Credit packages for young home buyers: Positive signals from policies
It’s not just a merger, it’s an “intertwining of identities” to promote equitable development – and, most importantly, to expand homeownership opportunities for millions of young people seeking their first home.
The boom in transport infrastructure is the clearest evidence of the current regional connectivity. The Ring Road 3, the expanded National Highway 13, the Ho Chi Minh City – Thu Dau Mot – Chon Thanh expressway, and the Binh Duong – Ho Chi Minh City metro lines are all accelerating, and most recently, the Ring Road 4 in Ho Chi Minh City has been approved for investment by the National Assembly. These “arteries” not only serve transportation but also reshape urban boundaries.
The metro lines, ring roads, and cross-regional highways will erase geographical boundaries, making it more realistic than ever to live in Binh Duong, work in Ho Chi Minh City, or spend weekends in Ba Ria – Vung Tau. A multi-center urban form, where people can live, work, and vacation across regions, is taking shape.
In this multifaceted picture, housing prices in Ho Chi Minh City (the center) are still too high for most young people. At a recent workshop on “Effective Financial Leverage – Young People Owning Homes,” Mr. Ha Quang Hung, Deputy Director of the Housing and Real Estate Market Management Department (Ministry of Construction), pointed out that it takes 20-25 years of income for a young person to buy an average 70m2 apartment priced at VND 3-4 billion in large cities. This figure shows that the house price-income ratio in Vietnam is among the highest groups.
Young couples in urban areas with an income of VND 20-30 million/month rarely buy a house without financial support from their families or preferential credit packages. According to data from Batdongsan.com, the average apartment price in Ho Chi Minh City ranges from VND 50-80 million/m2. Projects launched in the past year in Ho Chi Minh City revolve around the luxury segment of villas, terraced houses, and high-end apartments costing hundreds of millions of VND/m2.
Meanwhile, neighboring areas such as Di An, Thuan An (Binh Duong), Long Dien, and Phu My (Ba Ria – Vung Tau) with prices ranging from VND 25-45 million/m2 are becoming realistic choices for young people. These areas solve the most basic equation: affordable prices, convenient infrastructure connections, fast legal progress, and flexible payment policies for young people.
Recently, the government has instructed the State Bank to direct commercial banks to focus on lending and disbursement for commercial housing projects with suitable prices and to research credit packages for young people with a home-buying need.
According to a report by the Ministry of Construction, the real estate market in the first months of 2025 showed positive signs, with both supply and trading volume increasing compared to the same period in 2024. However, the market’s development has not matched its potential due to limited supply, an unbalanced product structure, a lack of housing for workers and young people, and an oversupply of villas and low-rise buildings. Additionally, real estate and housing prices are still unaffordable for many potential buyers…
Notable characteristics of young home buyers
A survey of a typical affordable housing project recently launched in Di An in the past six months shows that up to 40% of buyers are aged 25-35, followed by the 36-45 age group, which accounts for 36%. Another similar project in the same segment showed that 40% of customers were aged 30-40, followed by the 40-50 age group at 35%, and those under 30 accounted for about 10%. This indicates that the under-35 age group dominates the buyer structure in today’s affordable housing projects.
According to some experts, buyers under 30 are often financially independent or prefer flexible payment methods to easily own a home, especially small apartments with sufficient amenities. Those aged 30-40 are the main group with a need for owner-occupied, long-term investment, or rental properties.
A notable characteristic of young home buyers is their preference for reasonably sized assets, not too large but sufficient for living; they favor flexible payment methods that allow for smaller down payments and gradual installments instead of taking out a substantial loan from the bank at the outset.
Projects like TT AVIO, Phu Dong SkyOne, Bcons Solary, EHome 4, Phuc Dat Tower, and A&T Sky Garden, with selling prices below VND 45 million/m2, are of moderate scale and offer amenities that meet the needs of homeowners and renters.
For example, TT AVIO in Di An, developed by a Japanese joint venture, has just launched the Orion tower with prices starting at VND 33.6 million/m3, attracting significant interest from young buyers thanks to its installment plan of VND 9 million/month without bank loans. Buyers only need to pay 20% until they receive the house, after which they don’t have to make any additional payments for 30 months, reducing financial pressure.
The Orion tower offers improved design, materials, and modern amenities, creating a youthful, unique, and personalized space for its buyers.
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Mr. Thanh (a refrigeration technician in District 12, Ho Chi Minh City) shared his experience of buying a 56m2 apartment for about VND 1.9 billion. He paid 20% of the apartment’s value within nine months (about VND 395 million) and then stopped until he received the house (about 30 months). He plans to borrow from the project’s partner bank to enjoy a 0% interest rate and no principal payments for 30 months.
In addition to the new loan package for young home buyers, the government has instructed agencies to research and develop real estate projects with diverse segments and products to increase buyer accessibility, reduce costs, and provide more suitable options.
It’s evident that the market is presenting many opportunities, from macro policies to practical initiatives from developers, to help young people realize their dream of homeownership.
– 07:22 02/07/2025
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