The price of new apartments in Tokyo toppled a 30-year-old record in 2021 as rising demand from dual-income households and increasing construction costs boosted the capital’s once-moribund housing market.

The mean price of new condos in the Japanese capital and surrounding areas hit ¥62.6 million ($550,000) last year, topping the ¥61.2 million high watermark set in 1990 at the peak of the economic bubble, according to figures released Tuesday by the Real Estate Economic Institute. Some market watchers expect the surge to continue this year.

"With a shortage of land and high construction costs, supply is not likely to jump anytime soon,” said Ryuta Hayakawa, a manager at Sumitomo Realty & Development Co. "Considering the demand, it’s unlikely that prices will fall.”