Japan housing starts up 4.2 percent in February

March 29, 2019

Tokyo--Housing starts in Japan in February rose 4.2 pct from a year before to 71,966 units, up for the third straight month, the land ministry said Friday.

The increase was led by growth in construction starts for owner-occupied housing and condominiums.

Starts for owner-occupied housing, such as custom-built houses, rose 9.9 pct to 21,992 units, up for the fifth consecutive month, with interest rates staying at low levels and financial institutions willing to increase lending on the back of rising land prices.

Starts of housing for sale, including condominiums, jumped 11.4 pct to 21,190 units, thanks chiefly to increases in Chiba Prefecture, eastern Japan, and Aichi Prefecture, central Japan.

By contrast, starts for housing for rent fell 5.1 pct to 27,921 units, down for six months in a row, due to tighter screenings of loan applications for housing for investment. Jiji Press