My friends will get married at the end of this year and they plan to buy a new condo in the center of Tokyo. It costs around 40,000,000yen. Total floor space is around 60m^2. It has a nice living room. Their mortgage payback will be equal to monthly rent that they pay now (maybe 100,000 or so). So they choose to buy. Actually, most of my friends do the same. They have their own condo and pay back their loan monthly and from their bonuses. I envy their new condo. Some live in around Odaiba and have great night view. Some live in the 25th floor at Shinagawa and have a wonderful view. The funny part is that Shinagawa condo was much cheaper than market value because there is the bigget butcher and market in front of them. So we call their condo "Dona Dona house" :-) and enjoy drinking parties often. They said they will pay back their 35 year loan earlier, maybe 30 or 25 years. And it is very normal for Japanese to have such long loans.
Me? no way, I can't have a "35 year loan" for a house. I feel as if I have to devote my life to pay back the loan. I can't do that. So I will keep on living in my current apartment. 2 years has passed since I moved in here, I have to have my contract renewed with my real estate agent. It will be 120,000yen and it means I have to pay almost double in this month. Well At any rate, housing cost is expensive in Tokyo.
By the way, in Toyama prefecture where has the best housing conditions in Japan, I can rent this size apartment with the same rent I pay now. Wow!! big balcony I will be able to have! Talking about a new condo to buy, I can't find any which cost 40,000,000yen in Toyama. This is a new one, at least they have 75m^2 space, and it costs around 23,000,000yen, yes almost half. Actually, in Toyama you can buy a Japanese castle with 40,000,000yen. Life will be different compared to where we live, but it would be the same in other countries though. right?
Having a condo can be cool, but the high unit prices and other stuff need to be taken care of may make you think twice. Personally, having a house is still better than owning a condominium.
vict
Posted by: house for sale bulacan | Wednesday, January 25, 2012 at 04:17 PM
I can rent this size apartment with the same rent I pay now. Wow!! big balcony I will be able to have!
Posted by: iphone clone | Monday, May 17, 2010 at 11:17 AM
This condo was I want to have a room with. I think live in here was so great.
Deirdre G
Posted by: makati condo | Wednesday, February 24, 2010 at 03:32 PM
I lived in Toyama City in 1991 and 1992. It was about half the price of Tokyo for an apartment. The weather was better too, as it had 4 real seasons. Winter had a lot of snow, but was not so cold. It almost never got below treezing. They melted snow on sidewalks with water spigets set in the concrete. It never refroze.
Posted by: Dan | Saturday, July 08, 2006 at 12:25 AM
Here in San Diego, California, prices are more or less the same as in Tokyo, but interest rates are now about 7% for 30 year loans.
Posted by: | Sunday, June 25, 2006 at 03:20 PM
Ahhhhh 120.000 JPY = 566 GBP That is an very honnest rent for a little flat I must say.
Posted by: Jeöm | Wednesday, June 21, 2006 at 07:53 PM
Hi Mari, it was very interesting to read your thoughts about the real estate market. What's more... I seem to be in the same boat as you: I also have to renew my 2-year contract this month, and I also have to pay 120.000 yen extra (same as you!). Unlike you however I would like to buy a place and pay it back too over a 20 or 30 year period. Impossible, though... as a foreigner in Tokyo my chances of getting a loan are sub-zero. Very nice blog, btw.
Posted by: Stefan | Wednesday, June 21, 2006 at 05:57 PM
Mari, I love reading your blog! Thanks for reminding me of my favorite place :)
Posted by: Thrusher | Wednesday, June 21, 2006 at 12:12 PM
Seems like prices here in the Bay Area are a bit more than in Japan, although most likely, the sizes of the condos are a bit bigger...
Condos go for around $400-600K. Townhouses go for $500-700K (you own the land that it's on, there no yard at all). Houses are very expensive! Well, I do live in the Bay Area (San Francisco, San Jose, etc), and is one of the most expensive places to live in the US.
Posted by: yamo | Tuesday, June 20, 2006 at 06:33 PM
I happen to come to this site while checking 'Sukiyaki' song. And I put this blog to my Yahoo Rss reader so that I can continue to read it in the future.
What I'd say this time is 'Thank you for your interesting blog':-)
p.s.
I've learned that this is condo not appartment nor manshion.
Posted by: Bob | Tuesday, June 20, 2006 at 06:18 PM
I didn't realise Tokyo was quite that expensive! We have 95 square metres plus 35 sq m garden right beside the poshest station on the line, only 22 minutes from central Osaka and that cost 52 million. Quite scary getting a mortgage that will not be paid off until I'm 75, although given the low rates here I can pay the mortgage off and more with interest on money saved at home.
Posted by: Ken Y-N | Tuesday, June 20, 2006 at 09:27 AM
40M yen... wow! Anyway not so different as Italian apartments: I'm going to live alone soon (probably before the end of summer, preparing apartment) and here in Milan I've bought a (about) 55m^2 apartment at (about) 30M yen (200K euro) (no mortgage for me). So... not so different prices.
Mari, if you'll marry me we can buy an apartment together! (^___^)
Posted by: Marco Bresicani | Tuesday, June 20, 2006 at 12:01 AM