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Hiroshima is Japan's seventh-largest city and the gateway to western Japan, combining UNESCO World Heritage sites with a thriving local economy anchored by companies like Mazda.
The city's property market in 2026 is shaped by major infrastructure upgrades, including the new minamoa station building and Ekimae Ohashi tram route, which are reshaping which neighborhoods offer the best investment potential.
We constantly update this blog post to reflect the latest market conditions, official data releases, and infrastructure developments in Hiroshima.
And if you're planning to buy a property in this place, you may want to download our pack covering the real estate market in Hiroshima.
What's the Current Real Estate Market Situation by Area in Hiroshima?
Which areas in Hiroshima have the highest property prices per square meter in 2026?
As of early 2026, the three most expensive residential areas in Hiroshima are Hakushima in Naka-ku, the Nobori-cho and Kyobashi corridor near the city center, and the Kamiyacho and Hondori grid which forms the commercial heart of the city.
In these prime Hiroshima locations, residential land typically trades between ¥250,000 and ¥350,000 per square meter, with new condominiums in well-located buildings often exceeding ¥500,000 per square meter for built space.
Each of these expensive Hiroshima neighborhoods commands premium prices for distinct reasons:
- Hakushima: direct JR Hakushima Station access plus walkable distance to the CBD creates scarcity
- Nobori-cho / Kyobashi: sits between Hiroshima Station and city center, benefiting from both demand pools
- Kamiyacho / Hondori: peak commercial density with offices, shopping, and the best tram connectivity
Which areas in Hiroshima have the most affordable property prices in 2026?
As of early 2026, the most affordable areas for property buyers in Hiroshima are Asakita-ku in the northern suburbs, Aki-ku in the eastern corridor, and the outer portions of Saeki-ku away from the popular Itsukaichi and Rakurakuen stations.
In these budget-friendly Hiroshima neighborhoods, residential land typically ranges from ¥40,000 to ¥80,000 per square meter, and older condominiums can be found for under ¥200,000 per square meter of built space.
The main trade-offs in these affordable Hiroshima areas include longer commute times to central Hiroshima (often 40 minutes or more), a heavier reliance on cars rather than public transit, and in parts of Asakita-ku, elevated flood or landslide risk that requires careful micro-location screening before purchase.
You can also read our latest analysis regarding housing prices in Hiroshima.
We created this infographic to give you a simple idea of how much it costs to buy property in different parts of Japan. As you can see, it breaks down price ranges and property types for popular cities in the country. We hope this makes it easier to explore your options and understand the market.
Which Areas in Hiroshima Offer the Best Rental Yields?
Which neighborhoods in Hiroshima have the highest gross rental yields in 2026?
As of early 2026, the Hiroshima neighborhoods delivering the highest gross rental yields are Yokogawa in Nishi-ku (around 5.0% to 5.5%), Danbara in Minami-ku (around 4.5% to 5.0%), and the Astram Line corridor stations like Gion, Furuichi, and Nakasuji in Asaminami-ku (around 4.5% to 5.5%).
Across Hiroshima as a whole, typical gross rental yields for residential investment properties range from 3.5% to 5.5%, with the lower end found in premium Naka-ku locations where purchase prices are highest.
These high-yield Hiroshima neighborhoods outperform the city average because of specific local demand drivers:
- Yokogawa: JR plus tram/bus connectivity attracts students and young professionals with moderate rents
- Danbara: recent residential infill near Hiroshima Station keeps rents stable without CBD price premiums
- Gion / Furuichi / Nakasuji: Astram Line creates a direct commuter corridor with family-sized unit demand
Finally, please note that we cover the rental yields in Hiroshima here.
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Which Areas in Hiroshima Are Best for Short-Term Vacation Rentals?
Which neighborhoods in Hiroshima perform best on Airbnb in 2026?
