Resale and New Condo Prices Surge Simultaneously

Widespread Price Increases

In major cities like Hanoi and Ho Chi Minh City, apartment prices ranging from 60 to 100 million VND/m² now dominate the market. Meanwhile, prices between 30 to 40 million VND/m² have long been extinct, and even primary prices of 50 to 55 million VND/m² are hard to find in this phase.

Data from CBRE Vietnam shows that in Q2/2025, primary apartment prices in Hanoi increased by 33% compared to the same period last year, while secondary prices rose by 15%. The surge in primary prices in Ho Chi Minh City is equally impressive, with a 29% increase over the past year, and secondary prices climbing by 13% annually.

A survey by Tien Phong’s reporters reveals that in former Ho Chi Minh City, properties priced at 100 million VND/m² and above account for 90% of the available inventory. Projects like Eaton Park by Gamudaland, The Privé by Dat Xanh Group, Diamond Sky apartments by Van Phuc Group, and subdivisions such as The Beverly and Lumiere Boulevard in Vinhomes Grand Park are all priced between 120 to 150 million VND/m².

Secondary prices for apartment projects along the Ben Thanh – Suoi Tien metro line have also surged by an average of 70-150% over the past four years. Specifically, Masteri Thao Dien and Masteri An Phu apartments now range from 90 to 120 million VND/m², marking a 30% increase from the beginning of the year and an 80% rise since 2019. Thao Dien Residence has jumped from 94 million VND/m² to 142 million VND/m². Other projects like The Nassim, Gateway Thao Dien, The Vista An Phu, The Estella, and Thao Dien Pearl have seen increases of 20-50% over the past three years.

Notably, apartments along National Highway 13 in former Binh Duong have also seen skyrocketing prices. Currently, very few apartment projects in this area are priced below 50 million VND/m². Real estate in this region is setting new benchmarks, with land prices along National Highway 13 reaching 100-180 million VND/m², and apartment prices mostly hitting 60-80 million VND/m². This makes the dream of owning an apartment priced under 3 billion VND increasingly out of reach. For instance, Phu Cuong Group is rumored to be pricing Landmark Binh Duong apartments at around 70 million VND/m². At this rate, a 50 m² unit would cost 3.5 billion VND, excluding VAT.

Similarly, Ho Guom Xanh by TBS Group is rumored to be priced at 70 million VND/m², The Emerald Boulevard Binh Duong – Le Phong is being marketed at 70 million VND/m², The Glory – Becamex Tokyu is rumored at 60 million VND/m², Sycamore – Capitaland is listed from 58 million VND/m², and The Ten – Becamex Tokyu is selling at 60 million VND/m².

According to the latest data from Savills Vietnam, former Ho Chi Minh City has faced a housing supply shortage for the past five years. The city aimed to develop around 235,000 new homes between 2021 and 2025 but has only achieved 24% of this target, leaving a deficit of 179,000 units. The supply-demand gap has widened due to slow approval processes and tightened legal regulations. With limited supply skewed toward high-end and luxury projects from branded developers, average property prices in Ho Chi Minh City continue to rise.

The Elusive Dream of Homeownership

According to the Vietnam Real Estate Market Assessment Institute (VARS IRE), in Q2/2025, the apartment price index in Hanoi increased by nearly 88%, in Da Nang by nearly 70%, and in Ho Chi Minh City by over 48% compared to 2019. Currently, average prices have reached 75.5 million VND/m² in Hanoi, 66.4 million VND/m² in Da Nang, and 77.1 million VND/m² in Ho Chi Minh City.

As property prices continue to soar, while income growth lags behind, saving for a home has become increasingly challenging, even for high-income earners.

For example, in Hanoi, from 2014 to mid-2025, average monthly income increased from 4.11 million VND to 8.3 million VND, an average annual growth rate of 6.4%. In contrast, average apartment prices rose twice as fast, at 11.7% annually, from 25 million VND/m² to 75.5 million VND/m².

Under unchanged conditions, based on 2014 calculations, a family with average income dedicating all earnings to buying a home could accumulate enough for a 70 m² two-bedroom apartment (valued at around 1.75 billion VND) in approximately 18 years.

However, applying the principle that housing costs should not exceed one-third of income, the accumulation period triples. By mid-2025, with the current average income and a 70 m² two-bedroom apartment priced at 5.3 billion VND, the same family would need nearly 27 years if dedicating all income, or up to 80 years if adhering to the one-third income rule.

“Buying a home has never been easy, even for high-income earners. Homeownership is becoming increasingly difficult as the gap between income and property prices widens,” notes a VARS IRE report.

VARS IRE also emphasizes that most young people face significant barriers due to slower income growth compared to property price increases, prolonged debt repayment pressures, and rising living costs. Without comprehensive policy solutions such as developing more social housing and affordable homes, while tightly controlling price levels to prevent “unreasonable increases far exceeding actual incomes,” the dream of homeownership remains distant for the majority of young people.

According to Dr. Can Van Luc, due to high property prices, a Vietnamese civil servant currently needs nearly 26 years of work to afford a condominium. This highlights the reality that property prices are rising much faster than incomes, creating a significant gap compared to global averages.

Meanwhile, Vo Huynh Tuan Kiet, Director of Housing at CBRE Vietnam, asserts that property prices in Ho Chi Minh City are unlikely to cool down even with administrative boundary expansions. Kiet cites several factors influencing property prices in Ho Chi Minh City. The most apparent is the dwindling supply of clean land for development, prolonged legal processes, high land clearance costs, and limited clean land in the inner city, resulting in fewer projects available for sale compared to demand.