According to the third quarter 2024 report of the Vietnam Association of Realtors, in terms of total housing supply nationwide, in the third quarter of 2024, there were 22,412 products offered for sale. Of which, there were 14,750 newly launched products. This figure is 60% higher than the same period in 2023.
Notably, the apartment segment accounts for nearly 70% of the new supply, with nearly 10,000 products. Of which, 70% of the offered apartments belong to the high-end and luxury segments. On the other hand, mid-range apartments only appear in suburban mega-urban projects. Meanwhile, the affordable apartment segment has almost "evaporated" from the market.
According to information on housing and real estate market in the third quarter of 2024 just announced by the Ministry of Construction, for commercial housing projects, the country has 16 projects with a scale of about 3,314 units. The number of projects is more than 77.7% compared to the second quarter of 2024 and equal to 76.1% compared to the same period in 2023.
With newly licensed projects, in the third quarter of 2024, there will be 23 projects with a scale of about 11,669 units. The number of projects is 21% more than the previous quarter and an increase of 53.3% compared to the same period in 2023.
There are 55 projects eligible to sell future housing with a scale of about 21,374 units. The number of projects eligible to sell future housing is equal to 110% compared to the second quarter of 2024 and equal to 117% compared to the same period in 2023.
It can be seen that although the supply of the housing segment has increased, in the third quarter of 2024, according to surveys and reports from several major provinces and cities such as Hanoi and Ho Chi Minh City, apartment prices in Hanoi continued to increase in both new and old projects, with the price level of new projects increasing by about 4-6% quarterly and 22-25% annually.
The reason for the recent increase in real estate prices is largely due to factors such as the increase in land-related costs, especially in some localities; the lack of affordable housing supply to meet market demand. In addition, the phenomenon of "creating virtual prices" and "inflating prices" by speculators and individuals working as real estate brokers; taking advantage of people's lack of knowledge and investing according to the crowd psychology for profit.
Ms. Nguyen Hoai An - Senior Director of CBRE Vietnam in Hanoi - said that the selling price of apartments in Hanoi will continue to increase in the coming time. The reason is that a large proportion of the current apartment supply is concentrated in the high-end segment. In addition, there will be more luxury projects launched for sale at the end of the year and push the primary selling price up in the last quarter of the year.
Mr. Tran Quang Trung - Business Development Director of OneHousing - commented that waiting for housing prices to decrease is not feasible. Because currently, all input factors of project development enterprises such as land tax costs according to the new price list, construction costs, investment in product design... are all increasing significantly.
