Volatility in Housing Demand Due to Economic Conditions, Interest Rates and Tax Policy
First written in FY2017. 14 of 26 entries say "Restated". Latest entry: FY2026.
Eri Holdings moved to the "Worse" side of this theme in 2025, 5 years after the typical company in this theme (2020).
The whole theme swung hardest in 2020: 36 of 51 companies on the "Worse" side.
20 other companies' latest entry also says "Worsened".
- FY2026WorsenedAnnual report
「Although business conditions surrounding the housing and construction industries, in which our Group's core businesses operate, remained firm in terms of real estate and construction investment, supported by improving corporate earnings, the impact of rising interest rates and surging construction costs on future new housing starts and non-residential construction floor area requires close monitoring.」
Although corporate earnings and real estate and construction investment remained firm, the company explicitly identified rising interest rates and surging construction costs as factors weighing on residential and non-residential demand. - 2026-07-14WorsenedFinancial Results Presentation
「A recovery in new housing starts in the housing market is unlikely, but we expect processing volumes to increase year on year through smoother application procedures.」
The company forecast that new housing starts were unlikely to recover and described weak external conditions in housing demand. - FY2026-H1WorsenedAnnual report
「In the construction and housing markets, the decline following the rush demand ahead of the April 2025 enforcement of the revised Building Energy Conservation Act and other legislation is drawing to a close, but overall market momentum remains somewhat weak. New housing starts turned to a slight upward trend in the latter half of the first six months of the consolidated fiscal year, but declined overall.」
Following a temporary increase due to rush demand ahead of the enforcement of the revised law, new housing starts declined overall due to a subsequent reactionary drop, and the external environment for housing demand weakened. - FY2025Surge in starts and constraints from high construction costs and labor shortagesAnnual report
「Although parts of the domestic economy have shown signs of stagnation, the overall economy has continued to recover gradually. However, persistently high construction costs and labor shortages have constrained a turnaround in new housing starts.」
Although new housing starts increased during the fiscal year due to rush demand ahead of the enforcement of the revised Building Standards Act, the company newly identified persistently high construction costs and labor shortages as factors restraining housing starts. - FY2025-H1RestatedAnnual report
「In the housing market, total new housing starts declined, primarily owing to a downturn in construction starts for owner-occupied and for-sale housing.」
The company continues to recognize that housing demand fluctuates due to external factors such as trends in housing starts, and describes the decline in owner-occupied and condominium housing starts. - FY2024-Q2RestatedAnnual report
「In the housing market, total new housing starts declined, primarily because construction starts for owner-occupied and for-sale housing fell short of expectations.」
The company continues to recognize that housing demand fluctuates due to external factors such as trends in housing starts, and describes the decline in the overall market resulting from weaker-than-expected starts of owner-occupied and condominium housing. - FY2024-Q1RestatedAnnual report
「In the housing market, total new housing starts declined, primarily because construction starts for owner-occupied and for-sale housing slowed.」
The company continues to recognize that housing demand fluctuates due to external factors such as trends in housing starts, and describes the decline in new housing starts resulting from the slowdown in owner-occupied and condominium housing starts. - FY2023-Q1WorsenedAnnual report
「In the housing market, the sharp recovery from the downturn caused by the COVID-19 pandemic in the previous year came to an end, and new housing starts turned downward.」
Regarding fluctuations in housing demand due to external factors, the company describes a shift from the recovery phase in the previous fiscal year to a decline in new housing starts. - FY2022MitigatedAnnual report
「In the housing market, the number of new housing starts increased as the market recovered from the decline caused by COVID-19 in the previous year. In the non-residential construction market, the floor area of construction starts increased broadly, led by factories, offices and other facilities.」
The housing market recovered from the decline caused by COVID-19 in the previous year, while the floor area of construction starts increased broadly in the non-residential market as well. - FY2022-Q2MitigatedAnnual report
「In the housing market, the number of new housing starts increased as the market recovered from the decline caused by COVID-19 in the previous year. In the non-residential construction market, the floor area of construction starts increased broadly, led by offices and factories.」
