Tokyo Residential Sales

Asian Cities

1H 2017


New condo prices in Tokyo have been setting new cyclical highs since 2013. Tokyo Kantei, an appraiser, reported that new units were selling for an average of 28.7x Tokyo’s annual rent in 2016, up 1.4 points from twelve months earlier and 4.9 points from 2012. Low borrowing rates and tax incentives, especially for inheritances, as well as bullish sentiment have enticed more and more buyers into the market. Overseas retail investors have also gotten involved by leveraging the softer yen. First-month contract rates held steady above 70%, and large developers poured new units into the city.

The “loosening first, tightening later” policy
New policies deregulating the real estate market came into effect in the first half of 2016. Policies such as a reduction in the minimum down payment requirement for home purchases, an increase of the Housing Fund deposit rate, and a reduction of reserve requirements and taxes, helped to increase residential transaction volumes and facilitate the destocking of existing supply.


Key contacts

Simon Smith

Simon Smith

Senior Director
Research & Consultancy

Two Exchange Square

+852 2842 4573


Subscribe to kamaco research


Would you like to be notified via email about new research?