Demand for apartment rentals in Ho Chi Minh City is gradually recovering

In the first 5 months of 2024, according to statistics from Batdongsan.com.vn, the demand for apartment rentals in Ho Chi Minh City is showing signs of positive recovery.

In the first quarter of 2024 alone, the number of searches for apartments in Ho Chi Minh City increased by 29%. The number of searches for rental houses in the same area increased by 33% compared to the same period last year. This shows that the demand for renting houses and apartments in the city is showing signs of increasing again.

Demand for apartment rentals in Ho Chi Minh City increased again in the first months of 2024 (Photo TL)

In terms of geographical location, the areas of Binh Thanh, Tan Phu, Binh Tan, and District 7 are experiencing higher demand for apartment rentals than before, increasing by an average of 41% - 55% compared to the previous quarter 4/2023.

Explaining the reason for the above situation, PropertyGuru's consumer sentiment trend report said that high house prices and difficult economic conditions caused people to shift to renting houses in the first half of 2024.

The most sought-after type of real estate by renters is apartments, followed by houses and boarding houses. Only a small number are interested in townhouses for rent.

According to PropertyGuru, the fact that apartment prices in Ho Chi Minh City are many times higher than the average income of people has made renting an apartment a more suitable choice for many people here.

The increasing trend of searching for rental houses has caused the general rental price to increase in Ho Chi Minh City. In the inner city, the rental price has increased from 500,000 - 1,000,000 VND/month.

However, despite the increase in apartment rental prices, according to batdongsan.com.vn, the profit margin for apartment rentals in Ho Chi Minh City is still low compared to other localities. The average profit margin for apartment rental investments in Ho Chi Minh City is only 3.9%, while in Hanoi it is 4.1% and in some neighboring provinces it is 4.7-6%. This shows the increasing gap between selling and renting prices of apartments in Ho Chi Minh City and neighboring areas.

Source: https://www.congluan.vn/nhu-cau-thue-chung-cu-tai-tp-hcm-dang-dan-hoi-phuc-post298650.html