“Villa and Townhouse Prices Continue Their Upward Trend: Experts Predict Further Growth by Year-End”

Hanoi’s Villa, Townhouse, and Shophouse Prices Continue to Climb: Insights from Savills and CBRE

According to Ms. Do Thu Hang, Senior Director of Consulting and Research at Savills Hanoi, the secondary market prices of Hanoi’s villas have increased by 10% quarter-on-quarter to VND 195 million per square meter. Townhouse prices surged by 15% to VND 227 million per square meter, while shophouse prices rose by 9% to VND 266 million per square meter.

In the first quarter of 2025, the primary market prices of Hanoi’s villas reached an average of VND 282 million per square meter, doubling year-on-year. Townhouse prices stood at VND 239 million per square meter, marking a 24% annual increase. Shophouse prices remained stable year-on-year at VND 278 million per square meter.

Ms. Hang further highlighted that over the past five years, low-rise real estate values have witnessed significant growth. Villa prices have grown by an average of 29% annually, while townhouse prices have increased by 22%. In contrast, shophouse price increases have been more modest, ranging from 11% to 16% annually.

CBRE shared a similar outlook, noting that new villa and townhouse projects are being offered at high price points by developers due to expectations of improved infrastructure in their respective areas and limited supply.

CBRE anticipates that Hanoi’s residential property market will witness the launch of approximately 6,700 low-rise units in 2025. Buying demand is expected to remain stable, even as large-scale new supply enters the market.

Market insights reveal that Hanoi will welcome nearly ten new projects from now until the end of the year. Notably, these upcoming projects are expected to be priced significantly higher.

The most prominent among them are mega-projects by the Sunshine Group, such as Sunshine Grand Capital (Dan Phuong) and Sunshine Royal Capital (Tay Ho). Vinhomes is also introducing two new projects: Vinhomes The Gallery Giang Vo (Ba Dinh) and Vinhomes Green Bay Phase 2 (Nam Tu Liem).

The townhouses at Vinhomes The Gallery Giảng Võ are rumored to be launched at record-breaking prices. Similarly, the new launch prices of Sunshine Royal Capital units are forecasted to surpass VND 500 million per square meter.

In addition to these new high-priced projects, ongoing projects such as GIA22 by Kita (Tay Ho) and Solasta Mansion (Ha Dong) will also contribute to the market supply.

GIA22 by KITA, a new subdivision of the GIA by KITA project, offers 164 luxury villas and has gained traction among both end-users and investors. Its prime location in the heart of Ciputra (Tay Ho) and proximity to major developments like the Samsung R&D Complex, Sun Ascott Hotel, and Shilla Starlake have added to its appeal.

Real estate experts attribute the market recovery and resurgence in transactions to the influx of capital into various real estate segments. This trend has instilled confidence in investors, encouraging them to allocate funds towards premium segments such as villas and townhouses, gradually invigorating this market segment.

Mr. Nguyen The Diep, Vice President of the Hanoi Real Estate Club, attributed the significant increases in townhouse and villa prices to the scarcity of supply coupled with rising demand from homebuyers. As a result, not only have new projects seen price hikes, but even projects that had been dormant for many years have experienced substantial price appreciation.

Echoing this sentiment, Savills also believes that during periods of potential volatility in the stock and gold markets, capital tends to flow back into real estate. In the context of limited new supply in Hanoi’s core central districts, prices of villas and townhouses in these areas are anticipated to continue their upward trajectory sustainably.