Is the Big Wave Coming? A Sneak Peek Into the Da Nang Land Market and Its Future Prospects

Da Nang’s Real Estate Market: A Resurgence Story

Da Nang’s real estate market captured the nation’s attention during the fervent land-rush period of 2018-2019. This era witnessed a frenzied surge in land prices, setting new benchmarks. Investors flocked to the city, particularly to areas like the northwestern region (formerly Lien Chieu district), Nam Hoa Xuan in Cam Le district, and Ngu Hanh Son, famed for their idyllic rivers, stunning beaches, and tourism potential.

Mr. Tran Lap, a local investor, recalls that in April 2014, a plot of land on Nguyen Tri Phuong Street was priced at VND 340 million. Fast forward to 2019, and the same plot was valued at a staggering VND 3.5 billion, reflecting a tenfold increase within just six years. Similarly, land on Vo Nguyen Giap Street sold for VND 19.5 million per square meter in 2010 but skyrocketed to VND 400 million per square meter in 2018.

However, following this feverish period, the Da Nang real estate market entered a state of hibernation. From 2020 onwards, the COVID-19 pandemic and the already inflated land prices led to a significant decline in liquidity. Many investors who had bought land at peak prices were forced to sell at a loss, yet even with price cuts of several hundred million dong per plot, buyers remained elusive. For five years post-pandemic, Da Nang’s land market remained stagnant, forming a price trough while major markets like Hanoi, Ho Chi Minh City, and Nha Trang experienced waves of growth.

Yet, in early 2025, as the country’s real estate sector awakened to the merger wave, Da Nang’s dormant land market unexpectedly transformed into a magnet for large-scale investors. This renewed interest was further fueled by the city’s tourism growth, two mega-planning projects, and the proposed merger with Quang Nam province. Mr. Nguyen Viet, a seasoned investor from Hanoi, shared that he had already purchased two land plots worth VND 5 billion in Da Nang this year and is eager to acquire more.

According to Mr. Viet, land prices in Da Nang have risen by 10-30% compared to late 2024, although they remain lower than five years ago and are significantly more affordable than Hanoi and Ho Chi Minh City. He also revealed that his focus is on the districts of Hoa Vang, Ngu Hanh Son, and Cam Le, areas that previously experienced land fever and where many investors are now forced to sell at a loss.

Market observations indicate a growing influx of investors and genuine homebuyers into the Da Nang real estate market. This is evident from the increased foot traffic at the one-door unit in Cam Le district (formerly known as Cam Le) for land-related procedures since the 2025 Lunar New Year holiday, compared to late 2024.

Recently, numerous investors have also returned to the southeastern part of the city, particularly to areas like Hoa Xuan and Hoa Quy (now part of Ngu Hanh Son ward), attracted by their well-developed infrastructure, clear legal frameworks, and convenient connectivity to the city center (just a 10-minute drive away).

Eco-urban areas along the river, such as the Hoa Xuan New Urban Area, boast meticulous planning that includes parks, schools, and hospitals. The area’s prominent investor has announced initiatives to enhance the landscape and illuminate bridges connecting Hoa Xuan to the city center, creating a signature landscape and lighting axis. Additionally, the city is revitalizing the Han River landscape with a VND 400 billion project called “River of Light.” These positive developments have lured investors from Hanoi and Ho Chi Minh City, seeking opportunities in these areas, especially for plots with readily available red books (land-use rights certificates).

The new land price list issued by Da Nang, featuring significantly increased prices, has sparked anticipation among investors holding multiple properties in the city. Experts predict that the market could experience a surge, driving up prices rapidly.

Effective from January 1, 2025, the new land price list sets the highest price for Bach Dang Street at VND 286 million per square meter for the section between Le Duẩn and Nguyen Van Linh. Other sections of Bach Dang Street also command high prices, ranging from VND 148 to 266 million per square meter. Similarly, Le Duẩn Street, from Tran Phu to Hoang Hoa Tham, is priced at VND 158 million per square meter. The segment of Nguyen Van Linh Street from Phan Thanh to Bach Dang is VND 177 million per square meter.

Vo Nguyen Giap Street exhibits prices ranging from VND 83 to 187 million per square meter, with the highest price found between Vo Van Kiet and Pham Van Dong. Vo Van Kiet Street is nearly VND 168 million per square meter, while Pham Van Dong Street exceeds VND 138 million per square meter. Prices on 2-9 Street vary from VND 51 to 128 million per square meter, with the highest price between the Cham Museum and Phan Thanh Tai. The lowest land prices are found in the residential areas of Hoa Vang district’s communes. In contrast, the new price level in planned urban areas like Hoa Xuan is only one-third of this range.

In summary, Da Nang’s land market in 2025 presents both significant opportunities and risks for investors. Experts advise prioritizing properties with clear legal status, prime locations, and reputable developers while staying abreast of infrastructure developments to optimize profits. With Da Nang’s vision to become an international financial center and Vietnam’s first free trade hub, investors should focus on central or near-central land plots, expecting returns within 3-5 years. Projects by reputable developers offer better quality and liquidity assurances.