Japan hotel room rates fall as home-sharing getting legalized
More than 60,000 private homes in Japan are now registered on home sharing websites. Some predict that the number will exceed 100,000 by 2020, the year of the Tokyo Olympics.
With Japan set to greenlight home-sharing services, the rise of such accommodation has already brought down hotel prices here, expanding lodging options for the growing ranks of foreign visitors.
The average price per room at lodging facilities in Japan fell 9.4% on the year in fiscal 2017, according to Dutch hotel booking service Booking.com. And room rates for weeknight stays have declined 7% over the past two years, the Ministry of Internal Affairs reports.
Japan's home-sharing law takes effect on June 15, making it legal for home owners to rent out their homes in residential areas.
The new legal framework imposes restrictions such as a 180-day annual cap on operations, which may decrease the supply of shared homes temporarily. But the market is expected to pick up steam over the long term as big businesses jump on the bandwagon.
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