Does the law of rising real estate prices apply to your home?

I would like to revitalize the real estate market by promoting my hometown, Nagoya City. So I asked ChatGPT the following question.

"Explain the general law of rising real estate prices, including both macro and micro factors."

The answer is as follows.

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The law of increasing real estate prices, also known as the "appreciation" of real estate, refers to the general trend of property values rising over time. This phenomenon can be observed at both macro and micro levels, influenced by a combination of various factors. Let's explore these factors in more detail:

Macro Factors:

Economic Growth: Positive economic conditions, such as GDP growth, low unemployment rates, and increased consumer spending, can drive demand for real estate. As the economy improves, people's purchasing power increases, leading to higher demand for homes and commercial properties.

Population Growth: A growing population places greater demand on housing, driving up property prices. When an area experiences an influx of people, either due to natural population growth or migration, the demand for housing increases, resulting in appreciation.

Supply and Demand Imbalance: When demand for properties outstrips the available supply, prices tend to rise. Limited land availability, zoning regulations, and slow construction pace can contribute to this imbalance.

Interest Rates: Low-interest rates on mortgages make borrowing more affordable, increasing the number of potential buyers and boosting demand for real estate. Lower borrowing costs can lead to higher home prices.

Government Policies: Government initiatives, such as tax incentives for homeownership, first-time homebuyer programs, and infrastructure development, can positively impact real estate demand and, consequently, prices.

Inflation: Inflation erodes the purchasing power of money over time. As the general price level of goods and services rises, real estate prices tend to increase as well.

Micro Factors:

Location: The old real estate adage "location, location, location" holds true. Properties in desirable locations with excellent access to amenities, schools, public transportation, and job opportunities tend to appreciate more quickly.

Neighborhood Development: Positive changes in a neighborhood, such as new commercial developments, improved infrastructure, and attractive public spaces, can enhance property values in the area.

Property Condition: Well-maintained and aesthetically pleasing properties generally command higher prices. Improving a property's condition can lead to increased value over time.

Renovations and Upgrades: Strategic renovations and upgrades to a property can increase its market value, making it more attractive to potential buyers.

Market Sentiment: Public perception and consumer confidence in the real estate market influence buying behavior. A positive market sentiment can lead to increased demand and higher prices.

Demographics: The composition of the population, including factors such as age, income levels, and family size, can influence the types of properties in demand and their respective price growth.

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After looking at the model answer of the generated AI, I looked at the official promotion page of the City of Nagoya, and various questions arose. What do you all think?