Abstract
This research compared the behavioral patterns involved when choosing a home, and the trend in demand for existing detached houses in both the U.S. and Japan; it also reflects on the chief causes behind the poor market performance of existing housing in Japan.
1) The demand for the existing detached house is extremely low in Japan. 2) While it is common practice for Americans to buy and sell their houses, that is hardly the case in Japan. 3) Japanese buyers of existing detached houses see the purchase merely as “temporary home”, a stepping stone to a next house. People with this “temporary home” outlook normally have negative views of the quality of existing houses. 4) Prospective buyers in Japan also consider purchasing existing detached houses but due to lack of available information they do not feel reassured about its safety and functionality. 5) For Americans, buying a house means making a large investment. The historic value of the old house is an important factor of the investment.
