Amid falling interest rates, should young people prioritize saving or owning real estate?

In the overall picture, the Cielo apartment in Destino Centro stands out as a typical choice.

With the Vietnamese economy entering a stable phase and interest rates gradually returning to low levels, many people are faced with the question: Should they continue depositing money in the bank or boldly take out a loan to buy their first apartment?

According to the State Bank of Vietnam, interest rates for home loans have decreased by 1-2 percentage points compared to the 2022-2023 period, while many banks are offering special incentives for primary homebuyers. This has eased the pressure of borrowing, opening up opportunities for those who want to own a home instead of continuing to pay rent.

Suppose that with a two-bedroom apartment in the West of Ho Chi Minh City priced at about 1.4 billion VND, the buyer only needs to pay about 20-30% of the value, the rest is supported by a long-term loan from the bank. A representative of Seaholdings, the developer of the Destino Centro apartment project, shared: "Compared to the current apartment rental cost in some areas ranging from 8-10 million VND/month, borrowing from the bank to buy a house does not actually create more pressure, but also helps young people have a stable place to live and accumulate assets in the long term."

Many young families and investors choose to own Cielo apartments (Photo: Seaholdings)

When compared to savings accounts, the difference becomes even clearer. While bank deposits are considered a safe haven, the returns are quite modest, especially given the continuously declining deposit interest rates. Conversely, real estate remains attractive due to its potential for value appreciation.

A survey by batdongsan.com indicates that apartment prices in the secondary market in the western part of Ho Chi Minh City have fluctuated significantly recently, increasing by 2-3 price points. Furthermore, data from batdongsan.com in April 2025 shows that the demand for apartments in Ho Chi Minh City increased by 25% in the three months compared to the same period. In particular, the western part of the city has seen strong growth in the number of buyers and investors, thanks to its advantages of reasonable prices, developed transportation infrastructure, and convenient connectivity to the city center. Significant potential for further price increases is expected as numerous Ring Road infrastructure projects are being implemented.

One of the outstanding advantages of the western area is its population size. This area is currently home to approximately 3-3.5 million people, accounting for nearly 40% of Ho Chi Minh City's population. This number is higher than that of the eastern and southern areas.

Many parents are looking to buy these for their young children who are university students in Ho Chi Minh City (Photo: Seaholdings)

Rental yields are exceeding the city-wide average. Currently, apartment rental yields in the West area average 3-4.2% per year, significantly surpassing the East area's 2.8-3.5%, which was considered a "hot spot" in the market in recent years. The West area currently boasts numerous nearby amenities such as supermarkets, shopping malls, universities, and major hospitals, creating a competitive advantage in attracting stable, long-term tenants, from students and young working professionals to young families.

Therefore, in the face of rising housing prices, the trend among young people is shifting from renting to securing stable ownership by taking out bank loans.

Experts also advise young people not to focus solely on short-term borrowing costs, but to consider how the asset value will increase over the next 5-10 years. If real estate grows by 10% annually, it will be enough to offset the initial interest payments within a few years, while providing a double benefit of both housing and investment.

Another noteworthy factor is the involvement of banks in the appraisal process of large projects. As providers of capital, banks only disburse funds to projects that fully meet legal requirements, ensure timely completion, and demonstrate the developer's capabilities. This means that buyers not only receive financial support but also indirectly benefit from the "guarantee" of the safety of their investment.

A 2-bedroom apartment at Cielo costs around 1.4 - 1.8 billion VND (Photo: Seaholdings)

In the overall picture, Cielo apartments in Destino Centro stand out as a prime example. With prices under 2 billion VND for a two-bedroom apartment, flexible initial payment policies suitable for many families' financial capabilities, and bank financing support, the apartments offer a complete solution for both housing and investment needs.

The "three-party" partnership – buyer, developer, and bank – is becoming a safe and sustainable model in today's market. A representative from Seaholdings stated that with current policies and total discounts of up to 11%, Cielo apartment owners will be able to further optimize their cash flow.

It can be said that, in a period of cooling interest rates, buying a house is not just a cost calculation but a long-term financial strategy. While saving money in a bank helps secure capital, buying an apartment opens the door to accumulating assets and taking advantage of the real estate growth cycle. And for young people looking for a secure future, Cielo is proof that "settling down" can begin today.

AT

Source: https://baolongan.vn/giua-luc-lai-suat-giam-nguoi-tre-nen-uu-tien-gui-tiet-kiem-hay-so-huu-bat-dong-san-a202139.html