Japan residential land prices fall for 21st year (by Michael Kitchen)

LOS ANGELES (MarketWatch) -- Japan's residential land prices suffered their 21st straight year of losses, while commercial land prices also fell, though both drops moderated from the previous year, Kyodo News reported Wednesday. The report cited Land Ministry data as showing that average residential land prices fell 2.5% during the year ended July 1. While residential prices have yet to rise this century, the fall was less than the 3.2% in the 2010-11 year. Commercial land prices, which have fallen for five years straight, also moderated their losses to 3.1%, slowing from the previous year's 4% fall. "Such factors as low interest rates and tax breaks for housing-loan borrowers are supporting [residential] land prices," the report quoted a ministry official as saying.