Tokyo Apartment Prices Hit Record on Tight Supply, Surging Building Costs

Home values in Tokyo have been on an upward trend.

Photographer: Kiyoshi Ota/Bloomberg

Tokyo’s new condominium prices rose to a record in 2025, driven by ballooning construction costs, supply constraints and more expensive luxury apartments hitting the market.

The average price of a new apartment for sale in the Japanese capital and surrounding areas rose 17% to ¥91.8 million ($596,000), according to figures released Monday by the Real Estate Economic Institute. Prices had fallen slightly in 2024 after increasing for five years in a row.