Vacant housing accounts for 14% of Japan's total, amounting to approximately 42 million empty housing units on a global scale.
A new study by the Organisation for Economic Co-operation and Development (OECD) has highlighted a notable imbalance in housing vacancy rates between urban and rural areas in many countries. The study, which covered 20 countries across Asia-Pacific, Europe, and America, found that 10% of housing is empty, accounting for more than 42 million housing units.
In the study, the United States accounts for more than a third of the vacant housing, with 15.5 million unoccupied residences, representing 11% of the country's housing stock. Japan follows closely behind, with 8.5 million vacant housing units out of the 62.4 million housing units, representing 13.6% of the housing stock, according to the updated data in May 2021.
Interestingly, Brazil is the third country with the most vacant housing behind Japan. In contrast, countries like England, Iceland, and Switzerland have less than 2% of unoccupied housing.
The high ratio of vacant housing in Japan is due to several factors, including limited methods of collecting and communicating the situation in each country, an aging population, declining birth rates, and cultural and economic factors such as the inheritance system that does not help reduce the number of vacant houses.
Cities generally have lower vacancy rates because of higher population densities, economic opportunities, and demand for housing. For example, in the US, metropolitan areas tend to have lower rental vacancy rates compared to less urban regions. In contrast, rural areas often experience higher vacancy rates due to shrinking and aging populations, leading to abandoned or unused housing stock.
The situation of vacant housing in rural and suburban areas of Japan is not new and is often referred to as "akiya" (empty homes). The OECD defines vacant housing as only permanently empty dwellings and excludes second homes.
The imbalance in vacancy rates between rural and urban areas is a complex issue, but understanding its root causes can help policymakers and developers address the problem effectively. In some countries, policy reforms making it easier to build diverse housing types can reduce vacancy rates and improve affordability.
In Cyprus, the situation of vacant housing is explained by the ghost town of Varosha, or Maras in Turkish, once a tourist destination now a militarized zone since 1974.
In summary, the imbalance in vacancy rates between rural and urban areas across countries, including Japan, arises from demographic shifts, economic changes, housing supply mismatches, and policy environments. Urban areas maintain more stable or lower vacancy rates due to ongoing demand, while rural areas face higher vacancies linked to population decline and economic centralization in cities.
- The study by the OECD also explored the realm of science, focusing on various medical conditions, chronic diseases, respiratory conditions, digestive health, eye-health, hearing, and neurological disorders.
- The data gathered could potentially aid in workplace-wellness programs, fostering a healthier workforce in the manufacturing, retail, transportation, and other sectors of the economy.
- The study emphasized the importance of health-and-wellness programs, encouraging fitness-and-exercise, skin-care, and nutrition to combat the effects of autoimmune disorders, aging, and womens-health issues.
- In the context of environmental-science, climate-change was another critical area of concern, impacting cardiovascular-health and emphasizing the need for sustainability efforts in the industry.
- As part of the study, attention was given to men's-health, with a focus on prostate health, mental health, and the impact of stress on overall well-being.
- Cancers and skin-conditions were other areas addressed in the study, highlighting the importance of regular screenings and early detection methods.
- The study also delved into the relationship between lifestyle, fashion-and-beauty, food-and-drink, investing, wealth-management, home-and-garden, and personal-finance, and their potential impact on health outcomes.
- The study acknowledged the role of banking-and-insurance and data-and-cloud-computing in the collection, interpretation, and dissemination of health-related information.
- Technology was identified as a key factor in the advancement of medical research, particularly in the field of environmental-science and personal-growth.
- The OECD report emphasized the importance of relationships, pet care, travel, cars, books, education-and-self-development, and personal-growth in maintaining overall well-being and mental health.
- To address the issue of vacant housing in rural areas, policy-makers were encouraged to focus on promoting growth in rural communities and incentivizing affordable housing solutions.
- In some countries, zoning laws and building regulations were suggested to be amended to allow for the construction of smaller, more affordable housing options.
- Certain countries were also advised to adopt urbanization strategies that would decentralize economic activities and reduce the concentration of jobs and resources in major cities.
- Governments were urged to invest in infrastructure projects and public transportation in rural areas to make them more attractive to residents and potential home-buyers.
- Rural communities were encouraged to develop unique local identities and economies to attract visitors and boost tourism, thereby stimulating economic growth and reducing the rate of vacant housing.
- The report suggested partnerships between government, private sector, and local communities to develop comprehensive plans for addressing vacant housing in rural areas.
- The study highlighted the potential for CSR initiatives by businesses to contribute to affordable housing solutions in rural areas, enhancing their social responsibility and contributing to community development.
- In Cyprus, the ghost town of Varosha serves as a prime example of the consequences of neglecting urban planning and sustainability efforts, leading to high rates of vacant housing.
- The study also touched on the impact of population aging and declining birth rates on housing vacancy rates, highlighting the need for family-friendly policies in some countries.
- Civil society organizations have also played a role in addressing the issue of vacant housing in some countries, advocating for affordable housing solutions and pressuring governments to address the root causes of the problem.
- In addition to policy reforms, investments in affordable housing, renewable energy, and innovative construction methods were proposed as potential solutions to reducing vacant housing in rural areas.
- The study emphasized the importance of an integrated approach to addressing the issue of vacant housing, involving multiple sectors, including housing, finance, environmental-science, and industry.
- The high ratio of vacant housing in rural areas can also impact the local economy and community, reducing its ability to attract new residents and businesses.
- To address the social and economic implications of vacant housing in rural areas, policymakers were encouraged to consider housing as a part of the larger ecosystem and incorporate it into broader economic development strategies.
- The study also highlighted the impact of climate change on vacant housing rates, with increasing temperatures and extreme weather events contributing to housing damage and abandonment.
- The OECD recommended that governments collaborate with the private sector and local communities to develop resilient infrastructure and housing solutions that can withstand the effects of climate change.
- The study underscored the urgent need for policymakers, developers, and community leaders to address the issue of vacant housing in rural areas to promote social and economic equality, revitalize communities, and ensure a more sustainable future for all.