The price increase of apartments is still continuing and has been getting stronger recently. In just the past few months, many apartment projects on the transfer market have continued to increase by an average of 150-300 million VND/apartment.
Many apartments have doubled or doubled in price in just the past year. However, this “dizzying” price increase is greatly affecting the buying and selling behavior of both real and investment customers.
According to a survey by PropertyGuru Vietnam with apartment brokers, apartment liquidity tends to decrease when apartment prices increase too high and too quickly in a short period of time.
Accordingly, the number of transactions decreased by about 30% compared to the beginning of the year after Tet - when the apartment fever started. On Facebook, there have appeared groups calling for a stop to buying houses in Hanoi to avoid "crazy prices" with hundreds of thousands, tens of thousands of members.
The skyrocketing price of apartments is increasingly fueling the wave of people stopping buying apartments and switching to buying residential real estate, including private houses and townhouses, for settlement or investment.
Residential real estate is becoming another option when the price increase is not pushed as "chaotically" as apartments. A survey by this unit shows that the price of private houses in the inner city districts of Dong Da, Ba Dinh, Thanh Xuan, Cau Giay, Nam Tu Liem, Ha Dong, Hoang Mai... recorded an average price increase of 10-20% since the beginning of the year.
Transaction volume at floors specializing in selling residential land in Hanoi increased by an average of 10-30% in the past 3 months, at the same time as apartment prices continued to fluctuate.
According to Mr. Nguyen Quoc Anh, Deputy General Director of PropertyGuru Vietnam, the unit's real estate market data also recorded that private houses and townhouses are maintaining a stable level of interest.
In the first three months of 2024, the number of transactions and interest in private houses and townhouses increased in all price ranges. In particular, interest increased sharply in almost all districts of Hanoi.
Compared to the beginning of 2023, the level of interest in private houses in Nam Tu Liem district increased by 43%, private houses in Hoang Mai increased by 28%, Dong Da increased by 21%, Ha Dong increased by 26%, Thanh Xuan increased by 12%. In terms of price, the price of private houses in Hanoi increased from an average of 95 million VND/m2 in the first quarter of 2021 to 164 million VND/m2 in the second quarter of 2024.
Thus, the average price increase of private houses is quite stable, reaching an average of 15-20% per year depending on the area. It is the stability, no price chaos, no increase chaos that makes the number of transactions of private houses and townhouses remain stable, regular, and attract the attention of real buyers and investors in the context of Hanoi apartment prices constantly jumping.
Mr. Nguyen Van Dinh - Chairman of the Vietnam Real Estate Brokers Association said that, associated with the mindset of "every inch of land is gold", the demand for real estate ownership and the need for asset accumulation of Vietnamese people is very large. Therefore, residential real estate in the inner city area towards real housing needs has recorded stable liquidity, especially in the challenging period of the current market.
This market does not fluctuate suddenly and temporarily like some other segments, but its health depends a lot on policy fluctuations, planning information, market timing...
