Cash flow is very strong in real estate, Ministry of Construction has new move

Capital flows strongly into real estate

The second quarter financial reports of many banks show that in the first half of this year, real estate lending was a major contributor to credit growth of many banks.

Specifically, at Techcombank , in the first 6 months of this year, real estate business loans (including credit and bonds) accounted for 59% of total outstanding credit. Including individual customers, the proportion of real estate loans at this bank reached more than 64% of the total outstanding loan balance of the entire bank.
Techcombank's consolidated real estate business credit growth (credit alone) reached 21.5% compared to the end of 2024 (nearly double the bank's loan growth of 11.6%).

At many other commercial banks, real estate business loans in the first half of the year also recorded a very strong increase. Specifically, at HDBank, outstanding real estate business loans reached VND83,125 billion, up 22% compared to the beginning of the year and accounting for 16.4%. AtSHB , outstanding real estate loans reached VND163,754 billion, up nearly 28.4% compared to the beginning of the year. At MB Bank, real estate business loans reached VND85,834 billion, up nearly 34% compared to the beginning of the year.

Outstanding real estate business loans as of the end of June 2025 at TPBank increased by 32%, at PGBank increased by 30%, at VietBank increased by 19%, at MSB increased by 15%...

As of June 30, outstanding real estate credit was about VND3,180 trillion, 2.4 times higher than at the end of 2024 and accounting for 18.5% of the total outstanding debt of the whole system.

Mr. Dinh Minh Tuan - Southern Region Director of Batdongsan.com.vn - assessed that this year there is a mechanism to increase credit for the real estate market. However, the credit flow to serve the real housing needs of the people is still limited, lacking a clear mechanism.

Batdongsan.com representative forecasts that in the coming time, credit will still be prioritized for infrastructure projects and important real estate projects. Real estate supply in the second half of the year is expected to improve compared to the first half of the year. In particular, for large markets that are prioritized for capital flow, it will increase faster. However, note that risks will exist if credit flows into areas that are developing too hot.

Many experts are concerned that priority sectors such as industrial production still have difficulty accessing capital, while credit sources are overly concentrated in speculative channels such as real estate businesses. This could lead to the risk of asset price inflation. In fact, most economic crises originate in the financial and real estate markets.

Proposal for stable interest rate credit package

In the context of strong credit flow into real estate, the Ministry of Construction proposed that the State Bank study a medium-term credit package with stable interest rates in addition to focusing on directing and urging banks to participate in the preferential credit loan program of VND 120,000 billion.

In addition, the State Bank also directed commercial banks to focus on lending and disbursing loans for commercial housing projects with suitable prices, promoting credit growth; along with that, it is necessary to cut down procedures and conditions to facilitate people and businesses to access credit capital with strict control to avoid corruption and negativity.

According to finance and banking expert Nguyen Tri Hieu, there should be a loan package for housing development with a suitable price and a loan term of up to 30 years so that people can pay less money to the bank each month. The State Bank should also promote credit scoring for people, people with high scores can easily borrow at low interest rates. The interest rate should be at 4.7%/year depending on the score, if the score is low, there must be a certain margin.