As of early 2026, the top-performing Airbnb neighborhoods in Hiroshima are the Peace Park and Hondori area in central Naka-ku (with occupancy around 59% and ADR near ¥16,000), followed by the Hiroshima Station south side in Minami-ku (occupancy around 52% and ADR near ¥18,000).
Top-performing short-term rental properties in these Hiroshima neighborhoods typically generate between ¥150,000 and ¥250,000 per month in gross revenue, depending on unit size, seasonality, and guest ratings.
Each high-performing STR area in Hiroshima succeeds for specific reasons:
- Hondori / Peace Park (Naka-ku): walkable to Hiroshima's main tourist attraction and shopping street
- Hatchobori / Tatemachi: central tram hub makes it easy for tourists to reach Miyajima ferry
- Hiroshima Station south (Minami-ku): Shinkansen access appeals to business travelers and transit tourists
By the way, we also have a blog article detailing whether owning an Airbnb rental is profitable in Hiroshima.
Which tourist areas in Hiroshima are becoming oversaturated with short-term rentals?
The Hiroshima areas showing signs of short-term rental oversaturation are the immediate Peace Park walking radius in Naka-ku, the dense Hondori shopping corridor, and increasingly the blocks closest to Hiroshima Station's south exit.
AirDNA data shows over 650 active short-term rental listings concentrated in Naka-ku alone, creating meaningful competition for guest bookings in the most tourist-heavy blocks of Hiroshima.
The clearest oversaturation warning sign in these Hiroshima areas is when occupancy rates drop below 50% while new listings continue to appear, which we observe in peripheral tourist zones like Nishi-ku where occupancy sits around 37% despite reasonable nightly rates.
We have made this infographic to give you a quick and clear snapshot of the property market in Japan. It highlights key facts like rental prices, yields, and property costs both in city centers and outside, so you can easily compare opportunities. We’ve done some research and also included useful insights about the country’s economy, like GDP, population, and interest rates, to help you understand the bigger picture.
Which Areas in Hiroshima Are Best for Long-Term Rentals?
Which neighborhoods in Hiroshima have the strongest demand for long-term tenants?
The Hiroshima neighborhoods with the strongest long-term tenant demand are the Hatchobori and Kamiyacho core in Naka-ku, the Hiroshima Station corridor including Matsubara-cho and Kyobashi-cho in Minami-ku, and the Astram Line family zones around Nakasuji and Omachi in Asaminami-ku.
Well-priced rental properties in these high-demand Hiroshima areas typically find tenants within 15 to 25 days, compared to 45 days or more for overpriced units or properties in car-dependent outer locations.
Different tenant profiles drive demand in each of these Hiroshima rental hotspots:
- Hatchobori / Kamiyacho: young professionals and couples working in CBD offices
- Hiroshima Station area: corporate transferees, expats, and Shinkansen commuters
- Astram Line corridor: families seeking larger units with reliable transit to central Hiroshima
The key amenity that makes these Hiroshima neighborhoods attractive to long-term tenants is direct, car-free access to central Hiroshima via tram, JR, or Astram Line, which reduces commute stress and appeals to the 80% of Hiroshima renters who prioritize transit convenience.
Finally, please note that we provide a very granular rental analysis in our property pack about Hiroshima.
What are the average long-term monthly rents by neighborhood in Hiroshima in 2026?
As of early 2026, average monthly rents in Hiroshima range from around ¥45,000 for a studio near a tram stop to ¥180,000 or more for a family-sized 3LDK in central Naka-ku.
In the most affordable Hiroshima neighborhoods like Nishi-ku and Asakita-ku, entry-level 1K apartments typically rent for ¥40,000 to ¥55,000 per month, making them accessible for students and budget-conscious tenants.
In mid-range Hiroshima neighborhoods like Danbara, Yokogawa, and along the Astram Line, a 2LDK apartment suitable for couples typically rents for ¥80,000 to ¥110,000 per month.
In Hiroshima's most expensive neighborhoods around Hatchobori, Kamiyacho, and Hakushima, high-end 3LDK apartments for families often command ¥150,000 to ¥200,000 per month, especially in newer buildings with modern amenities.
