Suburban apartments are not cheap
Planning to buy an apartment to live in Hanoi, with a financial resource of 2 billion VND, Mr. Nguyen Duc Tam (Dong Trieu, Quang Ninh) and his wife searched for apartments in projects in the suburbs with the hope that the price would be more favorable. However, after half a year of searching, Mr. Tam said that apartment prices continued to increase, even in the suburbs, they were not cheap.
"I have researched some projects in areas such as Hoai Duc, Dong Anh, Long Bien... But with 2 billion VND, it is still difficult to find a 2-bedroom apartment. For example, a used apartment in Vinh Ngoc area (Dong Anh, Hanoi) with 2 bedrooms and an area of 58 square meters is also being sold for nearly 3 billion VND. The price of apartments in the suburbs that I researched is also more than 30 million VND/m2" - Mr. Tam said.
According to a survey by Lao Dong Newspaper, apartment prices in suburban areas are increasing compared to before. For example, in Long Bien (Hanoi), apartments in the Rice City Song Hong project (Gia Quat street, Thuong Thanh ward) are being sold at prices ranging from 40-46.4 million VND/m2. Meanwhile, in the third quarter of 2024, the selling price of apartments in this project only fluctuated between 25.5-29.3 million VND/m2. In just the past year, the selling price of apartments in this project has increased by 48.2%.
Or at the Green Park CT15 Viet Hung project (Giang Bien ward, Long Bien), apartments are being offered for sale at around 50.6-59.2 million VND/m2. Meanwhile, in October 2023, the selling price of this apartment fluctuated between 36-41.4 million VND/m2. In just the past year, the selling price of this project has increased by 45.1% (September 2023 - September 2024).
In Hoai Duc, apartments at the Gemek Tower project (Le Trong Tan, An Khanh) are being offered for sale at prices ranging from 42-50.5 million VND/m2. Meanwhile, in November 2023, the selling price of apartments in this project only fluctuated around 25.9-36.9 million VND/m2.
Also in the An Khanh area (Hoai Duc), the Thang Long Victory project is being offered for sale at 41.4-52.4 million VND/m2. In November 2023, the selling price at this project will only fluctuate around 25.2-31.9 million VND/m2.
Supply improves but prices continue to soar
According to CBRE Vietnam, in the first 9 months of 2024, the total supply of newly launched apartments in Hanoi reached more than 19,000 units, exceeding the total supply for the whole year of 2023. This is also the largest total supply of new apartments recorded in Hanoi in the past 5 years.
The supply launched in this quarter came from 11 projects, mainly developed in the metropolitan areas in the West and East of the city. Of which, this quarter recorded 5 projects launched for the first time, mostly concentrated in Nam Tu Liem, Tay Ho, Gia Lam districts and Van Giang district (Hung Yen province bordering Hanoi).
In terms of segments, more than 75% of the total new supply in the coming quarter will come from high-end apartment projects. Of these, only 2 projects have an offering price of around VND50-60 million/m2, the remaining projects all recorded an average primary price of over VND60 million/m2 (excluding VAT and maintenance fees). The liquidity of the Hanoi apartment market in the third quarter is also one of the bright spots.
According to this unit, although supply is increasing sharply, the consequences of the limited new supply in previous years have caused purchasing power to increase, at the same time pushing primary prices up rapidly.
In addition, the newly opened apartment fund includes many high-quality projects, developed in an urban complex with full amenities, and conveniently located to connect to the central area of Hanoi and areas with concentrated offices and commercial services that can be offered at high prices.
