Land prices are soft
According to a market research report in January 2024 by Batdongsan.com.vn, the number of real estate listings in Long An province has decreased significantly. Specifically, the total number of Long An real estate products for sale decreased by more than 42% compared to the previous month, land listings decreased by 31%; apartment listings decreased the most by 74%; townhouse listings decreased by 57%; private house listings decreased by 48%; and street-front house listings decreased by 52%.
In terms of areas, Ben Luc and Duc Hoa are the two districts with the largest decrease in the supply of real estate listings in the past month, with a decrease of 57% and 50% respectively. Similarly, the remaining districts such as Can Giuoc, Can Duoc, and Tan Tru all had an average decrease in the number of listings from 15-30% compared to the previous month. Thủ Thừa is the only locality that recorded a slight increase of 2% in listings during the past month.
In terms of demand, most types of real estate in the Long An market have decreased, with an overall decrease of 13%. Specifically, the segment with the largest decrease in demand is project land with 27%; apartment demand decreased by 20%; private house demand decreased by 17%.
However, in the context of the overall decrease in the market, Thủ Thừa and Tan Tru districts observed an increased demand of 3.6% and 22.4% respectively compared to the previous month.
For the rental market, Long An saw a decrease of 73% in apartment rental listings, a 21% decrease in villa rentals, and a 60% decrease in street-front house rentals compared to the previous month. Industrial space rentals also decreased by 32%, and private house rentals decreased by 40% in January. The number of rental searches in this market also decreased similarly with an overall decrease of 35%. However, rental searches for private houses in Long An increased by 5.6% during the past month.
Despite the declining demand in the first month of the year, Long An remains a vibrant market, supplying a large number of suitable products to the Southern market. It is also the only neighboring market to Ho Chi Minh City with apartments priced at 1 billion VND per unit or less.
Particularly, land plots in this market hold an advantage due to their “soft” prices compared to neighboring provincial markets of Ho Chi Minh City. They are suitable for both living and leasing investment due to their proximity to industrial areas with consistently high demand.
Illustrative image.
The attractiveness of this market also maintains stable selling prices, although there are no signs of recovery. Apartment prices in Long An range from 20-24 million VND per square meter, townhouses have an average price of 8-12 billion VND per unit, luxury riverside villas range from 18-40 billion VND per unit, and land prices range from 16-55 million VND per square meter,…
Long An real estate rarely experiences artificial price increases or deep declines, but rather maintains stability due to the majority of buyers having long-term investment plans. The amplitude of price increases in Long An real estate is based on the growth of demand and changes in local infrastructure and economy.
Regarding the Long An real estate market, experts from Batdongsan.com.vn believe that there will not be significant changes in the coming month due to the general difficulties and low investment sentiment in the market. It will take more time for the Long An real estate market to regain its momentum. The general market demand may pick up towards the end of 2024 with completed legal procedures and infrastructure projects,…
Major real estate companies rush to acquire land in Long An
In recent times, Long An’s real estate has received attention as several real estate companies are acquiring land here. Most recently, in early February this year, according to the results of the registration of investment projects for the Phuoc Vinh Tay New Urban Area in Can Giuoc district (Long An province) announced by the Long An Planning and Investment Department, the joint venture of Vinhomes Joint Stock Company and Vietnam Investment Group (VIG) is the only investor registered to implement this project.
The Phuoc Vinh Tay New Urban Area project covers an area of about 1,090 hectares with an estimated population of about 89,960 people. The project will include commercial residential products under the form of rough delivery (including about 7,050 townhouses and about 8,194 villas); there will be about 13,440 social housing apartments and around 2,370 low-rise resettlement houses.
The preliminary total project cost is 80,000 billion VND, and the land cost is 10,678 billion VND.
Prior to that, in October 2023, the People’s Committee of Long An province approved the Investment Joint Stock Company Urban Development Corporation – a subsidiary of Vinhomes – as the investor to carry out the Hau Nghia – Duc Hoa New Urban Area project in Hau Nghia town, Duc Lap Thuong commune, and Tan My commune, Duc Hoa district.
Conceptual image of the Hau Nghia – Duc Hoa New Urban Area project.
The Hau Nghia – Duc Hoa New Urban Area covers an area of about 197.2 hectares with an estimated population of 40,000 people. The investment scale includes villas, townhouses, apartments, resettlement land, social housing; technical infrastructure, and social infrastructure. The total investment for the project is about 28,258 billion VND.
In late August 2023, the People’s Committee of Long An province approved the Memorandum of Associations between DBDevelopment Joint Stock Company, Vinh Commercial Center Joint Stock Company, and Eurowindow Nha Trang Investment and Tourism Development Joint Stock Company as the sole investors meeting the requirements for capacity and experience in registered real estate investment projects in Thanh Phu ward and Phuong 6 ward, Tan An city.
The New Urban Area project in Phuong 4 ward and Phuong 6 ward, Tan An city covers a total area of over 137 hectares with a total project cost of over 7,118 billion VND. Among those, the cost for compensation and resettlement support is over 1,000 billion VND. The estimated population is about 17,225 people.
In May 2023, the People’s Committee of Long An province approved the preliminary evaluation results of experience and capacity of investors to implement the eco-tourism and commercial urban area project in Thanh Phu commune, Ben Luc district, Long An province.
Accordingly, DB Investment and Development Joint Stock Company and Ecopark Group Joint Stock Company met the conditions to implement the project. Thanh Phu urban area is expected to have a population of over 37,000 people with a total area of 220 hectares. The total investment for the project is nearly 17,000 billion VND.
In addition, at the planning announcement and investment promotion conference in July 2023, Long An province signed memorandums of understanding with several major real estate companies.
Specifically, Vingroup signed a memorandum of understanding to invest in resort, amusement, and entertainment projects. BIM Group signed a memorandum of understanding to study investment in real estate, renewable energy, and agriculture and food in Long An. Phu My Hung Development Company Limited signed a memorandum of understanding to study investment in international standard urban, commercial, and service areas,…
Currently, Long An is still looking for investors to implement the Tân Mỹ New Urban Area project in Tân Mỹ commune, Duc Hoa district. The Tân Mỹ New Urban Area project covers an area of about 930.8 hectares with an estimated population of nearly 81,000 people. The preliminary total investment for the Tân Mỹ New Urban Area project is 74,400 billion VND, equivalent to over 3 billion USD. After completion, the project is expected to have more than 13,000 commercial residential lots (rough delivery) and 7,049 social housing units.
