Will real estate prices continue to increase in 2025?

Commenting on real estate prices in 2025, Mr. Phan Dinh Phuc - CEO of Seenee said that in 2025, real estate prices will start to increase according to the Law.

According to Mr. Phuc, 2025 is a stepping stone to apply and enforce new laws. When the legal system is stable and “working”, the market will feel it and real estate prices will start to “jump” accordingly.

“ By now we are certain that the bottom and the most critical period of real estate has passed. Looking back at past milestones, I predict that this is the beginning of a very clear new cycle. Typically, the Land Law, Business Law, Housing Law were passed, new land prices, infrastructure was deployed simultaneously, housing policies such as the 120 trillion package were also focused on disbursement,... ”, said Mr. Phuc.

Mr. Nguyen Quoc Anh - Deputy General Director of PropertyGuru Vietnam also shared that from the second quarter of 2025, the real estate market will enter a period of prosperity and real estate prices are expected to continue to increase.

Mr. Quoc Anh said that the phenomenon of interest in real estate recorded a sharp increase, market confidence returned and investor sentiment improved, thereby affecting investment decisions.

" Currently, the real estate market is in a new cycle. The market context in the current cycle is based on three factors: Credit, interest rates and policies. In which, new laws that will soon take effect will promote the market to recover soon ," Mr. Quoc Anh emphasized.

Analyzing the market situation in more detail and making forecasts for the coming time, Mr. Quoc Anh said that in each development stage, the real estate market has different characteristics, based on fluctuating cycles.

From now until the end of the first quarter of 2025, the market will continue to consolidate, buyers will still focus on real housing needs, the most chosen products are private houses and townhouses.

From the second quarter of 2025 to the fourth quarter of 2025, the real estate market will enter a period of prosperity led by segments that bring high profit rates such as land plots and project villas.

From the first quarter to the fourth quarter of 2026, the market will enter a stable cycle, with prices and liquidity increasing across a variety of types.

Real estate prices in 2025 are expected to continue to rise. (Photo: Minh Duc).

According to a report from Vietcap Securities Joint Stock Company, by 2025, the Vietnamese real estate market is expected to maintain stable growth, with real estate prices in areas with good infrastructure connections increasing by an average of 10-15% per year.

In addition, primary real estate transactions are expected to increase thanks to real housing demand and the gradual recovery of long-term investment capital flows.

In addition, the stable interest rate environment continues to create favorable conditions for home buyers. Vietcap forecasts that home loan interest rates will remain low, helping to reduce the financial burden on buyers, especially in the context of increasing real estate development costs.

Mr. Giang Anh Tuan - Director of Tuan Anh Real Estate Floor also commented that real estate prices in 2025 will be difficult to decrease due to many factors such as: the real housing demand of people is increasing, especially in two big cities like Hanoi and Ho Chi Minh City.

Besides, after a period of stagnation, investment demand has begun to recover, especially for selective real estate products such as townhouses/villas and land with good infrastructure and amenities.

Homebuyers will continue to favour projects from reputable developers with a good track record in handing over pink books and after-sales services, with clear legal status and strategic locations and good connectivity to amenities and infrastructure development.

Meanwhile, housing supply in 2025 will improve, but will not be significant compared to demand, so the supply-demand balance will still be tilted towards high demand and low supply.

Finally, improved homebuyer confidence, supported by a recovery in the overall housing market, a stable mortgage rate environment, and accelerated infrastructure development, will drive home prices higher.

Regarding Hanoi apartment prices - one of the segments with the "hottest" increase in 2024, Ms. Nguyen Hoai An - Director of CBRE Hanoi said that the apartment market in Hanoi is gradually relieving the "thirst" for housing supply shortage. Prices will not decrease but will no longer increase "hotly" like in the recent period.

Currently, apartment products for living and investment are quite diverse, and the price level is also higher than previous years. Therefore, waiting for housing prices to decrease is difficult. According to the expert, real estate prices can only decrease when: First, there is excess supply and slow demand growth, affecting market liquidity and affecting selling prices; second, there are major fluctuations in the macro economy, financial markets, economic growth, etc.

In Vietnam, although the economy is currently growing steadily, interest rates, inflation, and exchange rates are controlled at reasonable levels, the housing supply is still in a state of shortage and imbalance between segments... Therefore, in the short term, it is very difficult for real estate prices to decrease.

" In 2025, the supply of new apartments could reach over 30,000 units. Prices will not decrease but will not increase as rapidly as in the recent period, possibly only increasing by 5-8% compared to 2024 ," Ms. Hoai An emphasized.

Chau Anh

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