You may want to check our latest analysis about the rents in Hiroshima here.
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Which Are the Up-and-Coming Areas to Invest in Hiroshima?
Which neighborhoods in Hiroshima are gentrifying and attracting new investors in 2026?
As of early 2026, the Hiroshima neighborhoods showing the clearest gentrification signals are the Hiroshima Station south side and Danbara corridor in Minami-ku, Yokogawa on the Nishi-ku edge, and the Inari-machi and Matoba-cho tram nodes benefiting from the new Ekimae Ohashi route.
These gentrifying Hiroshima neighborhoods have experienced annual price appreciation of roughly 2% to 4% over the past two years, outpacing the broader Hiroshima market average and attracting both domestic and foreign investor interest.
Which areas in Hiroshima have major infrastructure projects planned that will boost prices?
The Hiroshima areas most likely to see infrastructure-driven price increases are Hiroshima Station and its immediate south side blocks, the Inari-machi to Hatchobori tram corridor, and the Kamiyacho transfer hub which now has faster connections to both the station and Peace Park.
Two major infrastructure projects have already completed and are reshaping these Hiroshima neighborhoods: the minamoa station building opened in March 2025 with 220 shops, a cinema, and hotel, while the Ekimae Ohashi tram route opened in August 2025, bringing streetcars directly into the second floor of the station.
Historically in Hiroshima, neighborhoods near completed major transit upgrades have seen price increases of 5% to 15% over the three to five years following project completion, though gains vary based on how much the project improves actual commute times.
You'll find our latest property market analysis about Hiroshima here.
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.
Which Areas in Hiroshima Should I Avoid as a Property Investor?
Which neighborhoods in Hiroshima with lots of problems I should avoid and why?
The Hiroshima neighborhoods that present the most challenges for property investors include flood-prone valley edges in parts of Asakita-ku, industrial-adjacent streets in sections of Aki-ku, and any building in the tourist core where the HOA prohibits short-term rentals if your strategy depends on Airbnb income.
Each problem area in Hiroshima has specific risk factors investors should understand:
- Asakita-ku hillsides: elevated landslide and flood risk requires checking hazard maps before any purchase
- Aki-ku industrial edges: noise, truck traffic, and limited tenant appeal despite low prices
- Old walk-ups far from stations: slow resale liquidity and difficulty attracting quality tenants
- STR-restricted buildings: HOA rules can make Airbnb strategies impossible regardless of location
For these Hiroshima problem areas to become viable investments, you would need either major infrastructure improvements to reduce commute times, formal rezoning to address industrial conflicts, or a shift to long-term rental strategy that does not depend on short-term guest income.
Buying a property in the wrong neighborhood is one of the mistakes we cover in our list of risks and pitfalls people face when buying property in Hiroshima.
Which areas in Hiroshima have stagnant or declining property prices as of 2026?
As of early 2026, the Hiroshima areas showing the weakest price performance are outer Asakita-ku locations far from train stations, car-dependent pockets of Saeki-ku away from the Itsukaichi core, and older building stock zones in Aki-ku without meaningful transit upgrades.
These stagnant Hiroshima areas have experienced essentially flat prices or modest declines of 1% to 2% annually while central and station-adjacent neighborhoods have lifted 2% to 4% per year, widening the gap between convenient and inconvenient locations.
The underlying causes of price stagnation differ by Hiroshima neighborhood:
- Outer Asakita-ku: demographic decline and aging population reduce buyer demand
- Remote Saeki-ku: car dependency makes these areas unattractive to younger renters
- Aki-ku without upgrades: industrial character limits residential appeal despite proximity to Hiroshima
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Which Areas in Hiroshima Have the Best Long-Term Appreciation Potential?
Which areas in Hiroshima have historically appreciated the most recently?
