At the end of May, 111 plots of land in Tuyen Quang City were auctioned, of which 103 plots were sold with a revenue of over 336 billion 352 million VND, nearly 109 billion VND higher than the starting price.
The plot of land is paid at the highest price of more than 45.8 million VND/m2 in Tan Ha ward with a starting price of over 4.7 billion VND, the winning price of over 8.5 billion VND, the price difference between the starting price and the auction price of nearly 3.8 billion. The winning land plot has the lowest difference of more than 35 million.
According to a survey by PV, after the information about merging Ha Giang and Tuyen Quang provinces and placing the administrative center in Tuyen Quang city, real estate prices have increased by about 30%.
Even in urban areas with stable infrastructure, the increase is nearly 40%. In other localities subject to the merger, real estate prices and transaction volume have increased dramatically.
The report for the first quarter of 2025 of the Ministry of Construction shows that liquidity in the whole market continues to record a breakthrough, with more than 33,000 successful transactions in the apartment and individual housing segment, an increase of 32% compared to the previous quarter. Land continued to hold a great attraction with more than 101,000 transactions, an increase of 16% compared to the previous quarter.
Observers say that the market has grown largely due to the expectation of merging administrative boundaries. The phenomenon of price increase mainly comes from the group of investors looking for short-term profits, while the accompanying support and infrastructure policies are still unclear.
According to Mr. Pham Duc Toan - CEO of EZ Property, the recent real estate price increase is local, short-term and mainly due to psychological factors.
"There is clearly a FOMO effect - the fear of missing out on opportunities - in a segment of investors who are very sensitive to information and react quickly to fluctuations. In reality, real demand has not increased so much," said Mr. Toan.
Looking at the medium and long term, the provinces selected as new administrative centers will have great development potential. However, experts also warn about the risks of speculative phenomena, and call on people to be cautious about unverified information.
Dr. Nguyen Van Dinh - Chairman of the Vietnam Real Estate Brokers Association said that many investors are looking for and collecting land, especially in provinces and cities expected to be the center of the merger, with the expectation of benefiting from this change, which leads to many risks.
The value of real estate must increase sustainably, there must be a foundation, which means there must be synchronous development of transport infrastructure, economy, and society, Dr. Nguyen Van Dinh shared.
