Japan Residential Construction Market Size & Share Analysis - Growth Trends & Forecasts (2025 - 2030)

The Japan Residential Construction Market is Segmented by Type (Apartments & Condominiums, Villas, and Other Types), and by Construction Type (New Construction, and Renovation). The Report Offers Market Size and Forecasts for Japan Residential Construction Market in Value (USD) for all the Above Segments.

Japan Residential Construction Market Size & Share Analysis - Growth Trends & Forecasts (2025 - 2030)

Japan Residential Construction Market Size

Japan Residential Construction Market (2024 - 2029)
Study Period 2020 - 2030
Base Year For Estimation 2024
Forecast Data Period 2025 - 2030
Market Size (2025) USD 277.84 Billion
Market Size (2030) USD 361.07 Billion
CAGR (2025 - 2030) 5.38 %
Market Concentration Medium

Major Players

Japan Residential Construction Market Major Players

*Disclaimer: Major Players sorted in no particular order

Compare market size and growth of Japan Residential Construction Market with other markets in Real Estate and Construction Industry

Real Estate

Construction

Japan Residential Construction Market Analysis

The Japan Residential Construction Market size is estimated at USD 277.84 billion in 2025, and is expected to reach USD 361.07 billion by 2030, at a CAGR of greater than 5.38% during the forecast period (2025-2030).

The COVID-19 pandemic has caused the construction of residential properties to be halted in Japan. This slowed the growth of the residential construction market in 2020, but it was picking up in 2021 and 2022.

Japan is rapidly constructing high-rise condominiums in urban areas while new residential areas continue to sprout up in the suburbs. On the other hand, at the same time, the number of vacant houses is increasing in Japan. This is because people have shifted their focus more toward purchasing second-hand homes and abandoned homes.

Condominium prices had reached 180.3, or 1.8 times the median, as of April 2022. According to the industry association, the average price of a new condominium per 70 square meters in central Tokyo in 2021 would be JPY 87.57 million, JPY 64.75 million in the surrounding metropolitan area, and JPY 59.43 million in Osaka. High-earning couples are said to be driving demand for such expensive homes, buying condos to live in, invest in, or reduce their inheritance tax burden. This increase in the cost of new units is also pushing up the cost of used condominiums.

Price increases in Japan's residential construction market are not always a result of greater demand. After all, as a result of the rise in work-from-home, some office space will be turned into flats, increasing the supply of apartments. For instance, the builder of Tokyo Station's "Torch Tower," the city's highest tower, recently revealed plans for 50 luxury apartments with monthly prices ranging from 1 to 5 million yen. The Real Estate Economic Institute predicted that 14,000 new apartments would hit the market in Tokyo's 23 wards in 2022, a rise of 1.4% from the previous year. This prediction indicates that 34,000 units will be made available in the greater Tokyo area (+4.6%).

Japan Residential Construction Industry Overview

The Japan residential construction market is quite fragmented, with many local players in the market. Some of the major players in the market are Daiwa House, Sekisui House, Panasonic Homes, Asahi Kasei Homes, and Sumitomo Forestry. The market is expected to grow during the forecast period due to the increase in residential construction investments, upcoming major projects in the country, and other factors driving the market. The major local and international players have created a relatively fair enough competitive environment in the market. Still, the market opens opportunities for small and medium players due to increasing govt investments in the sector.

Japan Residential Construction Market Leaders

  1. Daiwa House

  2. Sekisui House

  3. Panasonic Homes

  4. Asahi Kasei Homes

  5. sumitomo forestry

  6. *Disclaimer: Major Players sorted in no particular order
Japan Residential Construction Market Concentration
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Japan Residential Construction Market News

  • November 2022: Asahi Kasei Homes acquired 100% ownership of all the subsidiaries of Focus Company. This acquisition will help Asahi Kasei Homes strengthen its core business of order-built unit homes in Japan, North America, and Australia.
  • April 2022: Panasonic Homes commenced selling their Casart Black & Stone model, a Zero Energy Home (ZEH), in April 2022. The Black & Stone has an Earthquake Safety and Comfort Warranty that will restore the building to its original condition in the unlikely event that more than half of the house is damaged in an earthquake. The Black & Stone has a Grade 3 rating, the highest seismic performance rating that is achievable, under the Housing Performance Indication System.

