Real estate credit shows signs of 'acceleration'

In the first 10 months of 2025, credit growth in the entire banking system reached its highest level in 5 years. Capital flows mainly into the production and business sectors, in which real estate credit shows signs of "acceleration".

Investment and construction progress improves, but real estate still "attracts" capital

Previously, a representative of the State Bank of Vietnam (SBV) said that the growth rate of outstanding real estate loans in recent times was consistent with market developments as many projects were being re-implemented and investment and construction progress was improving.

According to Mr. Pham Chi Quang, Director of the Monetary Policy Department, State Bank of Vietnam, in the past 10 months, the banking system has pumped an additional VND2.1 million billion into the economy . With this credit growth rate and the credit target to support economic growth, credit growth in 2025 could reach 19-20%. As of September 29, outstanding credit of the whole system reached VND17.71 million billion, an increase of nearly 13.4% compared to the end of 2024.

The recent consolidated financial reports for the third quarter of 2025 of banks with large lending scale show that real estate continues to play the key role of "driver" in credit growth.

For example, at VPBank , real estate business accounts for a large proportion of the bank's total outstanding loans, up to 22.97%. At MB, real estate business accounts for 10.42% of the bank's total outstanding loans, only behind a number of sectors such as: Wholesale, retail, repair of cars, motorbikes and other motor vehicles and Processing and manufacturing industry...

Ms. Do Thu Hang, Senior Director, Research and Development, Savills Hanoi .

Speaking to reporters of Tin Tuc and Dan Toc newspaper, Ms. Do Thu Hang, Senior Director, Research and Development Department, Savills Hanoi, said that recently, the Government and ministries and branches have made great efforts to issue policies and directives to clear the supply source, helping people to access housing at more suitable prices.

For example, the Hanoi apartment market in the third quarter of 2025 continued to witness a strong recovery, supported by strong infrastructure improvements, planning reforms and strong demand. Accordingly, new supply in the quarter reached more than 6,300 units, and the total for the first 9 months of the year reached more than 20,000 units. "This is an impressive number compared to the Ho Chi Minh City market," said Ms. Do Thu Hang.

Savills experts predict that in the last months of the year, the Vietnamese market will welcome a new supply of 8,900 apartments. In the next 2 years, the number of apartments handed over will be abundant, mainly mid-range apartments, luxury apartments will continue to increase, but affordable apartments will not be able to improve.

Many loan packages for home buyers

Many economic experts recommend continuing to remove legal obstacles, expand supply sources and improve preferential credit policies. Photo: VNA

Home loan interest rates in early October 2025 did not fluctuate much, mainly ranging from 5.5 - 6.5%/year.

For young customers, banks have preferential interest rates; including HDBank with a loan interest rate of 3.5%/year for the first 3 months, 6.5%/year for the first 12 months, and 7.5%/year for the first 24 months. When the fixed interest period mentioned above expires, the bank will float the interest rate with a margin of 4%, fluctuating around 11%/year.

LPBank has a loan package with a scale of 5,000 billion VND, starting interest rate from only 3.88%/year in the first 3 months. Customers can borrow 100% of capital needs, maximum loan term of 35 years, principal grace period of 24 months.

MSB has launched a preferential home loan package for young people with interest rates starting from only 4.5%/year fixed for the first 6 months. The loan limit is high, up to 80% of the collateral value or 95% of the total loan plan. In particular, customers are given a principal grace period of up to 24 months and a free incentive for early repayment of principal up to 100 million VND/month.

The Big 4 group also has preferential interest rates for young people. In particular, Agribank offers a loan program with a fixed interest rate of 5.5%/year for the first 3 years. Customers can borrow up to 75% of their capital needs when mortgaging the assets formed from the loan capital. In particular, in cases where there are other collateral assets other than the assets formed from the loan capital, customers can borrow up to 100% of their capital needs. The maximum loan term is 40 years. Customers are exempt from paying the principal for up to the first 60 months, helping to reduce the initial debt repayment pressure.

According to Ms. Do Thi Thu Hang, regarding home loan interest rates, for high-end commercial housing products, buyers will have to carefully consider their financial capacity and purpose of use. Meanwhile, for the group of customers who need support, adjusting credit policies is very necessary to reduce the pressure of borrowing to buy.

“When interest rates are adjusted appropriately, buyers, investors and lenders all benefit, helping the market develop more harmoniously. It is important to diversify solutions and expand supply to suit each target group,” said Senior Director, Research and Development, Savills Hanoi.

According to Ms. Do Thu Hang, the real estate market sentiment has clearly improved after a period of concern about the new US tariff policy. Savills also noticed that confidence has returned when policies and directions on tariffs have become clearer. This confidence is clearly shown through the developments of industrial real estate in recent times. Savills recorded that the industrial land rental capacity is currently at about 88%, continuing to maintain at a high level, although the new rental area has slowed down somewhat. This makes investors and developers less pressured to reduce rental prices...

Mr. Neil MacGregor, General Director of Savills Vietnam, commented: Currently, important foundations for the growth of the Vietnamese real estate market have been established. Vietnam has amended the new Land Law, Housing Law and Real Estate Business Law... to create a legal framework for healthier and more sustainable development.

“Therefore, the management agency can speed up project licensing, reduce supply pressure and bring new products to the market. This is an important premise to maintain stable growth, control price increase and move towards sustainable development of the Vietnamese housing market,” said the General Director of Savills Vietnam.

The Vietnamese real estate market is entering a new growth cycle. In 2025, in addition to legal regulations gradually being realized and put into practice, the monitoring and regulation activities of State management agencies will gradually become stricter to ensure the market develops on the right track. The economy is forecast to develop stably, and infrastructure is increasingly invested synchronously, which will contribute significantly to promoting real estate growth.

At the same time, new trends such as smart cities, the application of artificial intelligence to real estate technology platforms and sustainable development are gradually shaping the market. Affordable housing is also one of the key orientations, with support from mechanisms to promote public-private cooperation and enhance comprehensive development.

Dr. Le Xuan Nghia, Member of the Prime Minister's Policy Advisory Council:
Transfer cash flow into social housing and low-cost housing

Outstanding debt is currently at about VND4 trillion, accounting for about 24% of the total outstanding debt of the entire system, not at a high level compared to many developed countries, up to 40%. The fundamental solution is to direct credit capital flow reasonably, targeting the social housing segment, low-cost housing, instead of pouring it into speculation or high-end projects.

To do this, Vietnam should remove legal obstacles, expand supply and improve preferential credit policies. Currently, the 145,000 billion VND loan package for social housing is disbursed slowly due to few projects, difficult loan conditions and high interest rates, so it needs to be adjusted to promote efficiency quickly.

Source: https://baotintuc.vn/kinh-te/tin-dung-bat-dong-san-co-tin-hieu-tang-toc-20251107012438049.htm