Regarding fluctuations in demand due to COVID-19 and external factors affecting the housing market, the company states that the housing market recovered from the previous year's decline and that the floor area of construction starts increased broadly in the non-residential market as well. - FY2022-Q1MitigatedAnnual report
「In the housing market, the number of new housing starts increased as the market recovered from the decline caused by COVID-19 in the previous year. In the non-residential construction market, the floor area of construction starts increased broadly, led by factories and warehouses.」
Regarding the risk of fluctuations in housing demand due to COVID-19, lending attitudes and other factors, the company states that the housing market recovered from the previous year's decline and that the floor area of construction starts increased broadly in the non-residential market as well. - FY2021RestatedAnnual report
「The housing industry, which is closely related to our Group, is susceptible to the effects of employment conditions, economic trends, interest rate trends, land prices and housing tax policies. Changes in these external factors, such as a deterioration in the economic outlook, increases in consumption tax and other taxes resulting from tax changes, and changes in housing stimulus measures, may reduce the willingness of homebuyers to purchase homes, which could affect the performance of our Group.」
The company continues to disclose the risk of fluctuations in housing demand due to economic conditions, interest rates, land prices, housing tax policies and housing stimulus measures. - FY2021-Q3RestatedAnnual report
「In the housing market, total new housing starts declined owing to the impact of COVID-19.」
The company describes the decline in housing starts resulting from COVID-19 and continues to recognize that housing demand fluctuates due to external factors. - FY2021-Q1RestatedAnnual report
「In the housing market, total new housing starts declined, partly owing to a decrease in owner-occupied housing starts resulting from the impact of COVID-19.」
The company continues to recognize that COVID-19, lending attitudes at financial institutions and trends in housing starts may affect housing demand. - FY2020MaterialisedAnnual report
「The housing industry, which is closely related to our Group, is susceptible to the effects of employment conditions, economic trends, interest rate trends, land prices and housing tax policies. Changes in these external factors, such as a deterioration in the economic outlook, increases in consumption tax and other taxes resulting from tax changes, and changes in housing stimulus measures, may reduce the willingness of homebuyers to purchase homes, which could affect the performance of our Group.」
The company continues to disclose external risks affecting housing demand, and for the fiscal year describes declines in housing starts resulting from lending attitudes at financial institutions and the COVID-19 pandemic as actual developments. - FY2020-Q3WorsenedAnnual report
「In the housing market, although the environment for home purchases remained favorable, supported by government measures to assist home purchases and low mortgage rates under the negative interest rate policy, total new housing starts declined owing to a decrease in rental housing starts resulting from changes in financial institutions' lending attitudes, as well as a decline in owner-occupied housing starts following the consumption tax increase.」
In addition to the previous decline in rental housing starts, the company identified a decline in owner-occupied housing starts after the consumption tax increase as an external driver of housing demand, and described the decline in new housing starts. - FY2020-Q2RestatedAnnual report
「In the housing market, the number of construction starts for for-sale housing and other categories increased against the backdrop of a favorable home-purchase environment supported by government measures to assist home purchases and low mortgage rates under the negative interest rate policy. However, total new housing starts declined owing in part to a decline in rental housing starts resulting from changes in financial institutions' lending attitudes.」
Although some housing demand remained firm against a backdrop of housing purchase assistance measures and low interest rates, the company continues to describe the decline in rental housing starts resulting from changes in lending attitudes at financial institutions and other factors as a driver of fluctuations in housing demand. - FY2020-Q1RestatedAnnual report
「In the housing market, the number of construction starts for owner-occupied and for-sale housing increased against the backdrop of a favorable home-purchase environment supported by government measures to assist home purchases and low mortgage rates under the negative interest rate policy. However, total new housing starts declined slightly owing in part to a decline in rental housing starts resulting from changes in financial institutions' lending attitudes.」
