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Nagoya's property market shows steady growth with central apartment prices averaging ¥365,000-¥500,000 per square meter as of September 2025.
The market demonstrates resilience with 3-5% year-on-year price increases in prime locations, supported by major infrastructure investments including the ¥540 billion Meieki District redevelopment project. Transaction volumes remain robust despite a 22.3% decline in new housing starts, creating a supply-demand imbalance that favors property values.
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Nagoya's residential property market shows strong fundamentals with central apartments priced at ¥365,000-¥500,000 per sqm and suburban properties at ¥222,500 per sqm.
Major infrastructure projects worth ¥540 billion are driving demand, while constrained supply supports price growth of 2-4% annually through 2027.
| Metric | Central Nagoya | Suburban Nagoya |
|---|---|---|
| Price per sqm (apartments) | ¥365,000-¥500,000 | ¥222,500 |
| Annual price growth | +3-5% | +3-5% |
| Rental yield | 4.1-4.4% | 4.4-5.0% |
| Days on market | 35-60 days | Slightly longer |
| Occupancy rate | 96-97% | High |
| Foreign buyer share | 18-20% | 18-20% |
| Price forecast (2-3 years) | +2-4% annually | +2-4% annually |
What's the current average price per square meter for apartments and houses in Nagoya?
Central Nagoya apartment prices range from ¥365,000 to ¥500,000 per square meter as of September 2025.
Suburban areas offer significantly more affordable options at approximately ¥222,500 per square meter. This represents a substantial price difference of nearly 50% between central and suburban locations.
Properties near subway stations command premium prices, often at the higher end of the central range. The proximity to Nagoya's efficient transportation network adds considerable value to residential properties.
Houses generally follow similar pricing patterns to apartments in their respective areas. Central locations with good access to business districts maintain the highest values.
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How have these prices changed in the past 12 months, both in absolute yen amounts and in percentage terms?
Nagoya residential property prices increased by 3-5% year-on-year in central areas during the past 12 months.
In absolute terms, this translates to price increases of ¥10,950 to ¥18,250 per square meter for typical central apartments. For a standard 60-square-meter apartment, owners saw value appreciation of ¥657,000 to ¥1,095,000.
Official residential land prices showed a 2.3% year-on-year increase according to 2025 government surveys. Properties near subway stations experienced the strongest appreciation at 6-7%.
Suburban areas also participated in the price growth, though at slightly lower rates. The overall market momentum reflects strong underlying demand fundamentals.
These increases represent some of the most consistent growth patterns seen in Japan's major metropolitan areas outside of Tokyo.
What's the year-on-year transaction volume for residential properties in Nagoya, and is it trending up or down?
Transaction volumes for Nagoya residential properties remain robust and stable to slightly growing.
The market benefits from sustained interest from both domestic buyers and increasing foreign investment participation. Activity levels show resilience despite broader economic uncertainties.
However, new housing starts in the Chubu region (including Nagoya) declined 22.3% year-on-year in May 2025. This supply constraint actually supports transaction values for existing properties.
The combination of steady demand and reduced new supply creates favorable conditions for property owners. Market liquidity remains healthy with active buyer interest.
Both investment and owner-occupier segments contribute to transaction activity, with foreign buyers representing approximately 18-20% of recent transactions.
How long does it currently take on average for a property to sell once it's listed?
Properties in Nagoya typically sell within 35-60 days of listing as of September 2025.
Central, well-connected areas tend to sell faster, often at the lower end of this range. Premium locations near subway stations or major commercial districts attract quicker buyer interest.
Suburban properties may take slightly longer but still move relatively quickly compared to historical averages. The constrained supply environment supports faster sales cycles.
Well-priced properties in desirable neighborhoods often receive multiple offers. Market conditions favor sellers with reasonable pricing expectations.
The average days-on-market figure reflects a healthy, liquid market with active buyer participation across different property segments.
What's the average rental yield in central Nagoya compared to suburban areas?
| Location | Rental Yield Range | Typical Property Type |
|---|---|---|
| Central Nagoya | 4.1-4.4% | Modern apartments near stations |
| Suburban Nagoya | 4.4-5.0%+ | Larger apartments, some houses |
| Prime central locations | 3.8-4.2% | New developments, premium areas |
| Outer suburban areas | 5.0-5.5% | Older properties, longer commutes |
| Near major universities | 4.5-5.2% | Student-focused properties |
| Industrial area vicinity | 4.8-5.3% | Worker accommodation |
| Luxury central properties | 3.5-4.0% | High-end condominiums |
How many new housing units are expected to be completed in Nagoya in the next 12 to 24 months?
New housing completions in the Greater Nagoya (Chubu region) area are experiencing significant decline.
May 2025 data shows 5,566 units completed, representing a 22.3% year-on-year decrease. This downward trend is expected to continue through 2026.
The constrained supply pipeline reflects various factors including construction cost increases and labor shortages. Developers are being more selective about new project launches.
No major uptick in completions is forecast for the next 12-24 months. This supply constraint supports property values and rental demand for existing inventory.
The limited new supply particularly benefits owners of well-located existing properties, as buyers have fewer new alternatives to consider.
