Key facts
- Taiwanese buyers constituted 62% of foreign purchasers of new apartments in Tokyo's central 6 wards in the first half of 2025.
- This marks a significant shift from a decade ago when mainland Chinese buyers dominated the market.
- A weak yen, higher property prices in Taipei, and geopolitical concerns in Taiwan are driving this trend.
- TSMC's investment in Kumamoto has also spurred Taiwanese interest and relocation to Japan.
- Taiwanese buyers are increasingly purchasing properties in Japan for investment, secondary residences, and emigration.
Taiwanese buyers are increasingly dominating Tokyo's real estate market, with 62% of foreign purchasers of new apartments in the city's central wards being Taiwanese in the first half of 2025. This surge contrasts sharply with the previous decade's narrative of mainland Chinese property investment and is driven by a confluence of economic and geopolitical factors.
Data released by Japan's Ministry of Land, Infrastructure, Transport and Tourism in November 2025 revealed that Taiwanese accounted for 192 of the 308 apartments bought by overseas residents in Tokyo's central 6 wards during the first half of 2025. This represents a significant shift, with mainland Chinese buyers purchasing only 30 units. In 2024, Taiwanese made up 32% of foreign buyers in Tokyo's 23 wards, surpassing Chinese buyers at 19% and US residents at 13%.
Several forces are converging to fuel this trend. A 38-year low for the yen, with USD/JPY trading around 156-157 in May 2026, has made Japanese real estate significantly more affordable for Taiwanese, whose currency is strong against the yen. Historically, a Tokyo parking spot cost as much as a Taipei apartment; that relationship has now reversed. CTBC Bank's Tokyo Star Bank subsidiary has seen its outstanding mortgage balances for Taiwanese buyers reach 40-50 billion yen ($255-320 million) within two years.
Furthermore, housing prices in Taipei now exceed those in central Tokyo when adjusted for standardized measurement methods, making Tokyo appear relatively cheaper. This has shifted buying motivations for wealthy Taiwanese from seeking overseas assets to escaping an overheated domestic market. The expansion of Taiwan Semiconductor Manufacturing Company (TSMC) in Kumamoto, Japan, with its second fab upgrade to 3nm production and total investment reaching approximately $17 billion, has also created a physical bridge. Land prices in Kumamoto have risen over 30% year-on-year as Taiwanese supply chain personnel relocate, supported by eight Taiwanese banks operating in Tokyo that facilitate property transactions.
Geopolitical considerations also play a role, with some Taiwanese viewing property acquisition in Japan as a hedge against potential cross-strait military contingencies. A Taiwanese woman from Hsinchu, Taiwan's 'Silicon Valley,' cited fears of a military contingency and a desire for a better future for her children as motivations for emigrating and purchasing property in Japan. She noted that rising prices and loan burdens in Taiwan are pushing individuals to seek opportunities abroad. The couple, earning double the Taiwanese average household income, purchased a secondhand apartment in Okayama and a new apartment in Tokyo, planning to live in Japan and rent out properties.