Apartment prices stagnate
Compiling data from many reputable sources such as CBRE, Savills and real estate news sites shows that apartment prices in Hanoi have shown signs of slowing down in the first quarter of 2025 after a period of hot increase from 2024. Specifically, the average primary selling price reached about 75 million VND/m2, up slightly by 3% compared to the previous quarter - the lowest increase since the second quarter of 2023.
The stagnation in apartment prices in the first quarter of 2025 is assessed to be due to reduced supply and slower purchasing power after a period of rapid growth. In the first months of the year, the number of newly opened apartments for sale only reached nearly 3,920 apartments from 7 projects - significantly lower than the average of 8,000 - 9,000 apartments/quarter in 3 consecutive quarters before 2024. Although it increased by nearly 70% compared to the same period last year, this figure is still quite modest compared to previous periods.
In addition, the continuous addition of large-scale supply in previous quarters has put pressure on total trading volume, causing purchasing power to grow lower. Liquidity in the first quarter decreased by 63% quarter-on-quarter, although it increased by 72% year-on-year. High apartment prices, along with interest rates for home loans that have not been deeply reduced, have caused buyers and investors to tend to be cautious, wait, and reduce the heat of the market.
Notably, from 2022 to present, the market has not recorded new supply in the affordable apartment segment. The mid-range and high-end segments clearly dominate, limiting the access of a large number of buyers with real housing needs.
Stable increase in value
While the apartment market in Hanoi shows signs of stagnation, the low-rise housing segment such as townhouses and shophouses in large projects has recorded a clear recovery, with increased supply and transactions. In particular, the western area of Hanoi such as Hoai Duc is becoming a bright spot thanks to the development of transport infrastructure.
In the first 3 months of 2025, the primary supply of low-rise housing reached about 4,000 units, an increase of 6 times over the same period last year. Major projects such as Vinhomes Global Gate, Vinhomes Wonder City, Sunshine Grand Capital, Hinode Royal Park in Hoai Duc are leading the market, with absorption rates reaching from 30% to 80%.
The low -rise real estate value also shows a stable increase. Over the past 5 years, this type of price increased by an average of 11-29% per year. Particularly in the first quarter of 2025, the primary price reached about 226 million VND/m², increasing slightly compared to the previous quarter and increasing sharply over the same period. Although some projects adjust prices in the short term, the trend of long -term price increase remains significant.
The synchronous development of transport infrastructure is a key factor promoting the low-rise segment. The main traffic routes such as Ring Road 3.5, Thang Long Avenue, National Highway 32, along with a series of metro projects and modern intersections have significantly improved connectivity, contributing to shifting demand to suburban areas such as Hoai Duc, Dong Anh, Dan Phuong.
In addition, the trend of population dispersion and the need for green living after COVID-19 also increases the attraction of low-rise houses. Buyers increasingly prefer spacious living space, synchronous amenities, and fresh environments in satellite urban areas - places that are in line with the popular trend of slow living, green living.
Investment psychology and current demand are focusing on low-rise products with real value, long-term price increase potential and convenient connectivity - especially in projects developed by reputable investors. The low-rise housing market is recording a strong shift to the suburbs, in which Dong Anh, Hoai Duc, Dan Phuong, Thuong Tin, Ha Dong are emerging as hot spots for trading and opening new sales.
