Contract rate in greater Tokyo exceeds 80%

The contract rate on condominiums in greater Tokyo reached 81.8% in April. This is the first time since February 2011 where the rate has exceeded 80%. The high percentage was helped by strong sales of large-scale condominiums, and signals a change towards positive market conditions.

A total of 4211 apartments were sold in April. This is an increase of 81.7% from April 2011. Following the Tohoku disaster last year, many developers temporarily closed their showrooms while buyers showed restraint. However, the buyers have returned to the market with Tokyo, Kanagawa and Saitama all seeing an increase in sales compared to one year prior, while Chiba saw a slight decrease.

The average price fell 5.3% from 2010 to 44,140,000 Yen and the average price per square meter fell 8% to 620,000 Yen.

Sources:
The Nikkei Industrial Journal, May 18, 2012.
The Real Estate Economic Institute Co., Ltd.

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