Although conditions for owner-occupied and condominium housing remained favorable due to low interest rates and housing purchase assistance measures, the company continues to describe the decline in rental housing starts resulting from changes in lending attitudes at financial institutions and other factors. - FY2019-Q3RestatedAnnual report
「In the housing market, although the environment for home purchases remained favorable, supported by government measures to assist home purchases and low mortgage rates under the negative interest rate policy, the number of new housing starts continued to trend downward, owing in part to a decline in rental housing starts resulting from changes in financial institutions' lending attitudes.」
Although conditions for home purchases remained favorable, the company continues to recognize fluctuations in housing demand and new housing starts resulting from external factors such as lending attitudes at financial institutions. - FY2019-Q2RestatedAnnual report
「In the housing market, although the environment for home purchases remained favorable, supported by government measures to assist home purchases and low mortgage rates under the negative interest rate policy, the number of new housing starts continued to trend downward, owing in part to a decline in rental housing starts resulting from changes in financial institutions' lending attitudes.」
The company continues to recognize that external factors, including lending attitudes at financial institutions, interest rates and housing purchase assistance measures, may affect housing demand. - FY2019-Q1RestatedAnnual report
「In the housing market, although the environment for home purchases remained favorable, supported by government measures to assist home purchases and low mortgage rates under the negative interest rate policy, the number of new housing starts continued to trend downward, owing in part to a decline in construction starts for large-scale condominium developments.」
Although conditions for home purchases remained favorable, the company continues to disclose the downward trend in new housing starts, including due to the decline in large-scale condominium construction starts. - FY2018RestatedAnnual report
「The housing industry is susceptible to the effects of employment conditions, economic trends, interest rate trends, land prices and housing tax policies. Changes in these external factors, such as a deterioration in the economic outlook, increases in consumption tax and other taxes resulting from tax changes, and changes in housing stimulus measures, may reduce the willingness of homebuyers to purchase homes, which could affect the performance of our Group.」
The company continues to disclose the risk of fluctuations in housing demand due to economic conditions, interest rates, land prices, housing tax policies and housing stimulus measures. - FY2018-Q3RestatedAnnual report
「In the housing market, although conditions for home purchases remained favorable, supported by government assistance measures and low mortgage rates under the negative interest rate policy, the number of new housing starts continued to trend downward as demand for rental housing construction as a means of estate planning declined.」
Although conditions for home purchases remained favorable, the company continues to recognize that demand for rental housing construction has declined and that new housing starts are on a downward trend. - FY2018-Q2WorsenedAnnual report
「In the housing market, although conditions for home purchases remained favorable, supported by government assistance measures and low mortgage rates under the negative interest rate policy, the number of new housing starts continued to trend downward as demand for rental housing construction as a means of estate planning declined.」
Compared with the previous quarter's description that demand for rental housing construction had begun to ease and that new housing starts remained weak, this quarter's description states that demand declined and new housing starts were on a downward trend. - FY2018-Q1RestatedAnnual report
「Although conditions for home purchases remained favorable, supported by government assistance measures and low mortgage rates under the negative interest rate policy, the number of new housing starts remained weak as demand for rental housing construction as a means of estate planning began to ease.」
Although conditions for home purchases remained favorable, the company describes the current situation in which the number of new housing starts has remained weak as demand for rental housing construction has eased. - FY2017First statedAnnual report
「The housing industry is susceptible to the effects of employment conditions, economic trends, interest rate trends, land prices and housing tax policies. Changes in these external factors, such as a deterioration in the economic outlook, increases in consumption tax and other taxes resulting from tax changes, and changes in housing stimulus measures, may reduce the willingness of homebuyers to purchase homes, which could affect the performance of our Group.」
In addition to the long-term contraction of the new-build housing market, short- to medium-term fluctuations in housing demand driven by economic conditions, interest rates, land prices, tax policies and housing stimulus measures have been disclosed as risks.