New apartment supply in February reaches 25 year low
According to the Real Estate Economic Institute, 2,237 brand new apartments were released for sale in greater Tokyo in February, up 49.7% from January but down 13.9% from February 2015. This is the lowest figure for the month February since 1991.
Amidst rising construction costs and increasing apartment prices, developers have been cautious to limit the supply released on the market. The Institute remarked that the Bank of Japan’s recent introduction of negative interest rates appears to have had a negligible effect on new apartment sales as interest rates available to consumers were already at low levels prior to the BoJ’s announcement.Read more