Tokyo The littoral area will be transformed to a large residential area after the Tokyo Olympic in 2020. It is drawing a huge attention for the rental apartment demand.
Average Rent in Tokyo’s 23 Wards
Shinjuku Ward | Nakano Ward | Shibuya Ward | Chuo Ward | Minato Ward | |
---|---|---|---|---|---|
1R | 83,600JPY | 66,400JPY | 101,500JPY | 114,000JPY | 126,400JPY |
1K | 89,900JPY | 78,100JPY | 104,200JPY | 96,800JPY | 111,600JPY |
1LDK | 175,500JPY | 135,000JPY | 192,700JPY | 161,100JPY | 215,900JPY |
2LDK | 239,700JPY | 159,000JPY | 265,600JPY | 226,500JPY | 303,200JPY |
However, as the points written above are going on, the properties in Tokyo are much more expensive and produce less of a return when compared to the other large cities in Japan. Recent gross yield examples only go as high as 5% in some areas. When purchasing property in this area it is probably best to place a larger down payment, and to hold the property simply as an asset.
While this area definitely has a larger population and less risk for vacant rooms, this makes the competition for properties much fiercer than other large cities. It is very important to make one’s property stand out amongst any neighboring competitors.
Tama City and Hachioji City
Hachioji City | Machida City | Fuchu City | Tama City | |
---|---|---|---|---|
1R | 43,700JPY | 52,300JPY | 49,800JPY | 48,800JPY |
1K | 50,700JPY | 57,200JPY | 58,000JPY | 52,900JPY |
1LDK | 81,400JPY | 88,600JPY | 94,400JPY | 89,400JPY |
2LDK | 86,100JPY | 98,600JPY | 108,000JPY | 102,000JPY |
n recent years it has been said that the population in this area has been aging, but there are also a large number of universities (Tokyo University of Technology, Kyorin University, JF Oberlin University, Tama Art University, etc.) in the area that have attracted single tenants and family tenants alike. Also, Hachioji Station has access to three main train lines (Chuo Line, Yokohama Line, and Hachiko Line) as well as only being roughly 400 meters away from Keio Hachioji Station which provides very convenient access to various parts of downtown Tokyo, and makes this area a very popular “Bed Town”. Also, there are many cases of rebuilding old buildings which has led to an increase in young tenants.
Finally, the property prices in this area are lower than those in central Tokyo, and finding properties with over 5% yield is much more common.