According to Bnews, the apartment segment is leading the Hanoi real estate market. This is information recorded at the seminar "Cash-Home real estate: Apartment segment leads the Hanoi market in 2024".
Assessing the market, Mr. Nguyen Van Dinh, Vice Chairman of the Vietnam Real Estate Association, said that products priced at 3 billion VND or less are sought after by many people. The products that people are most interested in are apartments and land; Prices and transaction levels in densely populated areas and industrial parks increased sharply by about 20%.
Among them, the residential real estate segment is also more bustling, with housing transaction prices of about 3-5 billion VND attracting a lot of attention from customers. The industrial real estate segment is also starting to bustle, but the resort real estate segment has not seen growth.
Recently, there were 8.000 apartments for sale nationwide, with 3.000 apartments for sale in Hanoi alone. The apartment index in Hanoi market increased sharply by about 48% compared to the first quarter of 2019. This is a prosperity and more vibrant growth of the real estate market.
The apartment segment is leading the Hanoi real estate market. Illustration photo from the internet
According to Dr. Vu Dinh Anh, former Deputy Director of the Price Market Research Institute, monetary policies directly impact the real estate market. Normally, real estate is only used for residential purposes, so it will not generate cash flow. Currently, the investment channel chosen by many people is real estate for rent, especially for foreigners to rent at high prices and then rent somewhere else to live.
For the concept of housing - cash flow, first there must be someone who owns it, does not use it but exploits it by renting it out, creating a source of income. One of the most popular and chosen segments at this time is apartments. In fact, in the current real estate market, many people have withdrawn their savings from banks to invest in real estate, waiting for prices to increase and selling in the form of investment and speculation. Another form that needs to be developed is owning real estate and renting it.
“Cash-home (a product line specifically designed for new generation investment) already exists and will develop, coming here is not just the office real estate segment, the industrial real estate segment, The resort real estate segment will be the rental apartment segment" - Dr. Vu Dinh Anh affirmed.
In the current context of real estate prices increasing dramatically, especially the apartment segment in Hanoi, Mr. Pham Thanh Hung, Vice Chairman of the Board of Directors of Cen Group, said that this is a correction. necessary adjustments, especially when the real estate market has recently encountered many difficulties in terms of supply, legality, market as well as the breakdown of the financial system... which has caused investors to have a terrible crisis. about money.
“According to the financial report of the first quarter of 2024, the amount of money lying in commercial banks is about 18 million billion VND that cannot be disbursed. Commercial banks had to lower interest rates to 5-6%, which is unprecedented in recent years. However, when interest rates decreased, investing and exploiting real estate created a positive cash flow. Therefore, real estate rental money can compensate for bank loan interest" - Mr. Hung analyzed.
Nowadays, many people are willing to buy apartments to rent, then use the money to rent another house in the same area to live. That shows that apartment real estate is generating a very good cash flow. This is also one of the factors causing this type of apartment complex to increase in price the highest in the past 20 years. Dr. Tran Xuan Luong, Deputy Director of the Vietnam Real Estate Market Research and Evaluation Institute, emphasized that the behavior of consumers and home buyers has changed with the trend of the "rising" apartment segment. ”.
Up to now, this type of apartment has been used mainly for residential purposes, with only about 15% being used for business and rental purposes. However, consumer culture has now changed, because of the convenience and convenient location of apartments. This is a segment that has attracted customers recently.
Currently, the market does not have many products that can replace apartments. Apartment price increases at this time are relatively balanced compared to supply and demand and there will certainly be adjustments.
Apartments are still a potential segment
According to the newspaper Labor, a number of reports from recent market research units continuously mention the issue of scarcity of affordable apartment supply. The scarcity of supply makes it difficult for apartment prices to decrease, or even increase sharply.
Market report data from the Vietnam Real Estate Brokers Association (VARS) shows that in 2023, the supply of commercial housing real estate is still very scarce. Total supply reached about 55.329 products, only 32% compared to 2018 - the time before the Covid-19 epidemic.
Mr. Hoang Hai, Director of the Department of Housing and Real Estate Market Management (Ministry of Construction), said that the market in 2023 has many problems such as poor purchasing power, lack of supply, inappropriate structure, and lack of segmentation. suitable for people with low income, capital sources for real estate and bond issuance also have many barriers.
VARS said that although the supply of low-cost apartments has decreased, transactions are on the rebound. In 2023, the absorption rate across the market will reach 33%, equivalent to about 18.600 products, with successful transactions approximately equal to the total number of housing transactions in 2022.
Ms. Trinh Thi Kim Lien - Sales Director of DXS - FERI commented that the real, affordable housing segment will continue to lead the market in 2024. Ms. Lien said that the market demand is still quite large, the Housing projects located in favorable locations and at reasonable prices will have the most advantages. Buyers are still looking forward to having more new affordable products to buy.
Sales Director DXS - FERI expects that by 2024, with the participation of a number of new businesses and long-standing businesses in the market to develop products to meet real needs, the market will recover its health. clear bridge. However, the supply is still small compared to the huge demand.
Dao Vu (Th)
