Real estate prices in Hanoi and Ho Chi Minh City increase sharply: Attractive investment opportunities

(NLDO) - Compared to the first quarter of 2024, land prices increased by 44%, while apartment prices increased by 42%.

The July market report of Batdongsan.com.vn has just been published, showing that the real estate market in the two major centers of Hanoi and Ho Chi Minh City is recording remarkable growth and showing no signs of slowing down.

In July, interest in real estate for sale nationwide increased by 13% compared to the previous month, while real estate for rent increased by 15%. In Hanoi and the old Ho Chi Minh City, interest increased by 11%.

The new Ho Chi Minh City – after merging with Binh Duong and Ba Ria - Vung Tau – recorded an increase of 13%. Other localities across the country also had an average increase of about 15%.

The urban expansion in Ho Chi Minh City after the merger is considered a step to solve the land fund problem and open up opportunities to develop the affordable housing segment.

Not only has the demand for real estate increased, but investment capital indicators also reflect the heat of the market. In the first 6 months of this year, foreign direct investment registered in the real estate business reached more than 4.8 billion USD, 2.4 times higher than the same period last year.

Besides, bank credit flowing into this sector grew from 20% to 30%, three times the overall credit growth rate of the entire system.

During the same period, nearly 3,000 new real estate businesses were established, up 7% over the previous year; more than 2,900 businesses returned to operation, up 51%. The number of businesses temporarily suspending operations decreased slightly by 2%.

The real estate market nationwide increased in many segments.

According to experts, the increase in real estate demand in July comes from many investors stepping up sales plans, taking advantage of the time before the seventh lunar month to close deals.

In addition, a series of infrastructure projects were inaugurated and started on the occasion of the 80th anniversary of National Day on September 2, which also contributed to promoting buyers' interest, especially in areas with new projects.

By segment, all types from apartments, private houses, townhouses, villas to land plots recorded an increase in interest, ranging from 10% to 15% compared to June.

Compared to the first quarter of 2024, land prices increased by 44%, while apartment prices increased by 42%. In the rental real estate segment, interest also increased from 9% to 21% depending on the type. Notably, the rental price of street-front houses, which had been flat for many consecutive quarters, increased by 7%.

Mr. Dinh Minh Tuan, Southern Regional Director of Batdongsan.com.vn, said that real estate prices across the country have maintained an upward trend over the past two years. In contrast, rental prices have generally fluctuated little, only recently beginning to adjust in some specific segments.

Source: https://nld.com.vn/soc-voi-da-tang-gia-bat-dong-san-ha-noi-va-tp-hcm-196250821103142167.htm