The Hiroshima areas that have delivered the strongest price appreciation over the past five years are central Naka-ku blocks around Hakushima and Kamiyacho, the Hiroshima Station catchment in Minami-ku, and select Astram Line stations in Asaminami-ku that benefit from family demand.
Here is the approximate appreciation these top-performing Hiroshima areas have achieved:
- Hakushima (Naka-ku): roughly 15% to 20% cumulative gain over five years
- Kamiyacho / Hondori core: around 10% to 15% cumulative appreciation
- Hiroshima Station south: approximately 12% to 18% gain, accelerating with 2025 projects
- Gion Astram corridor: around 8% to 12% cumulative increase
The main driver of above-average appreciation in these Hiroshima areas is the combination of scarcity (limited available land in central locations) and connectivity improvements that make daily commutes easier without requiring a car.
By the way, you will find much more detailed trends and forecasts in our pack covering there is to know about buying a property in Hiroshima.
Which neighborhoods in Hiroshima are expected to see price growth in coming years?
The Hiroshima neighborhoods most likely to see continued price growth through 2026 and beyond are the Hiroshima Station south to Danbara corridor, the inner Naka-ku residential ring around Hakushima and Senda-machi, and the Inari-machi and Matoba-cho nodes that now have direct tram access to the station.
Projected price growth varies by neighborhood based on the strength of demand catalysts:
- Station south / Danbara: expected 3% to 5% annual growth as minamoa and tram upgrades mature
- Hakushima / Senda-machi: likely 2% to 4% annual appreciation from sustained lifestyle demand
- Inari-machi / Matoba-cho: potential 3% to 5% gains as new connectivity attracts residents
The single most important catalyst for future price growth in these Hiroshima neighborhoods is the completed Ekimae Ohashi tram route, which cuts approximately four minutes off the commute between Hiroshima Station and the city center and creates Japan's first elevated streetcar platform inside a station building.
We made this infographic to show you how property prices in Japan compare to other big cities across the region. It breaks down the average price per square meter in city centers, so you can see how cities stack up. It’s an easy way to spot where you might get the best value for your money. We hope you like it.
What Do Locals and Expats Really Think About Different Areas in Hiroshima?
Which areas in Hiroshima do local residents consider the most desirable to live?
Local Hiroshima residents consistently rank Hakushima, the Hondori and Kamiyacho shopping core, and the Danbara and Hijiyama areas near Hiroshima Station as the most desirable places to live.
Each desirable Hiroshima neighborhood appeals to locals for specific qualities:
- Hakushima: calm residential feel with excellent JR and tram access to everywhere
- Hondori / Kamiyacho: ultimate walkability for shopping, dining, and entertainment
- Danbara / Hijiyama: station convenience without the noise of the commercial core
These locally-preferred Hiroshima neighborhoods attract established professionals, dual-income couples, and families who value transit convenience and proximity to Hiroshima's best schools and hospitals.
Local preferences in Hiroshima largely align with what foreign investors target, with one notable difference: locals often prioritize school districts and neighborhood safety rankings that may not appear on investor radar screens focused purely on yield metrics.
Which neighborhoods in Hiroshima have the best reputation among expat communities?
The Hiroshima neighborhoods with the strongest reputation among expats are the Hiroshima Station south side including Matsubara-cho and Kyobashi-cho, central Naka-ku around Hondori and Hatchobori, and Hakushima for those seeking a quieter but still central lifestyle.
Expats prefer these Hiroshima neighborhoods for practical reasons:
- Hiroshima Station area: easy Shinkansen access for domestic travel and airport connections
- Hondori / Hatchobori: walkable international restaurants, English-friendly services, and nightlife
- Hakushima: residential calm with fast commutes to both station and city center
The typical expat profile in these popular Hiroshima neighborhoods includes English teachers at local schools, corporate transferees working at Mazda or related suppliers, and digital professionals who chose Hiroshima for its lower cost of living compared to Tokyo while maintaining good domestic connectivity.
Which areas in Hiroshima do locals say are overhyped by foreign buyers?
