Tokyo-Area Condo Prices Stay High in 2018

Economy

Tokyo, Jan. 22 (Jiji Press)--The average unit price of new condominiums put up for sale in the greater Tokyo area in 2018 dropped 0.6 pct from a year before to 58.71 million yen, a private think tank said Tuesday.

The average fell for the first time in two years, due to a decline in the number of expensive condominiums launched in central Tokyo, but was still just below the 2017 level of 59.08 million yen, which was the second highest after a record 61.23 million yen 1990, when Japan was in the midst of the asset inflation-driven bubble economy.

The data, compiled by the Real Estate Economic Institute, covered condominiums newly launched in Tokyo and three neighboring prefectures--Kanagawa, Saitama and Chiba.

"While the 2018 average was close to the upper limit of the affordable price range, the uptrend is expected to continue this year because of rises in construction costs including labor expenses," an official of the institute said.

The number of new condominiums put up for sale in the Tokyo area in 2018 increased 3.4 pct to 37,132, up for two years in a row, thanks partly to the launches of condominiums near train stations in Saitama and Chiba.

[Copyright The Jiji Press, Ltd.]

Jiji Press