According to market surveys of many real estate companies, it is no longer rare for apartment prices in Ho Chi Minh City to have projects exceeding 100 million VND/m2. Sales have reached 500 million VND/m2.
For example, according to DKRA Group's market report, for the apartment segment, DKRA recorded a project in District 1 with apartment prices ranging from 24 - 68 billion VND/unit, area from 62 - 139m²/unit with number of bedrooms from 1 to 3. Among them, there is a 3-bedroom apartment offered for sale for more than 68 billion VND, equivalent to 495 million VND/m².
Meanwhile, in the townhouse and villa segment, the story of a villa project announcing a price of up to 750 billion VND/unit surprised many people. Savills' real estate market report published also shows that expensive villas and townhouses priced at over 30 billion VND are the majority with more than 77% of primary supply. Most of these high-end products are located in urban areas and concentrated mainly in Thu Duc City.
This is something worth thinking about when the entire system is stepping in to remove legal problems for the project with the expectation that it will help reduce house prices. People with real housing needs are still "red-eyed" looking to buy affordable apartments , because most of the projects launched on the market during this period fall into the high-end segment.
There are many reasons why the selling price of real estate products during this time is high, including reasons such as supply and demand factors, high input costs, and long investment time. ..., but the most important thing is that demand is greater than supply and because it is very difficult to launch new projects, investors must come up with a reasonable selling price to save the difficult time that has passed.
Dr. Nguyen Duy Phuong, Investment Director of DG Capital, analyzed that in the context of a gloomy real estate market like the past 2 years, many investors try to offer attractive incentives to home buyers and prolong them. payment time to stimulate demand. This policy affects investors' profits, but they still accept it to create liquidity. Now the costs are too high, it is very difficult to force real estate businesses to lower house prices to an "affordable" level, because business needs to be profitable, wanting businesses to accept cutting losses just to push goods out is the thing. cannot.
In addition, many businesses also reported that land use fees are also a factor that greatly impacts house prices. Every year, land price appraisal only increases, not decreases. Accordingly, costs are added to the house price. Not only that, every year, the price of construction materials, salary costs for workers, commission costs for brokers... all increase. These costs are all added to the house price.
In the opinion of many experts, with the current progress in removing problems, the gap in affordable apartments in Ho Chi Minh City will last for many years when many projects have problems with planning and adjusting procedures. There are still difficulties, leading to investors not being able to develop at this stage. The longer a project is left dormant, the more project development costs and interest costs increase, making house prices unable to be lowered but only increased.
