Japan developers adopt measures to limit quick new condo resales

The Real Estate Companies Association of Japan announced on March 12th that 41 condominium developers plan to introduce measures to curb speculative short-term resales, based on guidelines the group compiled in November 2025.

According to the Nikkei Shimbun on the same day, the initiative follows a surge in prices for central Tokyo condominiums, where some investors have sought quick resale profits. The association aims to encourage conditions that make it easier for owner-occupiers and other end-users to purchase units.

The association includes 162 major developers and condominium builders. In a February survey of members, 41 of 57 developers that responded said they had either decided to adopt the measures or were considering doing so.

Some companies said they do not plan to implement the policies because their projects are outside major urban markets or because their development scale is small.

At a press briefing on March 12th, chairman Junichi Yoshida, who also serves as chairman of Mitsubishi Estate, said the effects of the measures are not yet visible but expressed hope they would help create a climate that discourages short-term resales.

Junichi Yoshida, courtesy of R.E. Port News.

The guidelines proposed in November include banning resale activity before unit handover, limiting the number of units buyers can purchase, and tightening rules on contract and registration names. Developers have been voluntarily applying the measures to newly launched condominium projects starting in 2026.

Mitsubishi Estate Residence has introduced the policies for projects in Tokyo’s 23 wards and Osaka City, while Sumitomo Realty & Development has adopted them across projects in the Tokyo metropolitan area, Osaka, Kobe and Kyoto, as well as developments receiving regulatory easing or subsidies tied to redevelopment.

According to the Real Estate Economic Institute, the average price of newly built condominiums in Tokyo’s 23 wards reached ¥121.26 million in January, up 16% from a year earlier. Yoshida said the rise reflects higher construction costs and tight supply-demand conditions, adding that the impact of short-term speculative resales is likely limited.

Source:

Nikkei Shimbun (Japanese only; paywalled)