Average Condo Price in Japan Hits Record High for 4th Year

Economy

Tokyo, Feb. 24 (Jiji Press)--The average unit price of new condominiums that came to market in Japan in 2020 rose 3.8 pct from the previous year to 49.71 million yen, hitting a record high for the fourth successive year, a private think tank said Wednesday.

The high price reflects rising construction costs across the country amid labor shortages, according to Real Estate Economic Institute Co.

The average new condo price in the Tokyo metropolitan area rose 1.7 pct to 60.83 million yen, approaching the 61.23 million yen marked in 1990 as a result of the speculation-driven bubble economy.

The average price grew 8.1 pct to 41.81 million yen in the Kinki western Japan area, and also marked a year-on-year increase in major cities including Sendai, Nagoya, Hiroshima and Fukuoka.

According to the institute, the number of condominiums put up for sale last year plunged 15.2 pct to 59,907 units, the lowest level in 44 years since the 49,955 units in 1976.

[Copyright The Jiji Press, Ltd.]

Jiji Press