Dr. Can Van Luc: Vietnamese Public Servants Need Nearly 26 Years of Work to Afford an Apartment, Compared to Global Average of 15 Years

On the afternoon of September 18th, during the 2025 Housing Real Estate Forum themed “Satellite Waves,” organized by the Vietnam Real Estate Association (VNREA) in collaboration with the Labor Newspaper and the Real Estate Review Community, Dr. Can Van Luc—a member of the National Financial and Monetary Policy Advisory Council—provided critical recommendations for businesses amidst a volatile market.

According to Dr. Luc, real estate companies must focus on three key strategies. He notably warned against the practice of simultaneously developing multiple projects within the same locality.

In reality, many firms tend to undertake several projects concurrently in one area, leading to capital and cash flow pressures, as well as heightened financial risks. This issue warrants early caution to prevent long-term adverse effects.

“A Vietnamese public servant currently needs nearly 26 years of work to afford a condominium, compared to the global average of just 15 years, which is disproportionately expensive relative to our income,” Dr. Can Van Luc illustrated.

He noted that this trend is worsening. While in 2023 and 2024, it took approximately 24 years to buy a condo, this figure has risen to 26 years, despite continued improvements in average incomes. This indicates that property prices are outpacing income growth, widening the gap in housing accessibility.

Given these realities, he stressed the need to control housing prices, restore market equilibrium, and foster product and funding diversity. Additionally, businesses must proactively embrace digital and green transformations in construction and real estate. Contributing to the development of land and property databases will also enhance market transparency. Strengthening corporate governance, organizational culture, and standardizing processes, products, and personnel are essential to align with the revised Land Law, Housing Law, and Real Estate Business Law.

According to Dr. Luc, current conditions present more opportunities than challenges. By leveraging these, companies can navigate difficulties and achieve sustainable growth.

From a policy perspective, the government must implement concrete, feasible solutions to stabilize and gradually reduce real estate prices, particularly in the housing segment.

Six major issues require attention: diversifying funding sources and advancing real estate finance—such as reviving corporate bond markets, establishing a National Housing Fund and Real Estate Investment Trusts (REITs), promoting cashless payments, and devising a rational property taxation roadmap.

Simultaneously, rigorously combating waste in land management, public assets, and public investment will both stimulate economic growth and foster a healthy, transparent real estate market.

The government must also vigorously develop land, property, and housing databases, alongside effective management and utilization mechanisms for these resources.