According to Lao Dong reporters, despite their current state of disrepair, many old apartment buildings in Kim Lien, Trung Tu, Khuong Thuong (Dong Da district) have recently been advertised by their owners for 3-4 billion VND/unit.
Mr. Nguyen Van Bien (46 years old, living in Kim Lien apartment complex) informed that Kim Lien apartment complex has recently been sought after by many people at expensive prices, equal to apartments, even though this apartment complex has been in use for decades and has many signs of deterioration.
According to Mr. Bien, around the apartment complex there are markets, kindergartens, primary schools, secondary schools, high schools, hospitals, and full living facilities.
"Many old Kim Lien collective houses with a book area of 40m2, a usable area of 100m2 are being sold for nearly 4 billion VND/unit, some have exceeded 100 million VND/m2" - Mr. Bien said.
Similarly, Ms. Le Thi Hoai (living in Trung Tu apartment building, Dong Da district) is also selling a house with a usable area of about 80m2, selling price of 4.7 billion VND, equivalent to nearly 60 million VND/m2. Although located in an old apartment complex, Ms. Hoai said that the house has just been repaired and newly added.
Many real estate experts say that with old collective houses in central districts of Hanoi, buying and selling and liquidating are often very easy and quick. This is also one of the reasons why house prices in these areas are often pushed up very high.
Recently, the Hanoi People's Committee issued a decision approving the detailed planning task for the renovation and reconstruction of Kim Lien collective housing area (total area of the land for planning research is about 35.5ha); Trung Tu collective housing area (total area of the research area for detailed planning is about 13.2ha); Khuong Thuong collective housing area (total area of the research area for detailed planning is about 5.68ha).
Savills Hanoi - a real estate service provider - analyzed that in the context of high housing prices, the real estate market is witnessing an imbalance between demand and supply of apartments, especially for products in the affordable segment.
Therefore, old collective apartments in Hanoi with a moderate area, located in the inner city, are a choice of many people, causing the price of this segment to be recently pushed up.
Mr. Nguyen The Diep - Vice President of Hanoi Real Estate Club - noted that although the segment is located in the center of Hanoi, when buying and selling old collective houses, buyers need to pay attention to the actual area.
Because, during their stay, many households have expanded tiger cages of tens of square meters, reducing the value when the owner wants to transfer. Buyers also need to note that renovation and expansion are common in old collective housing areas, causing the area in the red book to be much smaller than the area for sale.
