Where Should Foreigners Buy Property in Tokyo?

The Most Popular Areas — and Which Ones Hold Their Value

Tokyo is one of the few major world cities where foreigners can buy property with virtually no legal restrictions. But where you buy matters enormously. The difference between one ward and the next — sometimes just a few train stops — can mean dramatically different prices, lifestyles, and long-term value.

Here's a practical breakdown of the areas foreign buyers gravitate toward most.

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The Areas to Know

Minato-ku — The Classic Expat Hub

Home to over 50 embassies and several international schools, Minato-ku has been Tokyo's most internationally oriented ward for decades. Hiroo, Azabu-Juban, and Motoazabu offer English-friendly services, a built-in expat community, and easy access to the city centre.

It's also the most expensive. Expect to pay ¥200M or more for a 70m² condominium. Value retention here is exceptionally strong — demand from both foreign residents and Japanese high-net-worth buyers keeps prices stable.

Shibuya-ku — Lifestyle-Driven and In Demand

Daikanyama, Ebisu, and Yoyogi-Hachiman appeal to buyers who want a residential, neighbourhood feel without sacrificing access. These areas are defined by a modern lifestyle with real convenience — walkable cafés and restaurants, grocery stores, gyms, and a relaxed energy that is hard to find this close to the city centre.

Prices sit just below Minato-ku in some pockets, though the gap has narrowed. Value retention is very strong, particularly around Daikanyama and Ebisu, where supply consistently falls short of demand.

Chiyoda-ku — Prestige at the Centre

Chiyoda-ku sits at the geographic and symbolic heart of Tokyo, home to the Imperial Palace, major government buildings, and some of the city's most prestigious addresses. Neighbourhoods like Bancho (番町) and Kojimachi are quiet, leafy, and exceptionally well-connected — yet feel removed from the noise of the city despite being at its centre.

Inventory here is limited, which keeps prices high and competition stiff. That scarcity also makes it one of the most resilient wards in terms of value retention. For buyers seeking a truly central, prestigious address with long-term stability, Chiyoda-ku is hard to beat.

Chuo-ku — Central, Connected, and Increasingly Sought-After

Chuo-ku covers Ginza, Nihonbashi, and Kachidoki — a mix of upscale commercial streets, historic merchant districts, and waterfront residential towers. Ginza in particular has seen growing interest from foreign buyers drawn to its world-class retail, dining, and exceptional transit access across multiple lines.

The ward offers a wider range of price points than Minato or Chiyoda. Kachidoki adds a more accessible residential option within the ward, with a mix of older and newer condominiums and good subway connections. Value retention is strong, particularly in Ginza and Nihonbashi, where ongoing urban redevelopment continues to drive demand.

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Which Areas Hold Value Best?

A useful rule of thumb: properties inside or close to the Yamanote Line loop have historically outperformed. The wards within or close to that loop — Minato, Shibuya, Chiyoda, Chuo — have seen consistent appreciation over two decades, including through periods of national price stagnation. The further you move from that loop, the thinner the resale demand tends to be.

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Things to Check Before You Buy

Flood and liquefaction risk. Tokyo's government publishes hazard maps for both. Lower-lying eastern wards and reclaimed waterfront land carry higher risk — worth checking before committing.

Building age. Japan's seismic codes were significantly updated in 1981 and again in 2000. Properties built under the post-2000 standard offer better structural resilience.

Management fees and reserve funds. Condominium ownership comes with monthly fees that vary widely between buildings. Always review the building's reserve fund balance and maintenance history.

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How to Decide

• Lifestyle and community first? Minato-ku or Shibuya-ku.
  

• Prestige and long-term stability? Chiyoda-ku — limited supply, exceptional retention.
  

• Central address with more options? Chuo-ku, particularly Ginza or Nihonbashi.
  

• Residential feel with strong demand? Shibuya-ku — Daikanyama or Ebisu.

Next in this series: How Much Does It Really Cost to Buy Property in Japan? — taxes, agent fees, and the costs most overseas buyers don't see coming.