Residential yields in Minato-ku - June 2016
According to real estate listing site Homes, the average gross yield on an apartment in Minato-ku in Tokyo was 4.4% in June 2016, up 0.2 points from the previous month but down 0.3 points from last year. The average yield across Tokyo was 6.2%, down 0.1 points from the previous month and down 0.5 points from last year.
The average asking price for a second-hand apartment in Minato-ku was 979,942 Yen/sqm as of June 1, up 0.9% from the previous month and up 14.3% from last year. The average asking price for land was 1,391,818 Yen/sqm, up 1.2% from the previous month and up 14.8% from last year.Read more
Tokyo’s vintage apartment market in 2016
Tokyo Kantei released a report on the market values of ‘vintage’ apartment buildings and their retain or lose value over time. This year’s survey was a follow up to the last survey carried out in 2009.
Based on their findings, the vintage properties most likely to see values erode over time were:
1. In buildings over 40 years old;
2. With low earning potential; and
3. Located outside of the Yamanote Line.
40 year+ buildings have the highest risk of losing value
Of the surveyed properties that held their value over time, 91.8% were in buildings less than 40 years old.
Of the vintage apartments that saw a drop in value, 26.7% of them were in buildings over 40 years old. Older buildings, particularly those dating from the 1970s and earlier, may be built to older earthquake codes, tend to require costly maintenance and repairs since they may have ageing plumbing, will require elevators to be replaced and are generally getting towards the end of their useful service life. These factors are the main contributors to their declining value.Read more
Same day sellout in The Parkhouse Shinjuku Gyoen
All 47 apartments offered in the first round of sales in Mitsubishi’s The Parkhouse Shinjuku Gyoen condominium received applications on the first day. The building is now 90% sold.
An average of 2.1 purchase applications were made on each apartment, with the most popular apartment receiving 8 applications. The sales office received over 3,400 inquiries and had 600 groups through the show room since early March.Read more
Average apartment rent in April 2016
According to Tokyo Kantei, the average monthly rent of a condominium in greater Tokyo was 2,666 Yen/sqm in April, up 3.0% from the previous month and up 2.5% from last year. The average apartment size was 59.21 sqm and the average building age was 19.0 years.
In the Tokyo metropolitan area, the average monthly rent was 3,156 Yen/sqm, down 1.9% from the previous month but up 1.2% from last year. The average apartment size was 56.51 sqm and the average building age was 17.3 years.
In Tokyo’s 23 wards, the average monthly rent was 3,307 Yen/sqm, down 1.4% from the previous month but up 2.1% from last year. The average apartment size was 55.94 sqm and the average building age was 16.7 years.
New apartment supply drops for 5th month in a row
According to the Real Estate Economic Institute, 1,978 brand new condominiums were released for sale in greater Tokyo in April, down 26.6% from the previous month and down 13.5% from last year. This is the 5th month in a row to see a year-on-year decline in supply, and is 20% lower than the Institute’s estimate.
1,313 apartments were sold, resulting in a contract ratio of 66.4%, down 1.2 points from the previous month and down 9.1 points from last year.
175 apartments in high-rise buildings (over 20-storeys) were offered for sale, down 1.7% from 2015. The contract ratio was 49.7%, up 11.5 points from last year.
The average price of a new apartment across greater Tokyo was 57,510,000 Yen, up 2.0% from the previous month and up 8.4% from last year. This is the 11th month in a row to see the prices exceed those from 12 months prior. The average price per square meter was 826,000 Yen, up 3.0% from the previous month and up 9.0% from last year.
The total stock of unsold apartments was 5,881 units, down 158 units from the previous month but up 974 units from April 2015.Read more
Tokyo metro apartment prices increase for 43rd consecutive month
According to REINS, 3,294 second-hand apartments were sold across the greater Tokyo area in April 2016, down 8.2% from the previous month but up 17.3% from April 2015. March is typically a busy month for transactions, so it is normal to see a drop in transactions in the following month.
The average sale price was 29,170,000 Yen, down 4.6% from the previous month but up 3.2% from last year. The average price per square meter was 465,000 Yen, down 2.7% from the previous month but up 4.4% from last year. This is the 40th month in a row to see a year-on-year increase in the sale price on a per square meter basis. The average building age was 20.46 years.
In the Tokyo metropolitan area, 1,653 second-hand apartments were sold, down 8.5% from the previous month but up 20.0% from last year. The average sale price was 36,380,000 Yen, down 3.5% from the previous month but up 4.2% from last year. The average price per square meter was 628,000 Yen, down 2.5% from the previous month but up 5.1% from last year. This is the 43rd month in a row to see a year-on-year increase in the sale price per square meter. The average building age was 19.13 years.
Residential yields in Minato-ku - May 2016
According to real estate listing site Homes, the average gross yield on an apartment in Minato-ku in Tokyo was 4.2% in May 2016, down 0.1 points from the previous month and down 0.5 points from last year. The average yield across Tokyo was 6.3%, up 0.3 points from the previous month but down 0.3 points from last year.
The average asking price for a second-hand apartment in Minato-ku was 971,614 Yen/sqm as of May 1, up 0.2% from the previous month and up 11.7% from last year. The average asking price for land was 1,375,151 Yen/sqm, up 0.9% from the previous month and up 13.5% from last year.Read more