1. Hanoi apartment prices skyrocket
According to market data from Batdongsan.com.vn, up to now, apartments have increased by 45% compared to the first quarter of 2022, which is also the highest increase among real estate segments on the market.
The selling price of this segment increased the most in Hanoi, followed by Ho Chi Minh City. Compared to the first quarter of 2023, the selling price of apartments in Hanoi increased by 58%, and that of apartments in Ho Chi Minh City increased by 17%. Currently, the average selling price of apartments in Hanoi is 61 million VND/m2, and in Ho Chi Minh City is 55 million VND/m2.
2. Hot land auction
Land auctions in Hanoi have been in full swing in the second half of 2024, creating unprecedented scenes including overnight auctions and a large number of applications. Many plots of land in the suburbs of Hanoi such as Thanh Oai, Hoai Duc, and Thach That have been pushed up in price by hundreds of millions of VND per square meter. The situation of "inflating prices" and then abandoning deposits has caused many consequences for the real estate market.
3. New real estate laws come into effect 5 months early
The Land Law (amended), Housing Law (amended), and Real Estate Business Law (amended) officially took effect from August 1, 2024, 5 months earlier than the National Assembly's resolution. The new points of the 3 amended laws are considered by experts to be an important contribution to "removing" bottlenecks in the real estate market, laying the foundation for the real estate market to develop healthily and sustainably.
4. FDI and remittance flows into real estate increase sharply
According to data from the Ministry of Planning and Investment, as of November 30, 2024, the total capital of foreign investors poured into Vietnam reached nearly 31.4 billion USD, an increase of 1% over the same period in 2023. Of which, the real estate business ranked second with a total investment capital of nearly 5.63 billion USD, accounting for more than 17.9% of the total registered investment capital, an increase of 89.1% over the same period. In addition, information from the Ministry of Foreign Affairs said that the source of remittances flowing into Vietnam in 2024 is forecast to reach about 16 billion USD.
5. Hanoi and Ho Chi Minh City announce new land price list
In July 2024, Ho Chi Minh City caused a stir in public opinion when it announced a draft Decision to adjust Decision 02/2020 on land price list in the city (expected to be applied from August 1 to December 31, 2024). Accordingly, land prices on many routes could increase from 5-51 times. By October 2024, the official land price list was issued by Ho Chi Minh City, applicable from October 31, 2024 to December 31, 2025. Compared to the draft of July 2024, land prices in the official land price list of October 2024 have decreased by 20-30%.
The new land price list was also announced by the Hanoi People's Committee on December 20 and will take effect immediately until December 31, 2025. The newly issued land price list is 2-6 times higher than the old price list.
6. Social housing receives positive signals
The social housing segment has continuously received positive information, promising a supply explosion in the future. First of all, the early passage of the three amended real estate laws has "untied" the legal framework for social housing development. For example, the new law stipulates exemption from procedures for determining prices, land use fees and land rents from the beginning when the Housing Law 2023 takes effect early from August 1, 2024, and will not require businesses to fulfill the above obligations.
7. "Hot" proposal to tax real estate
In a report sent to the Government Office in September on the reasons for the increase in real estate prices, the Ministry of Construction said it would study and propose a tax policy for those who own and use many houses and lands to limit speculation and buying and selling in a short period of time to make a profit.
In November, the Ministry of Finance continued to propose taxing personal income from real estate transfers based on ownership period to prevent speculation and price inflation.
8. Pilot transfer of agricultural land for commercial housing projects
On November 30, with over 86.6% of delegates in favor, the National Assembly voted to pass the Resolution on piloting the implementation of commercial housing projects through agreements to receive rights or to have land use rights. From April 1, 2025, the pilot agreement to receive rights to use agricultural land, non-agricultural land (commercial and service land) that is not residential land, and other land in the same plot for commercial housing projects will be officially piloted. This policy will be piloted for 5 years.
