Starting your search for the ideal apartment in Tokyo might feel overwhelming at first. But with solid research, thoughtful preparation, and guidance from local professionals, finding a place that suits both your lifestyle and long-term goals becomes entirely achievable. Whether you’re looking for a quiet retreat on the city’s edge, a family-friendly home with space to grow, or a high-end unit in a buzzing urban hub, Tokyo’s property market offers a wide range of choices for every kind of buyer.

Why is Tokyo Over Other Big Cities in Japan?

Tokyo goes far beyond being the nation’s capital, it’s a dynamic centre where business, culture, and global influence converge. While other large cities in Japan, such as Osaka or Yokohama, each offer unique strengths, Tokyo consistently takes the lead thanks to its dependable economy, modern cityscape, and strong ties to international networks. The presence of multinational firms and a vibrant foreign community makes it especially attractive for professionals and long-term residents alike.

In terms of property, Tokyo offers a wide spectrum of choices, from smart, space-efficient apartments to upscale residences in prime districts. The market remains resilient, with home values generally moving upward at a steady pace. What makes the city even more livable is its unmatched public transportation, reliable safety, and a wide range of conveniences that support everyday life. Whether you’re looking to invest or settle down, Tokyo continues to stand out as a top destination among Japan’s biggest cities.

Tokyo is vibrant hub of business and culture

Tokyo Property Trends: What Buyers Should Know

As we enter 2025, Tokyo’s property market continues to show encouraging signs of growth, particularly in the resale apartment and detached housing segments. The average price of pre-owned condos has climbed by nearly 10% year-on-year, driven by strong demand from both domestic buyers and international investors. In contrast, prices for newly built units have seen a slight decline, largely due to rising construction costs and limited land availability in central neighbourhoods.

Transaction activity has picked up notably. In January 2025 alone, sales of used apartments jumped by almost 20%, while transactions for standalone homes surged by an impressive 80% compared to the same month last year. These numbers reflect renewed buyer confidence and a clear rebound in market sentiment.

Beyond residential properties, Tokyo’s office space market is also gaining momentum. Vacancy rates for Grade A offices in key business districts have continued to fall, while rental rates in high-demand areas like Marunouchi and Shibuya are seeing modest increases. These trends highlight Tokyo’s ongoing appeal as a strategic location for corporate headquarters and business expansion.

Perhaps most notably, international investment activity is ramping up. Major global players – including Morgan Stanley, Blackstone, and Brookfield are doubling down on the Tokyo real estate scene, signalling long-term confidence in the city’s economic trajectory and investment potential.

Tokyo housing demand drives price and sales growth.

Best Areas to Buy in Tokyo

Tokyo is a city of contrasts and character, where each neighbourhood offers its own unique lifestyle and investment potential. If you’re looking for a place to live or invest in Japan’s capital, here are some standout areas worth considering:

• Minato – A premium district popular among professionals and expats. Areas like Azabu, Hiroo, and Roppongi are known for their international amenities and upscale residences, making them ideal for long-term living or high-value investments.
• Shibuya – The heart of youth culture and creativity. If you enjoy an energetic urban vibe but still want a bit of privacy, neighbourhoods like Daikanyama and Ebisu strike a great balance between buzz and calm.
• Setagaya – A perfect fit for families. Known for its peaceful atmosphere, tree-lined streets, quality schools, and clean environment, it offers a relaxed yet well-connected living experience.
• Kichijoji – A charming blend of nature and the arts. Home to Inokashira Park and a laid-back, bohemian vibe, this area appeals to those who appreciate a more creative and slower-paced lifestyle.
• Nakameguro – Stylish, romantic, and modern. With its picturesque cherry blossom-lined canal, chic cafés, and artistic community, this neighbourhood is consistently in high demand.
• Shinagawa – Excellent transport links and strong growth potential. Located near the Shinkansen station and Haneda Airport, it’s a smart choice for mid- to long-term property investment.

