TOKYO (Kyodo) -- The average unit price of a new condominium in Japan hit a record for the eighth straight year in 2024, up 2.9 percent to 60.82 million yen ($407,500), amid rising construction costs, a research institute said Wednesday.

The number of condos sold fell 8.6 percent to 59,467 units, dropping for the third consecutive year in 2024, which was lower than in 2020, when sales slowed in the face of the COVID-19 pandemic, the Real Estate Economic Institute said.

In Tokyo and the three neighboring prefectures of Kanagawa, Chiba and Saitama, the average unit price of a new condominium slid 3.5 percent from the previous year to 78.20 million yen, according to the private organization.

Building expenses are expected to continue increasing in 2025, as higher raw material costs, due partly to the yen's depreciation, may drive up commodity prices for construction, Takayuki Miyajima, a senior economist at Sony Financial Group Inc., said in a report.