In Japan, the nationwide average ratio of new apartment prices to yearly income is 6.00 times – a slight decrease from the same month of the previous year. While average incomes have been levelling out, apartment prices have fallen slightly. However, the high level is expected to continue.
The average new apartment price nationwide is expected to continue to fall, however, with the average apartment size decreasing, the price per square meter is increasing.
In the Tokyo area, it is becoming apparent that the ratio of price to income is increasing. In areas where transport is convenient and business and commercial areas are improving (places that can sell well), the ratio is showing signs of increasing.
Source: Tokyo Kantei, May 7th, 2010.
