In September 2024, Ms. Nguyen Thuy Linh (34 years old, Hanoi) and her husband signed a 6-month contract to rent an apartment in Vinhome Smart City urban area (Nam Tu Liem district) for 8 million VND/month.
According to Ms. Linh, the rental contract will expire at the end of February 2025 and the landlord has announced the re-signing as well as the request to increase the price to 9 million VND/month.
"The landlord said that if he agreed, he would sign a 1-year contract this time, but if he did not rent, he would report to find a new person" - Ms. Linh said and added that due to economic pressure, the couple is looking for another apartment to rent.
However, after several days of searching online as well as thanks to brokers, Ms. Linh said that apartment rental prices in Hanoi have continuously established new levels in recent times due to sharp increases in selling prices.
"My wife and I have changed direction to find a boarding house in a densely populated area or moved to rent a private house in a small alley" - Ms. Linh shared.
Mr. Nguyen Duc Chung (born in 1989, renting a house in Khuong Trung ward, Thanh Xuan district) said that also due to the high rental price of apartments, Mr. Chung's family had to pay for a room and move to live in a house in an alley with a rental price of 5 million VND/month, including electricity, water, and living expenses.
According to Mr. Chung, before renting a house in an alley, in early 2024, his family signed a 1-year contract to rent a 68.6m2 apartment near Ho Me Tri Street (Thanh Xuan, Hanoi), with a rental price of 12 million VND/month.
When the contract is nearing the end, the landlord announced that the rental price in the new contract will increase to 13.5 million VND/month. The reason given by the homeowner is that the price of the apartment segment is increasing and the rental prices of apartments in the surrounding area have all increased.
"Because the landlord has increased the price, my husband and I decided to find a new rental house to save costs" - Mr. Chung added.
Research by Lao Dong reporters shows that rental prices in Hanoi are increasing rapidly, making it very difficult to find a 2-bedroom apartment for rent ( basically a family of 4) with a price of 7-8 million VND/month in an area near the center.
Typically, in some apartment buildings on Nguyen Co Thach Street (Nam Tu Liem District), the rental price has increased from 7-8 million VND/month to 9-13 million VND/month (2-3 bedroom apartments).
Meanwhile, in Ha Dong district, housing rental prices in many areas also increased by over and under 20%. For example, the average rental price of apartments at the Van Phu Victoria project at the end of 2023 fluctuated between 8.3-12.5 million VND/month, now increased to 10.3-14.1 million VND/month.
In Hoang Mai district, rental prices are somewhat "easter" than in other districts. For example, at HUD apartments in Southwest Linh Dam, the rental price ranges from 7-8.5 million VND/month, with apartments with an area of 40-60 m2; depending on the apartment without furniture, with basic items or all the necessary items to live in.
The sharp increase in apartment rental prices has forced many people to move to suburban areas or find a new direction, which is to rent a house in an alley to save costs.
According to Mr. Nguyen The Diep - Member of the Vietnam Real Estate Association, in the context of skyrocketing real estate prices, the dream of buying a house for low-income people is increasingly distant. Rental apartments have become the only salvation, but now the rental price is constantly climbing, causing pressure on many families.