What's the current population growth rate of Nagoya, and how does it compare to the national average in Japan?
Nagoya metropolitan area population stands at 9,535,000 as of 2025, declining at -0.23% annually.
This decline rate aligns closely with Japan's national demographic trends. All major Japanese cities including Tokyo, Osaka, and Fukuoka show similar negative growth rates between -0.18% and -0.28%.
Despite population decline, housing demand remains supported by household formation patterns and urbanization trends. Younger demographics continue moving to city centers.
The demographic challenge is offset by increasing household numbers and foreign resident growth. Property demand shows more resilience than population figures might suggest.
Nagoya's position as a major industrial and transportation hub helps maintain its attractiveness relative to smaller cities experiencing more severe population losses.
How many major infrastructure or commercial projects are planned or under construction that could impact property demand in Nagoya?
- Meieki District Redevelopment - ¥540 billion investment creating 520,000 sqm of mixed-use space including offices, hotels, and commercial facilities, construction period 2027-2033
- Landmark Nagoya Sakae - Major tower and commercial complex scheduled for completion in March 2026
- Port of Nagoya Hydrogen Infrastructure - Carbon-neutral logistics and industrial investment ongoing through 2025 and beyond
- Nagoya Station Area Enhancement - Multiple transportation and commercial improvements tied to the Meieki redevelopment
- Industrial Modernization Projects - Various manufacturing and technology facility upgrades supporting employment growth
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What's the current mortgage interest rate in Japan, and how does it affect affordability in Nagoya specifically?
Fixed-rate Flat 35 loans (20-35 year terms) currently range from 3.18% to 3.69% as of September 2025.
Variable mortgage rates typically range from 0.8% to 1.9% depending on borrower profile and lender. Prime domestic buyers can sometimes access rates below 1%.
Interest rates have increased from approximately 3.5% in late 2024, but remain low by global standards. The rate environment is still described as "affordable" by local market standards.
Higher rates have reduced some entry-level demand, particularly affecting first-time buyers. However, financing remains accessible for qualified borrowers.
Nagoya's property prices relative to income levels help maintain affordability compared to Tokyo or Osaka, even with slightly higher interest rates.
How has the supply of rental properties changed in the past year, and what's the current occupancy rate?
Rental property supply in Nagoya is decreasing due to the 22.3% decline in new housing starts and strong ongoing demand.
Current occupancy rates stand at 96-97%, particularly high in central locations. This represents a tight rental market with strong landlord pricing power.
The supply shortage drives competition among tenants for quality rental units. Well-located properties often receive multiple applications.
Rental demand remains robust from both domestic residents and increasing international worker populations. Corporate relocations and university enrollment support steady tenant flow.
It's something we develop in our Japan property pack.
We did some research and made this infographic to help you quickly compare rental yields of the major cities in Japan versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you're planning to invest there.
What percentage of property buyers in Nagoya are domestic versus foreign investors?
Domestic buyers still represent approximately 80-82% of property transactions in Nagoya as of September 2025.
Foreign buyers account for 18-20% of recent transactions, showing significant growth compared to historical levels. This international interest includes both institutional and individual investors.
The foreign buyer segment encompasses various nationalities, with particular interest from other Asian markets and institutional funds. Many foreign buyers focus on investment properties rather than owner-occupation.
Increasing foreign participation reflects Nagoya's growing international profile and relative affordability compared to Tokyo real estate. The trend toward foreign investment is expected to continue.
Both domestic and foreign buyers benefit from Japan's relatively straightforward property ownership laws and transparent transaction processes.
What's the official forecast from local real estate associations or banks for property price growth in Nagoya over the next 2 to 3 years, in percentage terms?
Local real estate experts anticipate 2-4% annual price growth in Nagoya through at least 2027.
Premium locations and properties near transport hubs are expected to outperform the average, potentially achieving higher growth rates. Central areas should lead price appreciation.
The forecast reflects continued infrastructure investment benefits and constrained supply conditions. Major projects like the Meieki redevelopment provide positive demand catalysts.
Long-term growth may moderate if demographic trends persist, but Nagoya's affordability relative to Tokyo and Osaka provides ongoing support. The city's industrial base helps maintain economic stability.
It's something we develop in our Japan property pack.
Conclusion
This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.
Nagoya's property market demonstrates strong fundamentals with steady price growth, constrained supply, and major infrastructure investments driving future demand.
The combination of affordable financing, high occupancy rates, and increasing foreign investment creates favorable conditions for both investors and owner-occupiers in Japan's fourth-largest metropolitan area.
Sources
- Nagoya Price Forecasts - BambooRoutes
- Chubu Cost of Living - WakokuJP
- Nagoya Property Market - BambooRoutes
- Tokyo Rental Yield Analysis - E-Housing
- Japan Housing Starts Data - Patience Realty
- Nagoya Population Data - MacroTrends
- Landmark Nagoya Sakae - MJD
- Port Infrastructure Investment - Toyota Tsusho
- Japan Mortgage Rates - Statista
- Japan Real Estate Trends - Tokyo Portfolio