A venture group of the ruling Liberal Democratic Social gathering submitted to Prime Minister Sanae Takaichi on Thursday a proposal for measures to limit speculative buying and selling of condominiums.
Takaichi mentioned that her authorities will steadily work on the matter.
Within the proposal, the group below the celebration’s Headquarters for International Nationals Coverage mentioned that some have cited a rise in short-term transactions primarily by international nationals as a purpose for current surges in rental costs.
It additionally mentioned that considerations that residential properties in city areas might have been purchased for speculative functions are fueling fears amongst native residents.
The group referred to as on the federal government to take motion, together with tax measures, as quickly as doable, saying that speculative transactions that aren’t based mostly on precise demand needs to be restricted, no matter whether or not they’re carried out by Japanese or international nationals.
In 2024, 12.1% of recent condos in Tokyo’s Chiyoda, Chuo, Minato, Shinjuku, Bunkyo and Shibuya wards had been bought off lower than a 12 months after being bought, in keeping with knowledge launched by the land ministry in September. The proportion of recent condos within the six wards that had been bought in 2025 by these whose registered addresses are exterior of Japan got here to five.9%.
In its tax system reform proposal for fiscal 2027, the ministry included measures to limit the speculative buying and selling of recent condos.
The federal government and the LDP-led ruling bloc plan to carry particular discussions on the matter whereas finding out measures adopted in different nations, corresponding to Singapore, which limits patrons of residential properties to everlasting residents.