Japan Residential Construction Market Report - Table of Contents

1. INTRODUCTION

  • 1.1 Study Deliverables
  • 1.2 Study Assumptions
  • 1.3 Scope of the Study

2. RESEARCH METHODOLOGY

3. EXECUTIVE SUMMARY

4. MARKET INSIGHTS

  • 4.1 Current Market Scenario
  • 4.2 Technological Trends
  • 4.3 Industry Value Chain/Supply Chain Analysis
  • 4.4 Government Regulations and Key Initiatives in the Market
  • 4.5 Brief on Different Structures Used in the Residential Construction Industry.
  • 4.6 Impact of COVID-19 on the Market

5. MARKET DYNAMICS

  • 5.1 Market Overview
  • 5.2 Market Drivers
  • 5.3 Market Restraints
  • 5.4 Value Chain / Supply Chain Analysis
  • 5.5 Porter's Five Forces Analysis
    • 5.5.1 Threat of New Entrants
    • 5.5.2 Bargaining Power of Buyers/Consumers
    • 5.5.3 Bargaining Power of Suppliers
    • 5.5.4 Threat of Substitute Products
    • 5.5.5 Intensity of Competitive Rivalry

6. MARKET SEGMENTATION

  • 6.1 By Type
    • 6.1.1 Apartment & Condominiums
    • 6.1.2 Villas
    • 6.1.3 Other Types
  • 6.2 By Construction Type
    • 6.2.1 New Construction
    • 6.2.2 Renovation

7. COMPETITIVE LANDSCAPE

  • 7.1 Market Concentration Overview
  • 7.2 Company Profiles
    • 7.2.1 Daiwa House
    • 7.2.2 Sekisui House
    • 7.2.3 Panasonic Homes
    • 7.2.4 Asahi Kasei Homes
    • 7.2.5 sumitomo forestry
    • 7.2.6 Mitsui Homes
    • 7.2.7 Prime Life Technologies
    • 7.2.8 Misawa Homes
    • 7.2.9 Toyota Housing Co
    • 7.2.10 Tama Home*
  • *List Not Exhaustive

8. MARKET OPPORTUNITIES AND FUTURE TRENDS

9. APPENDIX

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Japan Residential Construction Industry Segmentation

Residential construction includes construction on single-family or two-family dwellings that are occupied or used or are intended to be occupied or used, primarily for residential purposes. One in which the architect uses materials to construct the complete structure according to customers' tastes and choices before selling it to the buyers at a profit. The Japanese residential construction market is segmented by type (apartments & condominiums, villas, and other types) and by construction type (new construction and renovation). The report offers market size and forecasts for Japan's residential construction market in value (USD billion) for all the above segments.

By Type Apartment & Condominiums
Villas
Other Types
By Construction Type New Construction
Renovation
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Japan Residential Construction Market Research Faqs

How big is the Japan Residential Construction Market?

The Japan Residential Construction Market size is expected to reach USD 277.84 billion in 2025 and grow at a CAGR of greater than 5.38% to reach USD 361.07 billion by 2030.

What is the current Japan Residential Construction Market size?

In 2025, the Japan Residential Construction Market size is expected to reach USD 277.84 billion.

Who are the key players in Japan Residential Construction Market?

Daiwa House, Sekisui House, Panasonic Homes, Asahi Kasei Homes and sumitomo forestry are the major companies operating in the Japan Residential Construction Market.

What years does this Japan Residential Construction Market cover, and what was the market size in 2024?

In 2024, the Japan Residential Construction Market size was estimated at USD 262.89 billion. The report covers the Japan Residential Construction Market historical market size for years: 2020, 2021, 2022, 2023 and 2024. The report also forecasts the Japan Residential Construction Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.

Japan Residential Construction Industry Report

Statistics for the 2025 Japan Residential Construction market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Japan Residential Construction analysis includes a market forecast outlook for 2025 to 2030 and historical overview. Get a sample of this industry analysis as a free report PDF download.