According to a recent report by the Vietnam Association of Realtors (VARS), in the first quarter of 2023, more than 72% of housing transactions were apartments. The consumption rate of the entire housing market reached about 11%, equivalent to more than 2,700 transactions, equal to 50% compared to the same period last year. Apartment prices continue to be recorded at a high level due to mainly high-end projects, the average price in Ho Chi Minh City reached 74 million VND/m2, the rate of increase in apartment prices tends to slow down.
Similarly, the April 2023 market report of Batdongsan.com.vn also shows that the level of interest in the apartment segment nationwide has decreased by 8%, the number of listings has also decreased by 17% compared to the previous month. In particular, in Ho Chi Minh City, the level of interest in apartments has decreased by 8%, the number of listings has decreased by 19%. In the first 4 months of 2023, the selling price of apartments in Ho Chi Minh City has remained almost the same in all segments.
Also in the Ho Chi Minh City market, affordable apartments did not have any changes in selling prices, mid-range apartments increased by 2%, while luxury apartments increased by 6%. Thus, apartment prices in big cities have been stagnant for many months, no longer increasing as rapidly as before but also not decreasing. 43% of people with real estate needs are still waiting for real estate prices to decrease.
Mr. Nguyen Quoc Anh - Deputy General Director of Batdongsan.com.vn commented that in the coming time, apartment prices will hardly decrease deeply because types serving real housing needs are still the bright spot of the real estate market. In a recent survey conducted by Batdongsan.com.vn, 49% of brokers rated apartments for sale and rent as the most potential real estate type in 2023. Currently, the urbanization rate of Ho Chi Minh City is about 70%, the whole country has 8 provinces and cities with an urbanization rate of over 50%, so there is still room for development and the demand for urban housing always exists.
“For those who buy to live, buying a house at this time will immediately meet their needs. For investors, they should calculate much more carefully because investment costs are related to capital recovery, so they need to grasp detailed information about the possibility of fluctuations in rental prices, selling prices, rental yields, etc. Buyers should also carefully consider the financial problem, consider their own capital, borrowing capacity and debt repayment capacity to avoid being passive about cash flow,” Mr. Quoc Anh analyzed.
Forecasting the apartment market in the coming time, Mr. Nguyen Van Dinh - Chairman of VARS said that from the second quarter of 2023, transactions are expected to be better. Specifically, the price of low-segment apartments will not decrease but will no longer increase rapidly, the price of mid-range and high-end apartments that previously tended to increase virtually will also be adjusted to a level more suitable to the real value. Currently, the market is re-establishing balance, the price is gradually approaching the real value. This is an opportunity for those who have a real need to buy for living, business or long-term investment, can choose to spend money, increasing purchasing power for the market.
Many real estate experts also commented that there is still real demand for real estate and good policies to support the market have created a relative boost, the most difficult time of the real estate market has passed. Recently, the number of people interested in searching for real estate has also shown more positive signs. Although the supply of real estate continues to be scarce, interest rates have cooled down and credit room has opened. This could be the right time for investors to research and consider investing. Because the real estate market in the first quarter of 2023 has shown signs of positive change thanks to the Government's support and difficulty removal measures.
Source
Comment (0)