Property market grows stably in the first half of 2017

According to Mr. Ha, Vietnam’s real estate market in the first half of 2017 continues to grow steadily.  Sales volume, price and liquidity rise, inventory falls, while the structure of goods is being adjusted to better match the diverse needs of the market.

In particular, the number of transactions keeps growing steadily, without sudden increase or decrease. According to incomplete statistics, in the first half of 2017, the average monthly housing transaction is estimated at about 1,300 – 1,500 transactions in each city. Hanoi and HCMC are still the two largest markets. These firgures are collected from new projects only, excluding transactions on secondary market. Average sales volume growth increases by 5%.

Property market grows stably in the first half of 2017

Mr. Ha stressed that real estate price is relatively stable. Price increase rate in the year ranges from 2% to 7%. At some specific projects, price rise up to 12%, but this rate is not popular. Even in the land “fever” in some areas of HCMC, price is cooled after adjustment.

The Chairman of VARs also said that the structure of real estate products is adjusted properly. Most of apartment buildings, including high-grade ones are designed with small- to-medium-sized units, only 50 – 60m2, so the total price of an apartment is affordable for budget of buyers.

Currently, most real estate projects are mixed-use development, including residential housing, office, commercial & retail zone. This trend not only meets people’s demands but also contribute to the more modern and beautiful urban appearance.

Regarding the resort property market, Mr. Ha said that in the first half of the year, this market see a breakthrough, especially the “timeshare” model. It is said that 2016 and the first 6 months of 2017 is the time of resort property, especially in Central and Southern cities and provinces such as Da Nang, Nha Trang, Phu Quoc, Quang Nam,… In addition, the resort property market resort in the North with the appearance of Sapa Hade Jill (Lao Cai) has also attracted attention of many investors.

When it comes to prospects of Vietnam real estate market in the upcoming time, the expert said that in the medium and long term, the market has many strong opportunities. With the fast growing urbanization, which is expected to reach 40% by 2025, the demand for housing and urban services will increase rapidly. According to the National Housing Development Strategy towards 2020, with a vision to 2030, each year, Vietnam needs to build about 100 million square meters of housing to meet the needs of people and workers in industrial zones.

Besides, people’s demand for tourism has also increased rapidly. According to statistics in 2016, the country has welcomed 62 million domestic visitors and more than 10 million international visitors, leading to a rapidly growing demand for tourist real estate tourism in recent times.