According to data from the Statistics Office (Ministry of Finance), in the first 8 months of the year, the whole country recorded 3,543 newly established real estate businesses, an increase of 12% over the same period last year. Notably, the number of enterprises returning to operation is 3,372 - an impressive growth rate, up to 811% over the same period last year, partly reflecting the confidence of enterprises in market prospects.
Ms. Pham Thi Mien - Deputy Head of Market Research and Investment Promotion and Consulting Department of the Vietnam Real Estate Brokers Association - commented that the real estate market is heading towards a period of strong development thanks to the convergence of many driving forces.
According to Ms. Mien, the demand for real estate, including the demand for living and investment, is still maintained at a high level and continues to increase with the urbanization process. This is an important factor that creates momentum for the development of housing projects, urban areas as well as commercial - service works.
In addition, the Vietnamese market is increasingly attracting foreign investment flows as the business environment is improved towards transparency, stability and health. Foreign capital not only creates more opportunities for project implementation but also contributes to increasing the value of the domestic real estate market.
The fact that key infrastructure systems are being invested in and deployed is also a significant driving force. The expansion of regional connectivity helps increase the demand for new project development, while expanding housing options for people.
Along with that, the legal corridor is being completed in the direction of removing existing obstacles and inadequacies, creating a more transparent and fair investment environment for businesses and people. This is expected to unblock supply, attract more capital flows and promote market stable development.
Another important factor is that Vietnam is accelerating the construction of an information and data system on land, housing and the real estate market. This will be the foundation to help management agencies plan policies to effectively regulate the market, towards safe, healthy and sustainable development.
To take advantage of these opportunities, Ms. Pham Thi Mien said that businesses need to proactively restructure products, focus on developing the housing segment with suitable prices, and at the same time focus on the trend of building green, energy-saving projects. Enterprises should also research and expand land funds in localities with developed infrastructure to anticipate population shift.
In addition, restructuring capital flows and reducing dependence on bank credit is an urgent requirement. Enterprises need to improve their governance capacity and consolidate their reputation to be able to diversify capital sources through bond issuance or investment cooperation. Ms. Mien emphasized that in the context of strong digital transformation, the application of proptech technology, big data and AI will help businesses optimize operations, improve management efficiency and competitiveness in the market.
