Niseko Real Estate & Property

Is the Niseko property boom over? The boom that saw land prices in Niseko go up 5 to 10 times in 5 years? That saw Niseko-Hirafu properties appreciate 30% last year, the highest in Japan? The boom that has fueled non-stop all-season development here in the central Niseko-Hirafu village?

There are several schools of thought, that generally coalesce around an optimistic: “The profit-taking has occurred, development is underway. It is no longer a high-return investment, but a lifestyle choice that will retain its value while providing respectable returns.” So says the man on the street.

Time will tell. 80% of the property in central Niseko-Hirafu has been sold at least once in the last few years. We forget exactly how many blocks did not have title changes during that time, but they were the exception, not the norm.

Land prices have indeed stopped appreciating, so the emphasis has moved onto developing the acquired properties. This continues unabated. Condominiums and homes throughout Niseko are generally selling at AUD $400,000 and up, with some high profile properties in the “upper village” fetching up to and over $1,000,000.

Most of the local Japanese are skeptical as they have seen this before, during the bubble era. People flocked to Niseko with bubble cash to play golf and tennis in the summer and ski in the winter. Once the bubble popped, so did Niseko’s property market. Some claim that prices now have not even reached the peak bubble prices, and there is some concern that another “bubble”, be it Aussie or otherwise, could jeopardize the gains made here.

Well, we don’t think what we’ve witnessed here is a bubble so to speak. What we witnessed is something amazing that only happens when different groups (in this case Japanese people and Australian skiers) value things differently. The Aussies who arrived here realized that marketed appropriately, to the right customers (Aussie, Kiwi, and Asia-Expat ski bums) they were sitting on a gold mine.

Although prices have rocketed through the roof, an amazing thing in a country that has been in an economic funk for the better part of two decades, there is still the possibility that prices will go higher. Considering what it costs to buy a place in Vail, you could even call it likely, particularly if the infrastructure in Niseko catches up with the snow.

Our advice is still… BUY. Maybe you shouldn’t expect to double your money… but you definitely should expect to experience the world’s deepest, finest, most consistent powder snow. See you on the slopes!

There was some talk amongst us about which property to profile first, but as it turns out the answer was right there hovering to the left of Mount Youtei on our site’s banner image… Miharashi Apartments.

That is Miharashi (Me-Hah-Rah-She). We’ve heard it pronounced comically by the winter influx of powder junkies… “We’re staying at the Maharaji, mate!” Miharashi means “A Beautiful View” in Japanese, and is also the name of one of the most popular tree runs on the mountain.

Miharashi is located in the center of the village next to Mina Mina. It is a short walk from shops, bars, and restaurants. There are three 2 bedroom apartments on the first floor, and three two floor 3 bedroom apartments on the upper floors. There is also a shared basement with a laundry room and drying facilities.

It was developed by the same firm that developed First Tracks, Powder Tracks, and Youtei Tracks. Completed in 2005 with occpancy rates in winter hovering around 90%. The return on investment has been substantial, as these were completed while the Hirafu property market was still on its rapid 3 year surge.

NisekoProperty.net is edited by unbiased and objective observers roaming the streets of Niseko-Hirafu to bring you unfiltered information about the Niseko real estate and property market by:

1. Observing, photographing, and commenting on existing Niseko properties, projects under construction, and available blocks of land.
2. Interacting with real estate agents and developers to bring you unfiltered information, opinions, and rumors regarding the Niseko real estate and property market.
3. Making investment recommendations based on our comprehensive knowledge of the Niseko real estate market, available properties, developers, real estate agents, property managers, Japanese real estate law, and relevant trends.

We love Niseko and we want people to feel good about their investment here. We’re confident that with quality information to inform your buying decision you’ll never regret investing in the snow capitol of the northern hemisphere… Niseko. See you on the slopes!