Gloomy in the first 2 months of the year
According to Journalist & Public Commentary, according to a report on the real estate market recently published by DKRA Group, the supply of resort villas still remains low, investors continue to delay sales deployment time, especially are high-value products, causing the supply to the market to not meet expectations. New supply of this type comes from a project opening for sale in the next phase with 1 units, consumption of only 39 units, down 5% compared to the end of the year.
Liquidity of this type decreased significantly, leading to more than 80% of primary projects closing their shopping carts to adjust selling prices and sales policies. Primary selling prices also do not change compared to the end of 2023. Many investors continue to apply interest rate support programs, interest rate incentives, quick payment discounts, etc. to stimulate market demand. school.
DKRA Group commented that although tourism has shown positive signs of recovery, the resort villa market is forecast to continue to be gloomy as legal problems have not been resolved as well as investor confidence. not restored yet.
Similar to Condotel - hotel apartments also recorded a decline, when the supply of this type concentrated in January 1. Meanwhile, in February, the market did not record any new Condotel projects opening for sale. Market demand also decreased sharply, liquidity was low, consumption recorded a decrease of more than 2024% compared to the previous month, focusing on products with prices fluctuating around 2 - 94 billion VND/unit. .
Resort real estate currently has many advantages on both the supply and demand sides. Therefore, it is possible to expect this segment to change for the better in the near future. Illustration photo from the internet
Condotel's primary selling price has not changed much compared to the end of the year and continues to remain high because current capital costs are still quite high. Incentive programs, quick payment discounts, principal grace period, interest rate support, etc. are still widely applied to attract customer attention. Although the tourism industry has seen significant improvements, the Condotel market still faces many difficulties and challenges in the coming time due to the influence of many factors such as legality, capital resources, low liquidity...
Especially with the townhouse/Shophouse type, the market has not recorded new supply for sale in the past 2 months. Many projects continuously postpone sales implementation time because they have not reached the expected number of bookings. The overall market demand is low, the transaction volume is modest, mainly focusing on products with complete legal regulations with prices fluctuating below 15 billion VND/unit.
Primary selling prices do not fluctuate much, projects continue to widely apply many preferential policies, quick payment discounts, interest rate supports, principal debt grace, sublease commitments, etc. to stimulate market demand amid the current difficult context. Many projects have not been legally completed, construction is behind schedule, etc., affecting investor confidence, causing supply as well as market liquidity to decrease significantly and show no signs of recovery in the short term.
And growth expectations
According to Vietnam Financial Times, Tourism and resort real estate currently has many advantages on both the supply and demand sides, as well as the selling price. Therefore, it is entirely possible to expect this segment to change for the better in the near future.
Ms. Pham Thi Mien - Deputy Head of the Market Research and Investment Promotion Consulting Department of the Vietnam Real Estate Brokers Association (VARS) said that the biggest support for tourism and resort real estate in 2024 will come. from opportunities for recovery and development of the tourism industry. That is, the visa relaxation policy continues to be effective along with the 2% VAT reduction policy for goods and services groups and many support promotion programs and tourism exhibitions are organized.
According to Ms. Mien, these factors will be the driving force for investors to speed up progress and "pump" supply into the market. The possibility that resort real estate supply will have a chance to improve by about 20% compared to 2023.
Assessing the potential of real estate segments in the coming time, Mr. Mauro Gasparotti - Director of Savills Hotels said that the resort real estate market is recording many positive signs as demand is gradually recovering. at a steady pace, including domestic and international tourist markets, thereby helping to strengthen confidence in the resort industry. Besides, many resort real estate projects are in the process of restarting over the past few months.
Mr. Mauro Gasparotti said, with the advantage of connection infrastructure and diversity of tourism products and accommodation options, the city. Da Nang is expected to continue leading the recovery process. Destinations that are familiar to domestic tourists such as Quy Nhon or Phu Yen also have more and more projects being planned, and these localities are also focusing on developing transport infrastructure and accommodation products. high-end to attract more international visitors.
“It is forecast that by the second quarter of 2024, there will hardly be a sudden surge in resort real estate transactions. After this milestone, the market will improve thanks to the State's moves to remove legal problems through amending a number of laws" - Mr. Mauro Gasparotti commented.
Meanwhile, the luxury and high-end hotel market in the city. Ho Chi Minh is expected to maintain its competitive advantage in the next few years because new supply is still limited. This is a pity because the city. Ho Chi Minh still needs more diverse types of accommodation products to meet the needs of many different types of guests.
“For hotels and serviced apartments, the market recorded an increase in the number of projects in the planning process in the Hanoi market. Besides, the mid-high-end hotel segment also recorded quite good growth rates in locations adjacent to industrial parks" - said Mr. Mauro Gasparotti.
Regarding resort products, tourists are increasingly interested in and have higher requirements for resort elements combined with health care and sustainable development. Thereby, this trend of integrating with models such as onsen or therapeutic tourism is increasingly being developed by many investors. The luxury segment continues to receive a lot of attention from investors.
In addition, Director of Savills Hotels also realized that the merger and acquisition market is quite vibrant. In addition to operating projects with stable cash flow, a number of previously delayed or unfinished projects are also in the process of being transferred to new investors to continue developing and completing the project. judgment.
Dao Vu (Th)
