Of particular interest to foreign buyers, particularly those with higher purchasing power, are areas currently being overhauled by the local authorities. Among them is the Osaka Station North District in the Kansai region. Planners have pledged to "turn it into a nucleus of international activity and a knowledge creation base." Earlier development of the site is scheduled to open in spring 2011. Another focal point is the west section of the centrally located Nakanoshima Island. Considered a symbol of the city of Osaka, the island of Nakanoshima is to get a green facelift with its water surroundings set to be developed into a key aesthetic feature. Construction projects will be encouraged with a focus being put on residential and cultural facilities. The aim is to transform the area into a centre for international businesses and residents. The Keihan Nakanoshima subway line has just been opened in the district to help movement to and from the area.

Property values are tumbling around the globe but in Asia the markets with the strongest economies and highest levels of liquidity such Japan's will be most attractive to investors in the coming 12 months. However, the global financial slowdown is beginning to bite and there are reports of tumbling unit sales across Japan. However, the picture is somewhat mixed and the real estate investor exodus from developing markets across Asia throws Osaka's faith thus far into a more positive light. The city's property market is undoubtedly in a weaker position to where it was at the start of last year, but it is stronger when set against other global financial centres and neighbouring Asian cities. One of the key issues still facing the market is that of financing, the issuance of which can be difficult. With the sub-prime mortgage crisis in the US reverberating around the world, it is unlikely that credit will be issued by Japanese banks for Osaka real estate purchases any more readily in the coming years.

One area that has so far remained buoyant is the office market. Rents for existing office space in Osaka have risen for a second consecutive year due largely to a shortage in supply. In Osaka the index for existing buildings increased 5.49 points to 147.62. Purchasing a real estate in Japan requires a number of one-time payments. The gross amount of such costs usually ranges 6 to 8 percent of a purchasing price. From start to finish the process of buying a property can be over in four to five weeks.

Condos in Osaka
As elsewhere in Japan, space is at a premium so the focus for residents is very much on condominium living. However, there has been a steady drop in the number of condo units coming online. Offerings of new condos in the greater Osaka area and its surrounding prefectures fell 8.8 per cent to 30,146 units in 2007 and again over the following year. The decline was largely due to a slowdown in urban areas such as central Osaka and Kobe. Prices grew 5.4 per cent to 449,000 yen per square metre over the same period. More on buying condos in Osaka.

Houses and land in Osaka
Average land prices in Osaka as of mid-2008 rose by 5.1 per cent, outpacing the 0.9 per cent gain seen in the same period last year. The increase, again, has been driven by the high demand for office buildings. The figures were also helped by relatively high inflows of real estate investment funds. Prices in Osaka, along with Tokyo, have now risen two years in a row. In Osaka, average land prices leapt 3.5 per cent, up from 0.4 per cent last year.More on buying houses and land in Osaka.

Top tips for Osaka property
Guide to buying condos in Osaka
Guide to buying houses and land in Osaka

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