Towards the end of 2022, Batdongsan.com.vn predicted that the Vietnamese real estate market would rebound between the second and fourth quarters of 2024. Currently, data indicates that the market has shown signs of recovery, with an increasing interest in real estate.
Specifically, the interest in land in the third quarter of 2024 is expected to increase by 49% compared to the same period in 2023, with similar rises for detached houses (25%), apartments (24%), and villas (22%). Furthermore, 72% of surveyed brokers noted that the current real estate market dynamics exhibit more positive signals.
Since the beginning of this year, new projects launched in Hanoi and Ho Chi Minh City have been priced relatively high. In Hanoi, the average price ranges from VND 45 million/m2 to VND 90 million/m2, while in Ho Chi Minh City, it varies from VND 45 million/m2 to VND 130 million/m2. Most brokers anticipate good absorption rates for these new launches, ranging from a moderate 30%-60% to an impressive >80%.
The market for detached houses and land has also witnessed a positive turn. According to real estate data for the first nine months of 2024, there has been an overall improvement in interest and transactions for these two property types. However, this improvement is localized to certain areas, particularly in the northern provinces.
In Northern Vietnam, the price of detached houses rose to VND 173 million/m2 in Q3 2024, compared to VND 95 million/m2 in Q1 2021. Land prices in the region also increased to VND 46 million/m2 in Q3 2024 from VND 27 million/m2 in Q1 2021.
In Southern Vietnam, land and detached house prices did not fluctuate significantly. Specifically, the price of detached houses rose to VND 106 million/m2 in Q3 2024 from VND 94 million/m2 in Q1 2021, while land prices saw a slight increase to VND 17 million/m2 in Q3 2024 from VND 13 million/m2 in Q1 2021.
In other news, the rental market is entering a growth cycle due to seasonal factors and pressure from rising sales prices.
In the first nine months of 2024, sales prices gradually climbed above VND 50 million/m2, pushing rental prices upwards as well. Rent increased from VND 10 million/unit/month at the end of 2023 to VND 11 million/unit/month.
Mr. Nguyen Quoc Anh, Deputy General Director of Batdongsan.com.vn, shared his insights: “The three amended laws related to real estate are being positively received by buyers, brokers, real estate exchanges, and investors. The real estate market in 2024 is expected to become more transparent due to these legal changes. Additionally, there may be an improvement in the supply of social housing with new preferential policies and support.”
The Capital City Adjusts Flooding Issues into Land Price Determinants
The Hanoi government has outlined eight specific factors that influence land prices, including water and electricity supply and their impact on drainage. This takes into account the stability of water and electricity provision and the area’s propensity for flooding during heavy rainfall.
Anxious to Unblock Real Estate Files: A Frustrating Wait
The Ho Chi Minh City Tax Department has stated that by applying the old land price table, they will focus on clearing the backlog of property paperwork and unblocking the current bottleneck.
Preventing Real Estate Price Inflation
It is imperative to regulate the frequent buying and selling of real estate, especially in areas where there are unusual price hikes in condominium projects.
Unveiling the Strategies of Land Auction Speculators
The Hanoi land market witnessed an unprecedented surge in August, with auction prices skyrocketing and consecutive sell-out sessions. Speculators employed tactics to manipulate land prices, creating a frenzied atmosphere in the outlying districts. This phenomenon has ignited a “fever” in the land foundation market, with each auction outbidding the previous one.
The Capital’s New Land Pricing Criteria: Unveiling Hanoi’s Latest Regulations Effective September 16th
The Hanoi authorities have outlined specific land price determination procedures within its jurisdiction, effective from September 16th.
