In Tokyo’s 23 wards, second-hand apartment over 70 sqm have increased in value by 38% from last year

Source: https://www3.nhk.or.jp/news/html/20250924/k10014930931000.html

It’s been big news on TV, but I haven’t really seen it posted on Reddit.
Tokyo has long been praised as the land of affordable housing, with the common idea that nobody should buy a house here since it’s a depreciating asset. But as the numbers show, Tokyo real estate prices have been rising rapidly, and I think the following factors are driving it:

1)New labor laws banning overtime work for construction workers in 2025, which will push up new construction costs

2)The 2023 yen devaluation, now being reflected in the real estate market.

3)Rising material costs due to multiple factors such as tariffs, wars, and the weaker yen.

4)Foreign investors, especially buyers from Hong Kong, are often cited by Japanese media as a factor.

So, what do you think will happen in Tokyo moving forward? I still believe there’s more than enough affordable housing, so regular citizens won’t be too affected. But there’s definitely a gold rush feeling right now, with everyone focusing on prime real estate, especially in the Tokyo 6 Wards and areas near major train and metro stations.

Also here are some summary on ALL Apartmetns, not just 70sqm.

Central Tokyo’s 6 wards rose 33.5% compared to the same month last year

The 6 wards in southwest and western Tokyo including Shinagawa and Setagaya rose 22.7%

The 11 wards in northern and eastern Tokyo rose 26.6%

Yokohama rose 12%

Saitama City rose 5.1%

Chiba City rose 4.4%

Osaka City rose 26.7％