Infrastructure expands housing choices
According to Savills, Hanoi is possessing rare favorable development conditions when it simultaneously benefits from the 100-year vision of the Capital Planning, the wave of large-scale infrastructure investment and institutional reforms, including the Capital Law passed by the National Assembly. The city is shifting to a multi-polar model with 9 growth poles and 9 development corridors, expanding urban and housing development space in the long term.
The 2026 - 2027 period is expected to record a clear impact from the completion of Ring Roads 3.5 and Ring Road 4 along with many new bridges such as Tu Lien, Tran Hung Dao, Thuong Cat, Van Phuc, Ngoc Hoi, Me So, Hong Ha. By the 2028 - 2029 period, benefits from infrastructure will continue to spread to the growth poles of the West, Southwest and South.
Further to 2030, when metro lines, Ring Road 5 and the development orientation of Hoa Lac High-Tech Park are realized, areas outside the center are expected to attract more residents, jobs and economic activities, thereby creating momentum for the real estate market to develop in the long term.
Hanoi prioritizing infrastructure development, real estate demand is boosted in the short term, while creating a foundation for long-term growth. Key infrastructure projects also open up opportunities to access affordable housing in suburban areas and neighboring provinces.
The market is transitioning, the opportunity lies in a new development cycle
According to Savills research, housing supply in Hanoi is expected to continue to expand in the coming time thanks to the participation of new megacities and market development support policies. For the apartment segment, it is expected that there will be 22 new projects open for sale in the remaining time of the year, providing about 13,700 apartments to the market.
In the villa and townhouse segment, future supply is positively assessed as coming from both existing and new projects. Savills forecasts nearly 6,000 units to be opened for sale in the remainder of 2026, followed by about 28,000 units in the 2027-2029 period.
Ms. Do Thi Thu Hang - Senior Director, Research and Consulting Department, Savills Hanoi said that the Hanoi housing market is entering a transitional phase when short-term and long-term factors simultaneously affect buyers' decisions.
In the short term, affordability is still the biggest challenge when the housing price level remains high in the context of limited affordable supply. This makes liquidity in the apartment and low-rise housing market tend to slow down compared to the previous period. Besides interest rates and credit factors, the announcement of a series of large infrastructure plans and projects also makes many buyers more cautious, spending time assessing changes in connectivity and development potential of each area before making a decision.
In the long term, Savills experts believe that the market is seeing positive foundations for the next development cycle. Capital planning, the process of expanding urban space, along with accelerating the implementation of ring roads, bridges and connecting transportation systems, are creating conditions for Hanoi to develop according to a multi-polar model, expanding to many areas outside the center.
At the same time, the increasing interest in social housing, affordable housing and especially rental housing is expected to help the market better serve the actual housing needs of people.
According to Ms. Hang, expanding land funds, implementing large-scale projects and orienting credit specifically for these segments can create more supply for groups facing difficulties in accessing housing. In the future, integrated development models between commercial housing, social housing and rental housing will play an important role in meeting population needs, while contributing to supporting the sustainable development of the Hanoi housing market.
