Southern Apartment Market: Transactions Triple, Prices Surge Over 30% in One Year

Southern property transactions, particularly in the former Binh Duong area (now part of Ho Chi Minh City), have surged threefold compared to last year. Among these, investors aged 35–44 dominate, while primary homebuyers are predominantly in the 25–34 age bracket.

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In a recent real estate forum, Mr. Vo Hong Thang, Deputy General Director of DKRA Consulting, shared insights on the Ho Chi Minh City apartment market and its surrounding areas. Over the first eight months of 2025, the market showed promising recovery signs, with a significant increase in both supply and demand. More than 28,000 apartments were launched, marking a 58% rise compared to the same period last year. Absorption rates soared to over 20,000 units, tripling the 2024 figures. Prices also surged by nearly 30% year-on-year.

The townhouse and villa segment saw a 71% supply increase, exceeding 10,000 units, with sales quadrupling. Land plots experienced a modest 3% supply growth but achieved a 2.2x absorption rate, with over 1,100 units sold.

Thang noted that market expansion is no longer confined to Ho Chi Minh City but has extended to neighboring provinces. Notably, former Binh Duong outpaced former Ho Chi Minh City in both apartment supply and sales, accounting for 46.7% of the total market. While Ho Chi Minh City focuses on high-end (Class A) apartments, Binh Duong’s market is driven by mid-range (Class B and C) units. Similarly, in the townhouse and villa segment, Long An province leads with 40% of the supply and 67% of primary sales.

DKRA Consulting’s data reveals that primary sale prices in Ho Chi Minh City rose by 2-6% in August 2025 compared to the previous month. Transactions were concentrated in projects with convenient access to the city center, proximity to public transport (TOD), robust legal frameworks, and attractive sales policies.

Apartment transactions in Ho Chi Minh City and surrounding areas tripled compared to the same period last year. (Illustrative image)

Projects with innovative sales strategies are gaining traction. For instance, An Gia is launching the final 700 units of the Dong Tower at The Gio Riverside (Dong Hoa Ward, Ho Chi Minh City), featuring 100% river-facing apartments and premium amenities. The developer offers a 36-month interest-free period, a 5-year principal grace period, and up to 18.5% discounts (nearly VND 600 million), easing cash flow pressure and boosting investor profits. Buyers face no financial costs in the first three years and receive essential interior gifts. With potential rental income of VND 10 million/month, investors can achieve positive cash flow.

Phu Dong SkyOne in Di An Ward (Ho Chi Minh City) by Phu Dong Group is another standout, offering nearly 800 units with a 10% down payment until handover and a 24-month installment plan of VND 4.5 million/month at a fixed 5% interest rate for five years.

A joint venture involving Cosmos Initia, TT Capital, and Koterasu Group is set to launch the Orion Tower at TT AVIO with a unique “One-on-One Payment Negotiation” policy. A&K Tower by OBC Holdings offers tiered discounts: 1% for 2-3 units, 2% for 4+ units, and up to 13% for early payments.

Fresia Riverside by Tan Van Real Estate (TV Holdings) is attracting attention with its 1,153 units priced from VND 1.79 billion for two-bedroom apartments. The project offers a 2% early-bird discount, 5% for quick payments, 1% for bulk purchases, and a flexible 0.5%/month payment plan.

Investors aged 35-44 account for 36% of the market, while first-time homebuyers aged 25-34 make up 40%. (Illustrative image)

These aggressive sales policies aim to boost liquidity in the final quarter, a transitional period before potential price hikes. Experts view these strategies as financial support for buyers amid macroeconomic uncertainties. The tripling of southern apartment transactions compared to last year reflects buyers’ willingness to leverage these incentives, reducing initial capital and enhancing future profits. Discounts of 10-20% provide a safety net even if prices don’t rise significantly.

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