60% of Penthouse Buyers in Central Tokyo and Osaka Pay in 'Full Cash'

More than half of the buyers of penthouses in high-rise apartment complexes in the centers of Tokyo and Osaka have been found to have purchased the properties entirely with cash, without taking out loans.
On Monday (June 22), the Nihon Keizai Shimbun (Nikkei) reported that an investigation into the property registration records of 303 high-rise apartment buildings (tower mansions) in central Tokyo and Osaka revealed that approximately 60% of the transactions were made in cash.
Among the six wards in central Tokyo surveyed, penthouses in high-rise apartments in Chiyoda Ward had the highest cash purchase rate at 69%, followed by Minato Ward (60%), and Shinjuku and Shibuya Wards (59% each).
In Osaka, the cash purchase rate also exceeded half, with Chuo and Kita Wards at 53% each, and Nishi Ward at 50%.
Out of the 1,867 penthouse units surveyed, 100 units, or 5%, were owned by individuals residing overseas.
Residents of China owned the largest share among these at 47 units, followed by Taiwanese nationals with 16 units and Singaporeans with 11 units.
Nikkei analyzed that the number of foreign-owned properties could be higher if cases where transactions were made through Japanese corporate entities, but the actual owners were not Japanese, are included.
Nikkei explained that for wealthy individuals with strong financial standing, cash purchases are more profitable as they avoid interest and fees, and cash is also preferred to facilitate the swift acquisition of rare real estate.
(Photo: AP, Yonhap News)
※ Please note: This article was translated by AI and may contain errors.