On August 10, a representative from the Land Fund Development Center of Thanh Oai district revealed that out of the 68 land plots in Ngõ Ba, Thanh Thần village, Thanh Cao commune, only 13 have been fully paid for.
A large crowd gathered for the land auction in Thanh Oai district, Hanoi, on August 10. Photo: Social Media |
Most of the paid plots were among the lower-priced ones. Notably, the plot that fetched over 100 million VND per square meter has not been paid for, despite the deadline having passed.
According to regulations, auction results can only be canceled after 120 days, so Thanh Oai district has not yet proposed a re-auction plan.
On August 10, Thanh Oai district successfully auctioned 68 land plots in Ngõ Ba, Thanh Thần village, Thanh Cao commune, with areas ranging from 60 to 85 square meters. The starting prices ranged from 8.6 million VND to 12.5 million VND per square meter.
The auction attracted 4,600 applications, of which 4,201 met the qualifications. The auction caused a frenzy as the winning bids were several times higher than the starting prices. The highest bid was over 100.5 million VND per square meter for a corner plot.
Most of the plots fetched prices ranging from 80 to 90 million VND per square meter, with the lowest winning bid at 51.6 million VND per square meter.
At the recent regular August press conference of the Government, Deputy Minister of Natural Resources and Environment Le Minh Ngan shared that after receiving media reports about land auction prices being several times higher than the starting prices, with some abnormally high cases, the Prime Minister issued Dispatch No. 482, directing the Ministry of Natural Resources and Environment, the Ministry of Justice, the Ministry of Finance, the Ministry of Construction, and the People’s Committee of Hanoi to inspect, review, and evaluate the situation to identify the causes and propose solutions.
The inspection team’s assessment concluded that the high auction prices were indeed reflective of market trends.
Some initial reasons for the high prices include the overall upward trend in the real estate market, which has been on a recovery path, and the strong growth in transaction prices in both the primary and secondary markets since the beginning of 2024.
In particular, real estate with clear legal status, well-invested technical infrastructure, and located in planned urban development areas with important transportation infrastructure investments, such as Hoai Duc and Thanh Oai districts, attracted significant interest from both homebuyers and investors.
However, Deputy Minister Le Minh Ngan stated that if the evaluation reveals that the high auction prices are due to policy mechanisms and have a widespread impact on land-use right auctions nationwide, the ministry will propose amendments, supplements, or adjustments to the relevant legal documents to the authorities.
Thuy Linh
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