COVID-19 and the demand for transit access: Residential real estate prices in the Tokyo metropolitan area

Abstract

To better understand the spatial implications of the COVID-19 pandemic on demand for both housing and transportation, this analysis examines sales price data from condominiums in the Tokyo metropolitan area. Demand for high-access condominiums—both those near transit stations and those in close proximity to the city center—was strong throughout the study period (2017–2022), and showed neither a positive nor negative association with the onset of the pandemic. Price growth for lower-access properties—those further from transit stations and those in peripheral suburban locations—was, by contrast, far more robust during the COVID era than in the pre-pandemic period. Results suggest that COVID-related changes in travel behavior—particularly the decreased commute burden associated with remote work—may have made lower-access locations more attractive to home buyers. This has not, however, tempered demand for properties near transit and in the central city, which remained strong throughout the pandemic period.