TOKYO, Nov 23 (News On Japan) - The share of people with overseas addresses purchasing newly built condominiums in Tokyo reached 3% in the first half of this year, according to a government survey that sheds light on growing concern that short-term transactions by foreign buyers may be contributing to rising property prices.
The Ministry of Land, Infrastructure, Transport and Tourism has been investigating the market for the first time using real estate registration records to understand how new condominiums are being traded, amid increasing scrutiny of short-term buy-and-sell activity by investors seeking quick profits, including those based overseas.
According to people familiar with the findings, 8.5% of new condominium transactions in Tokyo involved short-term resales during the six months beginning in January last year. In the six central and surrounding wards, including Chiyoda, the ratio climbed to 12.2%, underscoring how rapidly properties in prime areas are being flipped.
The survey also found that between January and June this year, 3% of new condominium buyers in Tokyo had overseas addresses, while the share rose to 7.5% in Minato, Shinjuku and other central wards, indicating that foreign-based buyers account for a larger proportion of acquisitions in the city’s core.
The ministry plans to release the full survey results shortly and will consider necessary policy responses based on the findings.
Source: 日テレNEWS
