Mr. Hoang Van Hieu (36 years old, working in Thanh Xuan district, Hanoi) said that when he looked up the information, he also felt dizzy and did not dare to buy an apartment at this time because the price increase was too high.
According to Mr. Hieu, many old apartments in central districts of Hanoi are being sold at expensive prices, around 60-100 million VND/m2, it is very difficult to find any apartment for sale under 50 million VND/m2 in the inner city.
In the face of the strong price increase of the apartment segment, a recent report by market research unit Onehousing also pointed out that currently, the Hanoi market has not had any affordable apartments (under 30 million VND/m2) opened for sale for 8 consecutive quarters.
Notably, the high-end apartment segment (over 50-80 million VND/m2) accounts for 61% of new supply. The primary market in Hanoi is lacking apartments under 50 million VND/m2. With this price, buyers can only find it in the old apartment transfer market...
A recent market report by the Vietnam Association of Realtors (VARS) said that the real estate market is increasing new supply sources but low-cost housing is still "extinct", while high-end housing projects continue to "land" in Hanoi with the lowest price of nearly 70 million VND/m2.
In particular, housing products are increasingly less diverse due to the serious imbalance between supply and demand.
Many experts say that due to complicated land policies and legal procedures, the construction costs of affordable housing projects in recent times have become less attractive to investors.
It is a fact that the high-end apartment segment often brings higher profits, encouraging investors to focus on this group. However, the consequence is a serious imbalance between supply and demand, reducing the ability to access housing for the majority of people with low-middle incomes.
Ms. Nguyen Hoai An - Senior Director of CBRE Vietnam branch in Hanoi - also emphasized that the selling price of apartments in Hanoi will continue to increase.
According to Ms. An, in the last 3 months of 2024, new supply will record more than 10,000 units, bringing the total number of newly opened apartments for sale in 2024 to nearly 30,000 units, nearly 3 times the number of apartments opened for sale in 2023, the highest supply in the past 5 years, expected to focus on the high-end segment.
Ms. Nguyen Hoai An further analyzed that there will be more luxury projects launched for sale at the end of 2024, continuing to push up the primary selling price level in the last quarter of the year. In addition, secondary selling prices will continue to increase, but at a more stable rate.
