According to REINS, the average sale price of a second-hand apartment in Tokyo’s central three wards of Chiyoda, Chuo, and Minato, reached 1,574,500 Yen/sqm in October. This is a 21.1% increase from last year, and a record high. Apartment prices have seen double-digit year-on-year growth for 8 of the 10 months so far in 2022. Sale prices are up 30% since the start of 2020 and have increased by 51% over the past five years.
There were 13.6 months of inventory on the market, the lowest level seen so far this year. In 2018 and 2019, the monthly average was around 19 months. Months of inventory (MOI) refers to the pace of sales by dividing the number of properties sold during that month by the total number of properties for sale.
A total of 233 apartments were reported to have sold, up 11.5% from last year. This is the second-highest number of transactions for the month of October since REINS began reporting data in 2008.
Tokyo’s 23 wards
The average sale price across Tokyo’s 23 wards was 1,031,100 Yen/sqm, up 14.0% from last year. Sale prices have seen a year-on-year increase for the past 30 consecutive months. A total of 1,366 apartments were reported to have sold, down 3.1% from last year. Yokohama and Kawasaki Cities saw a 11.5% drop in transactions, Saitama Prefecture saw a 19.8% drop, and Chiba Prefecture saw a 12.3% drop.
Detached Home Sales
In Tokyo’s 23 wards, a total of 373 detached homes were reported to have sold, down 9.7% from last year. The average sale price was 51,640,000 Yen, up 6.6% from last year and the 10th month in a row to see a y-o-y increase. Inventory increased by 9.9% from last year to 4,472 homes, with an average list price of 70,960,000 Yen.
Detached homes represent just 15% of total sale listings (homes and apartments) in Tokyo’s 23 wards.
Source: REINS, November 10, 2022.
