Apartment prices are hot, buyers are "hesitant"

Experts say that the real estate market has shown signs of improvement, but the recovery is not yet strong. The risk of a real estate fever returning right now is unlikely.

Experience from previous real estate fevers shows that once the selling price increases beyond the tolerance of buyers, the transaction is gloomy, which will most likely lead to a market reversal. As has happened with suburban land or auctioned land in the provinces.

Market records show that in the past 2 weeks, many home buyers have been actively looking for residential land in the inner city or suburban areas, segments that are considered to have more stable prices over the past 2 years, not increasing rapidly like apartments.

"It will bring more options, instead of continuing to invest in apartments," Ms. Nguyen Hoai An - Director of Research and Development Consulting Department, CBRE Vietnam shared.

Ms. Do Thu Hang - Senior Director of Research and Consulting, Savills Hanoi informed: "Buyers will also stop in conditions that exceed the threshold compared to the real value, people will have to consider".

Experts say that if the price exceeds the acceptable threshold, buyers will likely make other choices, such as renting a house or looking to buy another type, causing the apartment segment to cool down.

Mr. Nguyen Quoc Anh - Deputy General Director of batdongsan.com.vn said: "We will continue to observe and choose when the price level is stable, then we should enter. We are positive but do not be too excited. Think that the market will return to a V-shape. Because if so, it will not be sustainable. We expect the market to rotate, there will be slight increases, sideways until the market's difficulties, which is cash flow, are completely resolved, then it will be stable".

A representative of the Ministry of Construction said that the market in the first quarter had positive changes. However, the hot growth rate of the Hanoi market is also attracting attention.

Mr. Hoang Hai - Director of the Department of Housing and Real Estate Market Management, Ministry of Construction said: "Recently, there have been some signs, especially in Hanoi, such as land plots, apartments, and individual houses, with transactions, information, and prices that are not suitable. The Minister of Construction has directed us to draft a document, which will be signed next week, to send to Hanoi City, to control this matter."

Experts say that although the real estate market has shown signs of improvement, the recovery is not yet strong. Therefore, the risk of a real estate fever returning right now is unlikely.

According to data from the Hanoi Land Registration Office, from the end of 2023 to now, the number of registration files related to land transfers has almost not fluctuated significantly. The number of files received today is mainly for registration procedures for secured transactions and clearing bank mortgages. Due to the sharp decrease in bank interest rates, people tend to pay off old loan packages and access new loan packages with lower interest rates.

The law of the market is that there is demand, there is supply. The ultimate goal of real estate projects is to sell products and collect money. Therefore, experts say that both sellers and buyers must calculate the price at a certain threshold, so that the two sides can meet each other. The apartment market is no exception.

According to VTV

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