Having been looking to buy a house since the beginning of the year, Mr. Vo Hung (35 years old, Hanoi) has just bought a 2-bedroom apartment, about 52 square meters wide, in the FLC Dai Mo urban area, Nam Tu Liem district. The price of this apartment is 2.6 billion VND, equivalent to 50 million VND/square meter.
Mr. Hung said that over the time spent researching to buy a house, the prices of apartments with full legal documents are regularly updated. For example, the apartment Mr. Hung just bought has increased by more than 200 million VND compared to the time of sale in February 2024.
Not as fortunate as Mr. Hung's family, Ms. Bui Thi Luu (30 years old, Hanoi) is struggling to find a house to buy. Ms. Luu's family of 3, including her husband, wife and a 5-year-old boy, is living in a mini apartment.
Checking their savings and asking to borrow more from relatives, Ms. Luu and her husband had more than 1.5 billion VND in hand to buy a house.
“Up to now, my husband and I have not found any house, so we will need more time to look. Affordable houses have problems with the issuance of certificates, or even no certificates, while the houses we like are quite expensive, so it is a headache,” Ms. Luu confided.
According to real estate consultancy CBRE, in the third quarter of 2024, primary prices increased by an average of nearly 9% quarter-on-quarter and 26% year-on-year. More than 75% of total new supply this quarter came from the high-end segment, from VND60 million/m2 (excluding VAT, maintenance fees).
Previously, Chairman of the National Assembly's Economic Committee Vu Hong Thanh said that the real estate market has shown signs of recovery but is still facing difficulties. However, the unbalanced product structure has pushed up the prices of primary apartments (investors open for sale to the market) and secondary apartments.
In fact, for many people, after a period of searching for a house to buy, high prices force them to stop and wait for more time. However, experts say that house prices are unlikely to decrease, so waiting is not feasible.
Explaining this issue, Mr. Tran Quang Trung - Business Development Director of OneHousing - said that 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.
According to Mr. Trung, in the context of increasingly scarce land funds, to own a beautiful location, especially in the center, businesses have to spend a huge amount of money.
When land prices are high, if investors make a low-cost product, they will certainly lose money. With beautiful locations, project developers will also have to make products worthy of that location, so it will be difficult to have a cheap price.
Or the pressure from limited supply and increasing input costs has forced investors to adjust their strategies, focusing on developing high-end and luxury projects, and at the same time leading to a shift in the apartment segment in Hanoi.
Recently, the Ministry of Construction also assessed that residential real estate prices could increase by 15-20% when applying the price framework according to the new law, this assessment is completely well-founded.
