“Navigating the New Real Estate Cycle: Experts Advise Investors to ‘Pick the Right Segment'”

Southern Vietnam’s Real Estate Market Surges: Developers Seize Opportunities

After a three-year hiatus, the real estate market in Southern Vietnam is regaining its growth momentum, evident from the start of 2025. Besides launching new projects, developers are actively engaging in partnerships, opening show flats, and handing over property titles to homebuyers.

Recently, Phú Đông Group organized an event to hand over property titles and inaugurate the Ô Mây kindergarten at the Phú Đông Sky Garden project in Dĩ An, Bình Dương province. This move demonstrates the developer’s commitment to fulfilling their promises to homebuyers by providing essential amenities within the project premises.

Similarly, Nam Long, after inaugurating the 6-hectare Emasi Plus international boarding school at Waterpoint 355 in Bến Lức, Long An, has signed an MoU with the Hồng Anh medical system to develop a healthcare complex in the same urban area.

With the addition of the international school, the Đa khoa Waterpoint clinic, the Sanha supermarket system, and the F&B chain, the collaboration with the Hồng Anh medical system marks a significant step towards completing Nam Long’s integrated urban area model. This area not only offers residential projects but also integrates essential urban functions, creating a comprehensive living environment that meets the needs of living, working, studying, entertainment, and healthcare for its residents.

On May 16, Phát Đạt officially inaugurated the Sales Gallery and model apartment of the La Pura project, with rumored prices starting from 46 million VND per square meter.

On May 17, The Privé project also inaugurated its Sales Gallery in Thủ Đức City. This 6.6-hectare project offers over 3,000 apartments, and after years of waiting for legal procedures, it is back on the market with rumored prices of 99 million VND per square meter.

Meanwhile, Fiato Airport City in Dong Nai officially inaugurated its Sales Gallery and three model apartments, attracting hundreds of customers to experience the project.

Another project, TT AVIO, is preparing for the kick-off of the next phase in early June 2025, following successful sales periods. This project offers over 2,000 apartments priced from 32 million VND per square meter, with more than 900 apartments already sold.

Previously, the Bcons Group held a launch event for the B.SCHOOL at the Bcons City project and recently introduced the Bcons Solary project in Tân Đông Hiệp. With a scale of nearly 2 hectares, this project is a rare affordable housing option in the area.

In Long An, construction of a series of townhouse, villa, and land projects around a large urban area is about to commence, with sales expected to begin in Q2 2025. Developers are taking advantage of the infrastructure’s heat and mega-projects in this phase, offering attractive sales policies to stimulate buyer demand.

Clearly, real estate investors and brokers are stepping up their activities to seize new opportunities in the market’s transitional phase. Positive infrastructure, merger, and planning information have boosted the morale of both enterprises and homebuyers, making the real estate market in Southern Vietnam vibrant.

Homebuyers Respond Positively

After a period of observation, homebuyers’ confidence in the market has recovered significantly. This is evident in the level of interest and transactions, reaching 70-80% in newly launched projects. Some projects even recorded thousands of bookings within a month, far exceeding the number of available units. Several projects achieved a remarkable 90-95% successful booking rate on the opening day, indicating a strong demand for home purchases.

According to Ms. Dương Thùy Dung, Executive Director of CBRE Vietnam, the demand for real estate remains high. Previously, buyers were in a waiting state due to a lack of supply. Now, with an increase in the number of products on the market, the level of interest has been very positive. Some projects, despite their high prices, have achieved absorption rates of over 90% of the basket. The long market purification process has also strengthened buyers’ confidence.

She believes that the bold moves of real estate developers in introducing products to the market and organizing grand opening and kick-off events, which are well-received by buyers, reflect the recovery and growth of the real estate market in the new cycle.

According to the latest report from DKRA Consulting, in April 2025, the apartment market recorded a 2.2-fold increase in demand compared to the same period in 2024. Transactions were mainly focused on new projects in Binh Duong. Primary selling prices increased, especially in areas with information on merging with Ho Chi Minh City, such as Binh Duong and Ba Ria – Vung Tau, with common increases ranging from 5% to 7% compared to the beginning of the year.

In the townhouse and villa segment, supply and demand improved compared to the same period in 2024. Market demand increased significantly by 11.5 times compared to April 2024, mainly due to transactions in Long An. This area led the market, accounting for 100% of new supply and 96% of primary consumption, corresponding to 21% of total supply and 96% of total consumption in April 2025.

Secondary selling prices for this type of property increased by an average of 6% compared to the previous month. According to DKRA Consulting, products in urban areas that have been handed over, have diverse amenities, and have completed legal procedures attract strong investor interest, contributing to improved market liquidity.

In a recent sharing, Mr. Đinh Minh Tuấn, Southern Region Director of Batdongsan.com.vn, stated that the real estate market in Southern Vietnam is gradually warming up after a period of stagnation. Supply, transactions, and prices are showing positive signs, raising hopes for a more sustainable growth phase. However, behind the positive numbers lies a starkly contrasting picture. Opportunities exist, but not for the majority, especially as the market has entered a phase of rigorous screening.

The most significant difference in the 2025 market compared to previous cycles is the return of genuine demand. Owner-occupiers are taking the lead, while short-term speculators are being filtered out due to high property prices, tighter legal requirements, and increasingly stringent financial conditions. Bank credit also plays a crucial role in stabilizing the market and buyer psychology. Attractive loan packages, stable interest rates, and policies favoring owner-occupiers are being aggressively implemented.

According to industry experts, homebuyers have opportunities when entering the market early, but they should carefully consider projects with transparent legal procedures, reputable investors, and well-planned development areas. For short-term investors, observing the market in the second half of 2025 can help minimize risks and optimize returns.