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Trends in Used Detached House Prices

The LIFULL HOME'S Market Report published in June 2025 provides a comprehensive analysis of the used detached house market in Japan, showcasing notable price trends in the major metropolitan areas. This report collates data from listings and inquiries gathered from users of LIFULL HOME'S, a real estate and housing information service, and is released monthly.

Overview of the Report

The report highlights that the average listing price for used detached houses in the Greater Tokyo Area (comprising Tokyo, Kanagawa, Saitama, and Chiba) has reached 37.26 million yen, marking a substantial recovery to the 37-million yen range for the first time in 18 months. Compared to the same month last year, this value reflects a 4.5% increase.

Specifically, the 23 wards of Tokyo are seeing an average price of 83.02 million yen, increasing by 9.2% year-on-year. Similarly, the cities of Yokohama and Kawasaki are recorded at 45.64 million yen, reflecting a 3.7% year-on-year rise. The report indicates that urban areas are driving upward pricing trends significantly.

In contrast, the Kansai region, which includes Osaka, Hyogo, and Kyoto, experienced a rise to an average listing price of 25.24 million yen, showing a 2.4% increase compared to last year, and breaking a record set 26 months ago. In Osaka, the city’s average price reached 35.16 million yen, marking a record high for seven consecutive months, and increasing by an impressive 14.8% from the previous year.

Key Factors Influencing Price Trends

The sustained price increases in both the Tokyo and Kansai regions are attributed to a combination of factors, including:

• - Urbanization: As more people move towards city centers for housing, demand continues to surge, thereby elevating prices.
• - Interest Rates: Low-interest rates on mortgages continue to incentivize buyers, propelling price hikes even further.
• - Economic Factors: With economic growth leading to increased purchasing power among buyers, the competition for properties in urban centers has intensified.

The average prices for other significant areas, including several regional cities like Sapporo, Sendai, Hiroshima, and Fukuoka, are also analyzed, but they have not reached the same level of recovery or growth seen in Tokyo and Osaka.

Future Market Projections

As we look ahead, the LIFULL HOME'S team contemplates potential future trends and challenges:

• - Sustainability in Pricing: Analysts are cautious about whether this upward trajectory can be maintained in the face of potential economic fluctuations or increases in mortgage rates.
• - Changes in Buyer Demographics: The influences of younger generations entering the market, seeking more affordable housing options, could challenge current pricing structures.

For businesses, it’s essential to remain agile and responsive to these market dynamics. Companies should be aware of the ongoing shifts in consumer preferences and market responses. Drawing on LIFULL HOME'S extensive housing data solutions can provide tailored insights to support both strategic decision-making and innovative problem-solving.

Accessing the Full Report

For a deeper dive into the data and further insights into specific market regions, the LIFULL HOME'S Press offers additional reports and Excel data for download. The detailed property statistics can be accessed here.

This monthly report serves as a valuable tool for stakeholders in the real estate industry, investors, and potential homebuyers seeking to understand market conditions better.

In conclusion, the landscape for used detached houses shows strong activity, particularly within the urban landscapes of Tokyo and Osaka, as LIFULL HOME'S continues to provide key data to foster a more informed decision-making process within Japan’s property markets.