Investments

Unmet Demand: The Vast Opportunity in Vietnam’s Senior Care Real Estate Market

The current elderly care system is still in its infancy, with fewer than 30% of communes and wards offering support models for seniors. Nationwide, the number of specialized care centers remains under 100, highlighting significant gaps in meeting the growing needs of the aging population.

Administrator

1 December, 2025

A senior living project in Can Tho. (Photo: Thu Hien/TTXVN)

Vietnam is rapidly entering an aging population phase, giving rise to a burgeoning market with vast potential: real estate tailored for senior care.

Experts predict this segment will become the “next wave” in the property sector, driven by demographic forecasts and the market’s current gaps.

According to the General Statistics Office (Ministry of Finance), Vietnam will officially become an aging population in 2038, when the proportion of people aged 60 and above exceeds 20%.

The United Nations Population Fund (UNFPA) forecasts that by 2050, one in every six Vietnamese will be over 65 years old. This aging rate surpasses most countries in the region.

Meanwhile, the current senior care system is in its infancy, with fewer than 30% of communes and wards offering support models for the elderly. There are fewer than 100 specialized care centers nationwide. Notably, 80% of seniors prefer home-based care, but professional services remain inadequate.

Savills Vietnam highlights that urbanization and improved healthcare access are fueling the growth of senior-focused housing and services across all three regions. Though still small, the market is growing rapidly and is expected to double within the next decade.

Their research indicates the market could expand from $2.3 billion in 2024 to $3.6 billion by 2032, a CAGR of 5.81%. Promising models include wellness resorts, integrated healthcare housing, and internationally standardized retirement facilities.

Compared to countries like Japan or Singapore, where senior living real estate is a billion-dollar industry, Vietnam has only a few pilot projects, underscoring its immense growth potential. However, models must align with Vietnamese culture and needs.

Emily Fell, Senior Living Sectors Expert for Asia-Pacific at Savills, suggests Vietnam adopt a unique strategy, blending Australia’s lifestyle-focused model with Japan’s intensive care approach. This hybrid would suit the growing support needs of Vietnamese seniors, especially in major cities.

Policy frameworks—from legal corridors for public nursing homes to sustainable payment mechanisms for specialized care through public or private insurance—are also crucial.

Investors should focus on operational capabilities rather than just building structures, emphasizes Emily Fell.

She also highlights Singapore’s “vertical village” model, which integrates senior housing into urban complexes, optimizing land use and fostering community connections—ideal for Vietnam’s urbanizing context.

Le Quoc Huan (WeCare247) notes that East Asian culture, policies, and workforce capabilities significantly influence senior care service models. However, infrastructure—from healthcare connectivity to synchronized real estate—is the key determinant of market growth.

Sharing this optimism, Olivia Wood (Lotus Advisory Group Vietnam) observes that Vietnam is becoming an attractive destination for investment in senior living. The market’s gaps present opportunities for early entrants to establish competitive advantages.

With rapid aging, high demand, and limited supply, Vietnam’s senior-focused real estate market is entering its “emergence” phase. To achieve breakthroughs, experts stress the need for a comprehensive policy framework, professional workforce, and culturally aligned operational models.

If these elements are refined, senior living real estate will not only unlock billion-dollar opportunities for investors but also address a pressing societal need: providing sustainable and humane care for the elderly.

Thu Hang

– 15:14 30/11/2025