property pack.

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.

Sources

1. RealEstate.co.jp - Hiroshima Properties
2. Japan Today Real Estate - Hiroshima
3. BambooRoutes - Hiroshima Areas Guide
4. BambooRoutes - Hiroshima Real Estate Trends
5. BambooRoutes - Hiroshima Forecasts
6. Numbeo - Cost of Living Comparison
7. Living Cost - Hiroshima vs Tokyo
8. Global Property Guide - Japan Rental Yields
9. Japan Property - Hiroshima Investment Guide
10. RealEstate.co.jp - Japanese Property Investment