Talking to Lao Dong, Mr. Nguyen Huu Cuong (36 years old, Nam Dinh) said that he rented a 76m2 luxury apartment in an urban area in Ha Dong district in early 2024, signed a 6-month contract, the rental price was 15 million VND/month.
In early June 2024, when the contract was about to expire, the landlord announced that the rent would increase next month to 1 million VND/month. The reason given by the landlord was that the price of the apartment segment was increasing and the rental prices of apartments in the surrounding area had all increased.
“The rent of the apartment has increased, while my income is unstable, so at the end of June 2024, I gave up my house and looked for another apartment. Both the selling price and the rent of the apartment have "gone up", causing a lot of pressure for tenants like me,” said Mr. Cuong.
Similarly, Ms. Truong Linh (renting an apartment in Nam Tu Liem district, Hanoi) shared that from the beginning of October 2024, the landlord also increased the rent from 12 million VND/month to 13.5 million VND, causing her family to face a lot of financial pressure.
According to Ms. Truong Linh, because she mainly works online, her family has now moved to the suburbs and is renting another apartment in Hoai Duc district with a rental price of 8.5 million VND/month to save money and reduce the burden of expenses.
According to Lao Dong reporter's research, the average rental price of apartments at Van Phu Victoria project (Ha Dong district) at the end of 2023 only fluctuated between 8.3-12.5 million VND/month. However, the current price has increased to 10.3-14.1 million VND/month.
In Nam Tu Liem district, the rental price of apartments in the An Binh Plaza project at the end of 2023 ranged from 10.5-15.5 million VND/month. However, currently, the average rental price has increased to 11.3-18 million VND/month.
Mr. Tran Hoang (real estate broker in Hanoi) informed that the rental price of mid- to high-end apartments has recently fluctuated strongly due to the high demand for rental. Many apartment owners in central districts of Hanoi have even raised the rental price to increase monthly rental profits.
According to Mr. Hoang, currently many apartments with an area of 48m2 or more far from the center of Hanoi such as Thanh Tri district have rental prices ranging from 7-12 million VND/month, instead of only about 6-10 million VND/month at the end of 2023, depending on the segment.
Ms. Nguyen Hoai An - Senior Director of Hanoi Branch, Head of Research and Development Consulting Department of CBRE - predicts that in the period of 2024, apartment rental prices will still maintain an average increase of 3 - 5%.
Ms. Nguyen Hoai An predicts that the end of 2023 is likely to be a "stepping stone" year after the COVID-19 pandemic, so the increase will be somewhat dramatic. Notably, Hanoi apartment rental prices will continue to increase in 2024, but CBRE predicts that the average increase will not exceed 10%/year.
