According to Lao Dong reporters, many old collective apartments in Hanoi such as Kim Lien, Giang Vo, Nghia Tan... are being offered for sale at 2-3 billion VND/unit, although the area is only 30-60 m2, the infrastructure is seriously degraded.
Living in Kim Lien apartment complex for nearly 3 years, Ms. Le Thi Hien said that many 60 m2 apartments with a lot of tiger cages here are being advertised for sale on social networks for about 3 billion VND, equivalent to the price of an old apartment in the suburbs.
There are even apartments on the first floor for rent and business that are being offered by owners for 80-100 million VND/m2.
In Cau Giay district, Ms. Tran Thi Mong (55 years old, living in Nghia Tan apartment building) informed that many dark, degraded apartments are being offered for sale at prices of up to 3 billion VND/unit. To take advantage of the area, households often build more attics and tiger cages, streamlining household items.
Mr. Nguyen Dang Khoa - a real estate broker in Hanoi - commented that the reason why the old apartment segment is of interest is because it is located in the center of inner-city districts.
However, Mr. Khoa believes that buying old collective houses at high prices means accepting great risks such as disputes over the expansion area when Hanoi is stepping up renovation of old collective houses and apartments.
Also according to Lao Dong's research, the People's Committee of Cau Giay District (Hanoi) recently held a conference to publicly announce and hand over the dossier on detailed planning tasks for the renovation and reconstruction of Nghia Tan apartment complex, at a scale of 1/500.
Nghia Tan apartment complex is proposed to be renovated and rebuilt with 1 maximum housing project of 40 floors, 1 mixed-use project with a maximum height of 55 floors.
In Dong Da district, the People's Committee of this district also proposed to rebuild 30 old 5-storey apartment buildings with 1,795 apartments in Trung Tu apartment complex into 1 45-storey building and 1 25-storey building.
Regarding this issue, Mr. Nguyen The Diep - Vice President of Hanoi Real Estate Club - analyzed that the reason for the high price of old collective houses is because they are located in central districts, prime locations, and convenient transportation.
People who want to buy must note that the expanded area of the apartment building will often not be within the area granted under the red book, so it will not be subject to compensation when the apartment building has to be demolished and rebuilt.
"Old collective houses are often used for many years, and can deteriorate in items such as walls, floors, and electrical systems, affecting the safety of living. In addition, after buying, there will be many renovations and repairs, so you need to consider carefully before spending money to avoid many costs" - Mr. Nguyen The Diep recommended.
