Single-person households are on the rise in Tokyo — and the real estate market is quickly adapting to this major societal shift.
Hitorigurashi — the Japanese word for living alone — was once an exception rather than the norm. Traditionally a collectivistic society, Japanese people would live with their family until they married and started one of their own. Living with multiple generations and extended family was the way of life in Japan for a very long time, but things are changing.
Since the 1970s, the number of single-occupancy households have been steadily increasing and now make up the majority of homes — not only in Tokyo, but across Japan. So, does that spell a dystopian future of millions of lonely people passing each other like ships in the night in the megalopolis of Tokyo? Or, rather, does it symbolise a newfound freedom for the Japanese, who traditionally have been under overarching peer pressure to exist only within fixed groups like the family, company, or local community?
Previously, living solo was mainly a matter for the elderly, especially widowed women, in Japan. Women often outliving their husbands and the famed long-life expectancy are at the root of this demographic trend. However, the recent spike in younger people of both genders living alone is more likely due to marriage trends, according to research. In 1980, only 1 in 50 Japanese men had never been married by the age of 50, and just 1 in 22 women by the same age. Now that status applies to 1 in 4 men and 1 in 7 women. Many of them prefer to live alone rather than with their parents or they might have come from more rural areas of Japan to live and work in Tokyo by themselves. In fact, the number of 20–39-year-olds living in a single-person household increased by 19% for men and by 89% for women over a 25-year period between 1985 and 2010.
Generally, living alone can paint a bleak picture: It's connected to reduced happiness, social isolation, and a greater economic burden by not sharing costs. There are many studies showing that married couples or those living with their families are happier than those living alone)
Yet, the Japanese seem to embrace going it alone Karaoke businesses, who typically cater to groups of drunk coworkers after long office hours, have now made it more socially acceptable to sing by yourself. Plenty of ohitorisama (party of one) deals exist. For example, Karaoke Kan, one of the biggest chains in Japan, has fitted many of its Tokyo outlets with booths designed for only one person. Koshidaka karaoke chain found that about 30% of its customers in central locations are singing solo.
Single dining has also become acceptable, with a number of ramen joints and family restaurants offering tables designed for single guests.
The travel industry also jumped on the bandwagon: While it used to be virtually impossible to book a ryokan (upscale traditional Japanese hotel) room for one person, the option now exists on many travel sites.
Nomura Research Institute found that both male and female interviewees self-reported being happy to do things by themselves. Social scientists and market researchers have dubbed the trend ‘super solo society’.
The National Institute of Population and Social Security Research projects that people living alone will make up nearly 40% of all households in Japan by 2040, also citing delayed marriage, no marriage and a rise in divorce as the main reasons.
Only time will tell if people will be as satisfied with this living arrangement as they say, and if the services offered by businesses catering to the ohitorisama diffuse some of the burdens conventionally associated with solo living.
The real estate market has long honed in on this trend. While Japan’s population is in decline, Tokyo’s population is on a continuous rise, concentrating the nation in the Kanto plain where the most opportunities for work and education await. Solo living is an increasingly popular form of habitation and the demand for single-occupancy apartments is on the rise, making them one of the safest bets for investors when it comes to vacancy risk. Needless to say, other criteria, like location, age of the building, distance from the station to name a few must also be considered. In addition, small places for a single occupant tend to offer the highest ROI in Tokyo, so solo living is definitely one trend to keep an eye on when investing in real estate in the Japanese capital.
By Mareike Dornhege
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