Vietnam real estate marks successful 2017
Vietnam witnessed positive development in the real estate market in 2017 with increased transactions of apartments and reduction in real estate inventory. (Source:realtimes.vn)
Vietnam witnessed positive development in the real estate
market in 2017 with increased transactions of apartments and reduction in real
to the National Financial Supervision Commission’s report on financial markets
in 2017, the market did not see much change in property prices last year.
mainly increased in the segments of high- and mid-end apartments. Prices rose
by 3-10 percent for some high-end apartment projects in the urban area having
convenient location, synchronous infrastructure, construction as per schedule
and reputable investors, as well as attractive sales and promotional policies.
price of high-end apartments increased at the fastest rate of 7-10 percent,
while it rose 5-7 percent for mid-end apartments and 3-5 percent for affordable
the domestic market in 2017, trading volume increased significantly compared
with 2016, the report noted. The high- and mid-end apartment segments witnessed
the highest trading volume. The number of successful transactions was estimated
to reach 68,000 units.
the report said real estate inventory of Vietnam was some 25.7 trillion VND, a
reduction of 17 percent compared with December 2016. Hanoi and HCM City
continued to be the cities with the largest real estate inventories, accounting
for 40 percent of the country’s total inventory.
2017, the credit flowing into real estate trading and construction activities
decreased slightly, accounting for 15.8 percent of total credit.
end of 2017 marked a positive development in Hanoi’s condominium market,
according to CBRE Vietnam’s quarterly report on Hanoi property market, released
on January 4 in Hanoi.
the last quarter, the market welcomed a record 9,500 new units, bringing 2017’s
total fresh supply to 35,000 units, a year-on-year increase of 16 percent. This
was also the highest number of new apartments entering the market in a year
since the past five years. Fresh supply was spread across all districts in the
market saw improved infrastructure and expansion of the out-of-centre area,
while two new apartment projects were launched in Dong Anh district for the
first time. The mid-end and affordable segments continued to dominate the
market with a total 80 percent of the new supply in 2017.
Hanoi property market had more than 23,000 successful transactions in 2017, a
year-on-year surge of 12 percent.
projects were not located in favourable positions but still achieved good
business results because of reasonable investment for the development of
products and improved design of these products, along with providing convenient
services for residents.
showed that buyers paid more attention to quality property products, and,
therefore, there was higher demand, CBRE Vietnam said.
2017, primary prices in the market increased slightly because of the high
supply of new apartments and change in demand in the affordable segment, it
said. Average selling price from developers stood at US$1,344 per sq.m, a
year-on-year reduction of 2.4 percent.
Vietnam said in the future, positive development of the macro economy would
continue to support the property market in general and the condominium market
the development of the market and future supply in almost all areas of the
city, the developers of apartment products will be under pressure to
professionalise the sales team and perfect marketing activities for higher
competitive ability and revenue, it said.
2018 is expected to see a sharp difference in
development among segments, with high-end projects being developed in
near-urban locations, while developers in the lower segments will improve their
products further to deal with competitive pressure.-VNA