What it takes for a Japanese to buy a new condominium inTokyo? Sumitomo Mitsui Trust Research Institute, a think tank specialized in real estate market, has an answer.
(On this article, Tokyo population is defined as inner Tokyo – Tokyo 23 wards ONLY.)
An average price of 75SQM (so-called a family type unit that fits one typical Japanese household) new condominium is in a range of JPY 60,000,000 (USD 504,000) – worth 9 year of annual household income. This number reached almost two folds (x16) back in the late 1980’s – when the bubble economy in Japan affected a property price to shot up to an astronomic price.
Image from Sumitomo Mitsui Trust Research Institute research paper