The Hiroshima areas that locals most commonly describe as overhyped by foreign buyers are the immediate Peace Park and Hondori tourist core, ultra-close Hiroshima Station blocks with constant pedestrian traffic, and waterfront locations promoted more for views than practical livability.
Locals see these Hiroshima areas as overvalued for specific reasons:
- Peace Park immediate radius: tourist crowds and noise make daily life inconvenient
- Hondori shopping street: great to visit but living above retail gets old quickly
- Station-front blocks: constant foot traffic and construction activity until projects settle
Foreign buyers are often drawn to these Hiroshima locations by the appeal of famous landmarks and assumed Airbnb potential, while locals prioritize quieter residential streets one or two blocks removed from peak tourist and commercial activity.
By the way, we've written a blog article detailing the experience of buying a property as a foreigner in Hiroshima.
Which areas in Hiroshima are considered boring or undesirable by residents?
The Hiroshima areas that residents most commonly describe as boring or undesirable include far-flung Asakita-ku residential sprawl without meaningful retail or dining, industrial-edge streets in Aki-ku with little neighborhood character, and older housing developments in remote Saeki-ku that require a car for every errand.
Residents find these Hiroshima areas undesirable for practical reasons:
- Outer Asakita-ku: limited shopping, aging population, and long commutes to central Hiroshima
- Industrial Aki-ku edges: truck traffic, limited greenery, and few cafes or restaurants
- Car-dependent Saeki-ku: fine for families with cars but isolating for anyone relying on transit
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What sources have we used to write this blog article?
Whether it's in our blog articles or the market analyses included in our property pack about Hiroshima, we always rely on the strongest methodology we can, and we don't throw out numbers at random.
We also aim to be fully transparent, so below we've listed the authoritative sources we used, and explained how we used them and the methods behind our estimates.
| Source | Why It's Authoritative | How We Used It |
|---|---|---|
| Hiroshima Prefecture Land Price Survey | Official government survey with per-square-meter prices by exact address. | We used this to anchor which micro-areas in Hiroshima are objectively expensive or affordable. We also tracked year-over-year changes to identify appreciation patterns. |
| MLIT Real Estate Transaction Price Information | Japan's national land ministry publishes actual recorded transaction prices. | We used this as the methodological backbone to verify that listing prices align with real transactions. We also used it to explain why listing-based data can sometimes be biased. |
| LIFULL HOME'S | One of Japan's largest property portals with transparent listing aggregation. | We used this for real-time market temperature by ward and to compare price levels across different Hiroshima neighborhoods. |
| AtHome | Major Japanese property platform with standardized rent and price pages. | We used this to triangulate rent and purchase price data against LIFULL, ensuring our yield calculations reflect multiple data sources. |
| AirDNA | Industry-standard analytics provider tracking Airbnb and Vrbo performance. | We used this to quantify occupancy, ADR, and revenue for short-term rentals in Hiroshima rather than relying on guesswork about Airbnb potential. |
| Hiroshima City Official Announcements | Primary source for infrastructure and transport project details from the municipality. | We used this to verify exact opening dates and routing details for the Ekimae Ohashi tram route and other infrastructure changes. |
| JR West Press Releases | Official announcements from the rail operator with verified project timelines. | We used this to confirm the minamoa station building opening date and scope, ensuring our infrastructure-based investment thesis is grounded in fact. |
| Hiroshima Electric Railway (Hiroden) | The tram operator's official project site with service change details. | We used this to pinpoint which stops and corridors benefit from improved connectivity and to cross-check routing information. |
| Japan Tourism Statistics (JNTO) | National tourism organization providing official visitor data. | We used this to frame Hiroshima's tourism demand backdrop and validate whether Airbnb performance claims align with actual visitor trends. |
| Reuters Japan Land Price Coverage | Major international outlet summarizing official MLIT survey results with clear attribution. | We used this only for national context to confirm that Hiroshima's price movements fit the broader Japan trend of rising land values. |
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