The scarcity of new projects in Ho Chi Minh City means the supply shortage has not subsided.

The market is still "thirsty" for new housing supply.

According to a recently published report by CBRE, in the third quarter of 2024, the housing market in Ho Chi Minh City saw only 127 new apartments offered for sale, all from subsequent phases of previously launched projects located in districts far from the city center. In addition, 300 apartments from older projects with legal issues that had temporarily halted sales for the past 1-2 years in Thu Duc City and District 7 are now being resold, and approximately 2,700 apartments not yet officially launched are beginning to accept reservations. "The supply of apartments shows no signs of improvement despite gradually improving demand," a CBRE representative assessed.

According to CBRE, by the end of the third quarter, several previously legal-obstructed projects in Binh Thanh and Thu Duc City will restart after the issues are resolved and are expected to officially launch next year. This is a positive sign regarding the progress of legal resolution for real estate projects in Ho Chi Minh City, since the number of newly licensed projects in the city has decreased sharply since 2019.

Supply shortages and legal barriers are impacting the real estate market in Ho Chi Minh City. Photo: Hai Long

According to the Ho Chi Minh City Real Estate Association (HoREA), there are currently 148 projects facing legal obstacles at all three levels, preventing their implementation. Firstly, there are obstacles related to certain regulations in existing laws. Secondly, there are obstacles related to regulations in subordinate legal documents, particularly regarding the specific land valuation process, mainly the application of the surplus method to calculate land use fees and land lease fees. This prevents many project developers from fulfilling their financial obligations to the State and prevents homebuyers from receiving land ownership certificates. Finally, there are obstacles in implementation due to the lack of specificity or consistency in some legal regulations.

Customers prioritize projects with complete legal documentation.

According to Savills Vietnam's assessment, current demand is mainly focused on projects with clear legal status, reputable developers, and guaranteed construction progress.

As a rare project in Ho Chi Minh City, especially in the South, that commenced construction in early September, Essensia Sky has become a highly anticipated name among investors and homebuyers. After obtaining the construction permit and officially commencing construction, the project is progressing rapidly towards completion in 2026, offering 424 apartments designed with green and health-conscious criteria.

Essensia Sky is located within the Essensia South Saigon complex, part of the Dragon City urban area at the southern gateway of Ho Chi Minh City. Phu Long is the investor, a company known as one of Vietnam's leading urban developers with a series of projects nationwide. This also guarantees that Essensia Sky meets all legal requirements and construction schedules, providing peace of mind for buyers.

"During the legal completion process, Phu Long has continuously improved the project's standard framework, from spatial design, technological transformation, construction quality to upgrading amenities for physical and mental health care… This will satisfy the high-end requirements of customers for a green and health-focused apartment," a representative of the investor shared.

With complete legal documentation, customers can rest assured about the liquidity, transferability, leasing, and business viability of the Essensia Sky project.

The urban area is located on the frontage of Nguyen Huu Tho Street - a 60m wide, 16km long, two-way road with 4 lanes, running straight across Nguyen Van Linh Boulevard, xuyên tâm Nhà Bè to Hiep Phuoc Industrial Park. This is considered a very important section of the North-South transportation axis of Ho Chi Minh City, connecting the provinces of the Mekong Delta with the city and linking to the Trans-Asian Highway.

This location also facilitates convenient travel to District 1, District 4, and District 7. It takes 5 minutes to reach the center of Phu My Hung, 15 minutes to the city center, and 7 minutes to the Hiep Phuoc industrial park. Essensia Sky offers easy access to external amenities in South Saigon, from schools and hospitals to entertainment centers.

Travel time will be further shortened as infrastructure projects in the South continue to be completed. Most recently, a branch of the Nguyen Van Linh – Nguyen Huu Tho underpass (District 7) has just been opened to traffic. Notably, the Nguyen Huu Tho route also includes the upcoming Metro Line 4.

Experts believe that, in the context of scarce supply, projects with advantageous locations and especially those backed by the investor's reputation and legal guarantees, such as Essensia Sky, will attract demand, thereby contributing to improving the market situation.

Source: https://nld.com.vn/khan-hiem-du-an-moi-tai-tp-hcm-khien-con-khat-nguon-cung-chua-ha-nhiet-196241014145351312.htm