Don't let the fear of "missing out" guide you.

Don't let the fear of

The "fear of missing out" mentality in investing, coupled with the "seeing others digging for potatoes, so I'll grab a shovel and dig too" idea, has long led many people to invest in land without careful consideration, resulting in many investors failing and leaving behind numerous negative consequences.

Currently, a new "land price surge" is showing signs of beginning, with real estate prices in some areas increasing by 30%, even 50%. This is creating great concern about a new real estate bubble that will negatively impact the economy . Many believe that the locations chosen as new provincial capitals in the upcoming provincial merger plan will be areas with high potential for quick returns on investment, and they have been quick to invest to acquire properties.

Among them are professional investors, but there are also those who invest out of fear of missing out on opportunities, and that's what makes them less level-headed.

Many real estate experts believe that the reality is not quite like that. The land price surges that create real estate bubbles are fundamentally due to misjudging the situation and everyone wanting to be equal to or better than others, thus causing harm to each other. To date, there is still no official information on how the administrative boundaries will be merged and which locality will become the capital of the new province. All of this is speculation, and the reality could completely change.

Many believe that by the time information becomes crystal clear, they'll only be "cleaning up the mess" for others. In investing, being quick and proactive is always crucial. However, this very "fear of missing out" has pushed them into a risky race. Land prices have long failed to reflect the true value of the property; often, they are inflated by the intense competition among investors.

Even a sudden surge in land prices is not a sign of a healthy market, but rather an inflated price bubble created by land speculators seeking to profit.

The land speculation frenzy is currently fueled by news of provincial mergers, the selection of provincial capitals, or new residential and industrial zone planning. Soon, when this "bait" is no longer lucrative enough, it might shift to the selection of administrative centers after commune mergers. Many smaller investors, such as local residents, will target these areas. These are unprofessional investors lacking sustainability, which also means increased risks and more serious consequences.

The intervention of authorities is crucial to ensure transparency in the real estate market. Investors, in particular, should carefully consider their options to avoid the negative consequences experienced in the past.

Thai Minh

Source: https://baothanhhoa.vn/khong-de-cam-giac-so-bo-lo-dan-dat-243500.htm