Land plots unexpectedly take the lead.

As a result, land plots were the most sought-after type of property by potential buyers (40%), followed by apartments (28%) and detached houses (21%).

" This proves that although the current market situation is not yet improving, Vietnamese people still always want to own land, and the demand for land in the near future will still be superior to other types of properties ," commented an expert from Batdongsan.com.vn.

According to statistics, land prices have also increased by up to 69% after 9 years.

Land plots remain the most sought-after segment.

Many other experts also agree with the above results and believe that the end of 2023 is a good time to invest in land plots.

Mr. Pham Duc Toan, General Director of EZ Property Investment and Development Joint Stock Company, predicted that the third and fourth quarters of 2023 would see increased financial pressure on many investors, forcing them to lower the selling prices of many land plot products.

" The market may bottom out by the end of 2023, and this is the right time to invest ," Mr. Toan said.

Similarly, Mr. Nguyen Van Dinh, Chairman of the Vietnam Association of Real Estate Brokers (VARS), assessed that typically, there will be periods of land price surges at the beginning and end of the year. In 2023, land price surges are predicted to return, but at a later time, possibly in the third quarter or towards the end of the year, with more frequent land searches. This is because by then, difficulties will have been resolved, the market will have recovered, interest rates will have decreased, and capital mobilization channels will have been opened up.

“ In the long term, I think land prices are unlikely to fall sharply, especially for projects by reputable developers with transparent legal status, due to scarcity, pressure from input costs, inflation, etc. Prices may remain stable compared to 2022 but will quickly rise again thanks to new expectations,” Mr. Dinh emphasized.

Mr. Nguyen Quoc Anh, Deputy General Director of Batdongsan.com, also commented that, in the long term, land plots remain a potential investment type if investors know how to choose products with usability and the ability to generate a stable cash flow.

Currently, Hanoi 's urbanization rate is around 49% and Ho Chi Minh City's is around 70%, with eight provinces and cities nationwide having an urbanization rate above 50%. Therefore, there is still room for development and the demand for land remains constant.

Therefore, the challenging market conditions also present a good opportunity for experienced and financially strong investors to acquire good properties at attractive prices.

However, it's advisable to buy land in areas with good infrastructure and amenities, or near industrial zones, as prices will be more stable and have potential for appreciation. Land for investment purposes with low utility value, bought and then left idle, will depreciate in value. Provinces with high FDI generally have stable land prices, rarely experiencing significant drops.

According to data from Batdongsan.com.vn, the level of interest in buying land plots in the first five months of 2023 decreased by nearly 50% compared to the same period in 2022. Transaction activity in the land market remains sluggish due to the affected confidence of buyers and investors, and the unresolved issues of credit limits and loan interest rates.
In addition, the number of real estate listings for sale has decreased by 44%. This data partly reflects the challenges facing both the supply and demand of real estate amidst the overall difficult market conditions.
However, according to Batdongsan.com.vn's real estate consumer sentiment report on trends for the second half of 2023, 61% of survey participants intend to buy real estate within the next year.

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