While the real estate market is showing signs of stagnation, apartment prices in the West of Hanoi have continued to increase in recent months and exceeded 100 - 150 million VND/m2 even though they have not been handed over yet.
According to records, the most valuable in the luxury apartment segment in the West of Hanoi, attracting the most attention from real estate investors as well as home buyers. In this project, there are apartments reaching the threshold of 100 million VND/m2, establishing the peak price of the entire West of Hanoi. Each apartment with different area and direction will be sold at different prices.
According to Mr. Thanh Tuan (a real estate broker), new apartment projects in the West of Hanoi are all in the luxury segment with an average price of 80-100 million/m2, equal to the price of high-end apartments in the "golden land" of Ba Dinh, Dong Da, Thanh Xuan, Cau Giay... In previous years, this area was considered the "suburb" of Hanoi when it was more than 20 km from the center of Hoan Kiem Lake.
According to Mr. Thanh Tuan Ha Noi, the apartment project located in the Diplomatic Urban Area is also one of the most expensive projects. "The undiscounted price of high-end, duplex apartments here is increasing rapidly, exceeding 100 - 150 million VND/m2 thanks to the attractive surrounding infrastructure and amenities," he shared.
In Hanoi, apartment prices are high and tend to continue to increase compared to the end of 2023. The highest price increase was recorded in projects in Tay Ho district and surrounding areas. The number of new apartment projects opened for sale in this area is very rare, with common prices of 80 - 100 million VND/m2.
According to Mr. Nguyen The Diep - Vice President of Hanoi Real Estate Club, the new Real Estate Business Law and Housing Law have created a legal corridor, eliminating investors with weak financial capacity, forcing the remaining investors in the "playground" to develop large urban areas with synchronous infrastructure, utilities, and great influence, which means that costs increase, making it difficult to lower housing prices.
Speaking to Lao Dong Newspaper, Ms. Nguyen Thi Hoa Dung - Sales and Communications Director of Hoian Dor project, Con Bap Eco-tourism Company Limited said that the apartment market in Hanoi has just entered a period of sudden growth because new projects are increasingly scarce. The total supply for sale last year reached nearly 10,300 units, the lowest level in the past 10 years, so many investors have changed their strategy, focusing only on the high-end segment.
Although the selling price is high, according to experts, at different selling prices, different customer targets and positioning, the projects all have a certain absorption rate.
The interest of international investors in the luxury apartment market in Hanoi, thanks to regulations allowing foreigners to buy houses, has created a great driving force for this segment. “The price of luxury apartments is very high, only suitable for a small group of customers. This can affect liquidity when there are economic fluctuations,” said Ms. Hoa Dung.