Tokyo Apartments: Budget to Luxury

Tokyo’s apartment market offers a wide range of options to suit different budgets and lifestyles. Whether you’re a first-time buyer looking for an affordable home on the city’s outskirts or an investor seeking a luxury unit in a prime location, there’s something for everyone. To help you navigate the choices, here’s a breakdown of the three main price tiers you’re likely to encounter when exploring the Tokyo real estate scene.

Budget Apartments (Under ¥60 Million)

Location: Outlying residential areas such as Nerima, Adachi, Itabashi, and Suginami.

Average Price: Around ¥477,000 per square meter for pre-owned units.

Overview: Ideal for first-time buyers or those working with a tighter budget. These apartments often come with lower upfront costs, but buyers should consider the building’s age and potential maintenance expenses over time.

Mid-Range Apartments (¥60–100 Million)

If you’re aiming for more comfort without stretching into the high-end market, mid-range apartments are a great fit. Located in lively, accessible areas, they offer a smart mix of practicality and everyday ease, ideal for couples or young families ready to settle in.

Location: Well-connected districts like Kōenji, Kichijōji, Ikebukuro, and Ueno.

Average Price: Approximately ¥819,000 per square meter for second-hand properties.

Overview: A good balance of affordability and amenities, this segment appeals to young professionals and small families seeking both comfort and convenience without entering the luxury tier.

High-End Apartments (Over ¥100 Million)

Location: Premium central wards including Minato, Shibuya, Chiyoda, and Chūō.

Average Price: Around ¥1.7 million per square meter for newly built units.

Overview: These upscale residences typically feature modern architecture, top-tier interiors, round-the-clock security, and access to exclusive amenities – all in highly sought-after locations.

How to Buy an Apartment in Tokyo

Buying an apartment in Tokyo can feel daunting, especially if you’re unfamiliar with Japan’s legal system and real estate procedures. The good news is that Japan places no restrictions on foreign ownership of property. That means even as a non-resident, you can legally purchase and hold the title to a home in Tokyo, as long as you understand the steps involved and prepare accordingly.

The first and most important step is to clarify your purpose and set a realistic budget. Are you planning to live in the apartment, rent it out, or treat it as a long-term investment? Your answer will guide decisions about location, property type, and pricing. From there, working with a reliable real estate agent, preferably one experienced with international clients, can make the process far smoother. A good agent will help you find listings that match your goals, schedule property viewings, and assist with legal and administrative paperwork.

Once you’ve found the right place, you’ll typically make a deposit and sign a purchase agreement. The deposit is usually around 5–10% of the total price. If you need financing, it’s important to contact banks early, as loan approval can be more complex for non-residents. Some banks may require proof of stable income, long-term visa status, or a larger down payment to reduce risk.

After signing the contract, you’ll proceed to settle the remaining balance, complete the necessary legal paperwork, and officially register the property under your name. A licensed judicial scrivener (司法書士) will handle the legal side of things, including property registration and tax filings.

As for documentation, you’ll typically need your passport, residence card (if applicable), proof of current address (such as a utility bill), a personal seal (inkan), and its registration certificate. Additional forms may be required depending on your residency status and financing method.

Beyond the sale price itself, don’t forget to account for other related expenses. These may include agent commissions (around 3%), stamp duties, registration fees, legal service charges, and property acquisition tax (generally around 3% of the property’s value). These costs can add up quickly, so it’s wise to factor them into your financial planning from the beginning.

Tokyo apartment buying requires planning, agents, and legal.

Tokyo Prices vs. Other Big Cities

Japan’s real estate market shows a wide range of price points depending on the city and specific neighbourhood. Below is a comparison of the average price per square meter for both new and pre-owned apartments in some of the country’s major cities, including Tokyo, Osaka, Nagoya, and Fukuoka.

