Government assessed value of real estates in Tokyo is high
When we consider in which prefecture we should buy real estate, it is better to compare with appraisal value of real estate and rental fee.
This data of government appraised value of real estate is issued from Ministry of Land, Infrastructure, Transport and Tourism in Japan.
This price is average residential land price by prefecture.
And rental fee is average rental fee of apartment by prefecture.
The amount is rental fee per 3.3 ㎡.
When you look at this file, you can see in Tokyo prefecture, land price is 34.19 times higher than rental fee.
On the other hand, in Hokkaido prefecture, it is only 4.66 times.
So, you can buy real estate in Hokkaido cheaper than Tokyo in comparison with rental fee.
( Nonetheless, many novice investors order me to find cheap real estate that is located in center of Tokyo. )
If you are going to live in Hokkaido, it is better to buy house rather than renting it.
And when you can buy real estate at reasonable price, it will mean that you can have chance to get high yield rate on investment.
Of course, we should consider other point of view, though.
You can find land in Tokyo is very high compared to other prefecture.