Savills's report on the Hanoi villa and townhouse market in the third quarter of 2024 said that in the third quarter of 2024, the new supply reached 176 units, an increase of 38% quarter-on-quarter. The new supply came from 3 existing projects Thanh Lam Dai Thinh 2 (Me Linh district), Solasta Mansion (Ha Dong district), Him Lam Thuong Tin (Thuong Tin district) opening new shophouses for sale.
Primary supply in the market reached 673 units from 15 projects, up 11% QoQ but down 7% YoY. Notably, townhouses were the dominant type, accounting for 38% of primary supply.
Not only the supply, the number of transactions of adjacent villas in the third quarter of 2024 also increased sharply by 194% quarterly and 223% annually, reaching 326 units.
The absorption rate in the quarter increased by 30 percentage points quarter-on-quarter to 48%. This growth was contributed by good transactions at Thanh Lam Dai Thinh 2 project (Me Linh district) which sold 85% of the newly launched supply, accounting for 37% of the transaction volume in the quarter in Hanoi.
The An Quy Villa, Solasta Mansion and Him Lam Thuong Tin projects also had good transactions, contributing to the improvement of the market's absorption rate.
In addition, projects in suburban areas such as Ha Dong, Me Linh and Thuong Tin districts are experiencing high demand. Me Linh district is currently leading in primary transactions with 37%, followed by Ha Dong with 33% and Thuong Tin with 12%.
According to data from the Ministry of Construction, the average selling price of some villa and townhouse projects also increased compared to the previous quarter, ranging from 7-10% depending on the project and area.
Commenting on the market outlook, Mr. Matthew Powell - Director of Savills Hanoi said that the Hanoi villa and townhouse market will record clearer improvements in 2025 with supply from new mega-projects.
Regarding selling prices, in the third quarter of 2024, secondary prices of villas and townhouses increased and were higher than primary prices. Secondary prices of villas were 13% higher, up 3% quarter-on-quarter to VND169 million/m2 of land. Townhouses increased 4% quarter-on-quarter to VND187 million/m2 of land, 20% higher than primary prices.
In the primary market, large supply in suburban projects with low prices such as Thanh Lam Dai Thinh 2 and Him Lam Thuong Tin caused the overall primary price of the market to decrease slightly.
Primary villa prices decreased by 16% quarter-on-quarter to VND150 million/m2 of land. Townhouse prices decreased by 17% quarter-on-quarter to VND156 million/m2 of land. Shophouse prices decreased by 14% quarter-on-quarter to VND249 million/m2 of land.
Referring to this content, Mr. Nguyen Van Dinh - Vice President of Vietnam Real Estate Association - commented that the villa and townhouse segment will continue to fluctuate in price in the coming time, especially projects in inner city districts and central areas when supply continues to be scarce and land funds are narrowing.
However, prices will increase slowly and sustainably, there will not be "price waves" like in the recent past.
