Land prices unlikely to increase dramatically in 2023

DKRA Real Estate Services Group (DKRA Group) has just announced the "Report on the Housing Real Estate Market in Ho Chi Minh City and its vicinity in 2022", and at the same time made a forecast for 2023.

According to forecasts from DKRA Group, new supply and demand for land plots in 2023 may decrease slightly compared to 2022 due to localities tightening management of land subdivision and sale. New supply fluctuates around 6,200 plots, mainly concentrated in Long An and Binh Duong. Land prices remain stable, with no sudden price increases in 2023.

In the apartment segment, new supply is forecast to decrease sharply, only about 75% compared to 2022 (20,000 units); mainly concentrated in Ho Chi Minh City with about 12,000 units and Binh Duong with about 7,000 units, other provinces and cities have a shortage of new supply.

Overall demand will continue to decline from mid-2022 and is expected to have certain improvements by the end of the fourth quarter of 2023 when legal and credit problems in real estate are resolved.

The A-class apartment segment will maintain its dominant position, while the C-class apartment and social housing segment will increase significantly in 2023. The primary selling price level is unlikely to have a sudden increase in 2023, while the secondary selling price will continue to decline.

Vinhomes Central Park Urban Area - Ho Chi Minh City has tens of thousands of apartments

The report also forecasts that new supply and demand for townhouses and villas will continue to decrease compared to 2022, with an estimated 5,500 units. Dong Nai continues to lead the supply with about 1,700 units, followed by Long An with about 1,400 units, Binh Duong with about 1,200 units and Ho Chi Minh City with about 700 units, mainly concentrated in the East. The primary price level remains stable because of the discount policy aimed at customers who pay quickly.

According to DKRA Group, in 2022, the residential real estate market in Ho Chi Minh City and surrounding areas recorded many fluctuations in supply and consumption in most segments. The price level increased slightly in the first two quarters of the year, then decreased in the second half of 2022. In 2023, the market is forecast to have certain recoveries from the third quarter of 2023 with the level of positivity depending on each segment.

Source: https://nld.com.vn/kinh-te/gia-dat-nen-kho-tang-dot-bien-trong-nam-2023-20230111143102627.htm