Experts said the realty market will recover in the second quarter of this year due to the big housing demand. On the other hands, thanks to the economic rebound of Vietnam and the world, accommodation demand has been rising.
Land fever
In the coming time, the realty market will see a land fever because of the current abundant apartment demand. In Hanoi, a range of housing, apartment and public work complexes in Cau Giay and Tu Liem districts have received in-principle approval from the municipal People’s Committee for investment.
When social house projects are implemented, apartment demand will continue falling.
Recently, Hanoi has agreed in principle the local Department of Planning and Investment’s proposal to build a 1.13-ha low-rise project at Dai Mo commune, Tu Liem district. The city has also okayed Urban Infrastructure Development Investment Corporation (UDIC)’s a social house project for state employees.
Low-priced accomodation attracts customers
This year, low-priced realty segment will draw customers’ attention and outlying areas will continue to be hot spots. According to a recent survey by the Ministry of Construction, in Ho Chi Minh City, low and medium-cost projects have seen the highest rate of successful trading such as Phu My Thuan project with an average price of VND10 million/m2 and land in Xuan Phu area with VND10 million/m2. In Hanoi, the western region remains attractive to investors. Land at Duong Noi costs from VND25-VND30 million/m2 and houses here are priced VND18-VND19 million/m2.
With the move, many experts said the local realty will witness changes this year. Companies will focus on the low-priced housing segment to meet the increasing demand. Besides, the government has offered many incemtives for projects to build houses for workers, soldiers and low-income people.
Hanoi master plan to have great impacts on the realty market
The Hanoi People’s Committee and the Ministry of Construction have continued building a master plan, which will have great impacts on the local real estate market. Realty investors also expect the government’s new decree on ensuring houses for soldiers. The draft decree stipulates incentives for enterprises which develop houses for soldiers.
The Ministry of Construction has recently announced that the capital master plan is being built. The plan is expected to be passed by the National Assembly this May. This will be an important factor to make the Hanoi realty market become more exciting. Statistics show that, average housing area is 13m2 per person. The country targets to raise the figure to 15m2 and 20m2 per person in 2015 and 2020 respectively. The country now has more than one billion square metre of housing. The area is forecast to reach around 2 billion square metre by 2020. Therefore, the Vietnamese realty market will offer various opportunities for investors.
Luong Tuan
Vietnamese