City	New Condo Price (per m²)	Existing Condo Price (per m²)
Tokyo	¥1,150,000	¥819,000
Osaka	¥1,200,000	¥477,000
Nagoya	¥33,909	N/A
Fukuoka	Approx. ¥800,000	Approx. ¥528,571

Keep in mind that property prices can vary depending on the neighbourhood and the condition of each unit. Looking at the figures, it’s easy to see why Tokyo and Osaka command the highest prices for new apartments, driven by strong demand and fast-paced urban growth. In contrast, Nagoya and Fukuoka stand out as more budget-friendly markets. These cities offer solid opportunities for buyers who prefer a more affordable entry point or are thinking long term without the price pressure found in Japan’s top-tier metropolitan centres.

Extra Costs When Buying in Tokyo

When it comes to buying an apartment in Tokyo, the listed price is just one part of the full picture. Beyond the sale amount, several additional costs often catch buyers off guard, especially those purchasing in Japan for the first time. Planning for these expenses can save you from budget stress later on. To give you a clearer idea, here are some of the most common add-ons to factor into your total cost:

• Real Estate Agent Fee: You’ll typically pay a commission to your agent, which is around 3% of the purchase amount, plus a small administrative surcharge and tax. It’s a standard part of most transactions.
• Stamp Tax
  This is a one-time government fee charged on the contract of sale. The amount depends on the property’s value, but usually falls between ¥10,000 and ¥100,000.
• Registration & Title Fees: These cover the official registration of the property under your name. The fee varies but often lands between 0.4% and 2% of the appraised value.
• Legal Support (Judicial Scrivener): A judicial scrivener will manage the paperwork and legal filings. Their services can cost anywhere from ¥50,000 to ¥100,000, depending on the property and complexity of the deal.
• Property Acquisition Tax: This is billed by the local government a few months after the purchase. It typically amounts to about 3% of the property’s assessed value.
• Other Incidental Charges: Depending on your situation, you might also pay for things like bank transfer fees, document translation, maintenance reserves (for condos), or even home inspection services.

Tips for Foreign Buyers in Tokyo

Foreign nationals are allowed to own property in Japan without any legal restrictions, but it’s important to remember that this doesn’t include residency rights – visa matters must be handled separately. Partnering with a trustworthy, bilingual real estate agent can make a big difference. They’ll help you navigate local systems, translate documents, and negotiate more smoothly.

Before you begin, make sure you’ve gathered the required paperwork, typically including your passport, proof of address, and, if applicable, a residence card. Some transactions may also require a registered seal. For non-locals, arranging property financing usually requires more effort and documentation.
Many Japanese banks prefer borrowers with permanent status and steady income within Japan. If that’s not your case, consider using overseas financing or preparing funds in advance. Aside from the price of the apartment, expect to cover extra expenses like taxes, legal fees, and commissions. These can add up to 6–8% of the total cost.

When choosing a property, it’s wise to look beyond the building itself. In Japan, land holds its value better over time than structures, which depreciate quickly. Finally, understanding local etiquette, being punctual, respectful, and prepared will help you build trust and move through the process with ease.

Foreigners can own property prepare documents

Conclusion

Exploring the property market in Tokyo can feel overwhelming at first, especially with so many choices and unfamiliar procedures. But with the right guidance, careful planning, and a solid understanding of the process, finding a home that aligns with your lifestyle or financial goals is absolutely within reach. From compact apartments in quieter neighbourhoods to high-end residences in the heart of the city, Tokyo has something to offer every type of buyer.

If you’re considering settling down, investing, or starting a business in Japan, Arealty.jp is here to help. Their dedicated team offers free consultations and will walk you through every step, making your property journey in Japan easier, clearer, and more confident.

Contact Information

• Address: Apartment 605, Tohto Building, 1-5-4 Hyakunincho, Shinjuku Ward, Tokyo 169-0073
• Hotline: 050 6864 9697
• Email: info@arealty.jp
• Website: https://arealty.jp/#/home