People are tired of waiting for house prices to decrease
Mr. Do Van Manh (Cau Giay, Hanoi) works in an office and has accumulated nearly 3 billion VND for many years to buy a house. After consulting the prices of apartments around the Cau Giay area (Hanoi), he realized that with a price of 3 billion VND, it is difficult to buy a new apartment in Hanoi. Even the apartments sold by the owner at a loss such as the Home City apartment (Cau Giay, Hanoi) with an area of 70m2 were sold at a price of 4.6 billion VND.
"I'm still monitoring the apartment market. I never thought apartment prices would increase so high. I will continue to wait. When apartment prices decrease to a more reasonable level, I will pay to buy a house." , Mr. Manh said.
Similarly, Mr. Nguyen Duc Son (Thanh Xuan, Hanoi) is also monitoring the price of the apartment market. Watching apartment prices increase rapidly each month, he couldn't help but be disappointed because even if he used financial leverage, it would be difficult to buy a house right now because the price is too high.
He is waiting from now until the end of the year, after the laws on residential real estate take effect from August 1, 2024, when the supply can improve and he expects apartment prices to decrease to a more reasonable level. .
Apartment prices in Hanoi are at a high level
According to the assessment report of CBRE Vietnam Company, in the primary market, the average selling price of Hanoi apartments reached approximately 60 million VND/m2, an increase of 6.5% compared to the previous quarter and an increase of nearly 25% according to the report. whole year.
New supply in the high-end segment still accounts for a large proportion, along with the stronger presence of southern investors, keeping primary apartment prices in Hanoi at a high level.
Mr. Le Dinh Chung, General Director of SGO Homes Real Estate Investment and Development Joint Stock Company, said that Hanoi apartments are an investment product that has been of interest in recent years in the Hanoi market.
However, as apartment prices in Hanoi increase, investment demand in this segment will not increase strongly in the near future. Currently, customers with 5-10 billion VND in hand have almost no opportunity to invest in the Hanoi market.
Savills Vietnam's real estate market report for the second quarter of 2024 in Hanoi shows that primary prices reached an average of 65 million VND/m², up 10% quarter-on-quarter and 24% year-on-year.
Ms. Do Thu Hang - Senior Director, Research and Consulting Department, Savills Hanoi said that in the affordable apartment segment in the second quarter of 2024 there will be no new supply below 45 million VND/m².
According to real estate buyer psychology research by Savills Vietnam, the majority of demand is middle-income people who can afford the apartment segment under 3 billion VND. However, currently, although there are many affordable products priced under 3 billion VND, they are not available for sale because people have settled down and have no need to sell.
"When the Land Law takes effect, it is forecast that the real estate market will enter a new real estate cycle. However, in the short term it is not possible to adjust prices because supply has not improved. Therefore, investors Investors need to wait until there is a legal guidance document, then the supply forecast will improve and prices will be more stable," Ms. Do Thu Hang commented.
