New apartment supply increases for first time in 11 months
The number of brand-new apartments released for sale across greater Tokyo in July increased by 7.8% from last year, according to the Real Estate Economic Institute. This is the first year-on-year increase in 11 months. After several months of intentionally limiting supply, and with the summer bonus season upon us, developers decided to release more apartments onto the market.
Commercial land prices fall in second quarter
On August 21, the Ministry of Land, Infrastructure, Transport and Tourism (MLIT) released the quarterly LOOK Report showing changes in land prices in Japan’s major cities. With July 1 as the survey point, this is the second look at land values since the pandemic began.
Quick real estate news summary for the week
Niseko runs low on water, Allianz adds to residential portfolio, apartment rents in July, and Harajuku’s old station building to get the wrecking ball. Below is a quick weekly summary of some of the recent goings-on in the Japanese real estate market.
Atami hotel project withdrawn
Tokyu Land has withdrawn plans for the development of a membership-hotel on city-owned land in the hot spring resort city of Atami, citing concerns over viability amidst the ongoing pandemic.
Has the pandemic affected the supply and price of new and existing apartments?
Research provider Tokyo Kantei has released several reports looking at the state of Japan’s apartment market amidst the coronavirus pandemic, and it’s not all doom and gloom. Let’s take a look at some of the findings below.
Mortgage relief in the works for struggling homeowners
The Financial Services Agency (FSA) and the Japanese Banker’s Association are looking at introducing special measures to provide reductions or exemptions in home loan repayments to those struggling from a loss in income as a result of the coronavirus pandemic. This will provide a much-needed safety net for borrowers.
How long did it take to sell an apartment in the first half of 2020?
How long were apartments sitting on the market and how much of a discount did they trade at? The below is summarized from a recent report provided by Tokyo Kantei that looks into any impacts that the coronavirus pandemic may have had on Japan’s residential real estate market in the first half of 2020.