At the event, experts commented that Vietnam is emerging as a market with higher growth potential than many economies in the region. With an economic growth rate maintained at around 7-8%, strong FDI inflows and large-scale investment in urban infrastructure, Vietnam is considered a suitable destination for the expansion trend of Korean investors. Major changes in the legal framework from August 2024 also contribute to improving the trading environment, creating conditions for foreign investors to own apartments with a term of up to 50 years and can be extended.
Ms. Denise Pham (KOVIRE), representative of the Vietnamese market, said that large cities such as Hanoi and Ho Chi Minh City are forming new growth poles associated with smart urban areas, financial-commercial centers and strategic infrastructure axes. She said that a number of high-end projects are being introduced at the conference, attracting significant attention from Korean investors thanks to their high liquidity and stable rental demand from foreign experts.
In an interview on the sidelines of the event, Dr. Eric Park commented that Korean investors have faced many failures in the past when investing abroad, causing a cautious mentality to still exist. However, he believes that these experiences are helping Korean investors to be more cautious and effective when approaching foreign markets. “Now is the time to seize opportunities based on lessons from previous failures. I expect that interest in foreign investment will continue to expand through seminars like this,” he said.
Comparing the Vietnamese market with China and South Korea, Dr. Eric Park assessed that Vietnam has outstanding growth prospects. He said that the Chinese real estate market has gone through a long period of growth but is currently facing many economic uncertainties, while the growth rate of South Korea is only around 2%. “The Vietnamese real estate market, with economic growth maintained at 7-8%, is expected to develop strongly in the coming time. Considering market cycle factors, Vietnam is in the early stages of the price increase cycle and this stage usually lasts from 2 to 5 years,” he commented.
However, Dr. Park also pointed out the challenges that Korean investors face, the biggest of which is the slow progress in granting pink books. However, he said that this difficulty is structural in the legal process and will be improved when the new regulations come into full operation.
Referring to the experience from Korea, Dr. Park said that Vietnam’s real estate market will need to prepare management measures to avoid overheating in the future, especially when domestic and international investment demand is increasing rapidly. “Vietnam is growing very quickly, and if we look at what Korea has experienced, it can be predicted that Vietnam will also face pressure to control the market when the heat increases,” he said.
Concluding the conference, Mr. Hwang Soon Cheol, CEO of Cloud, emphasized that Vietnam is becoming one of the three strategic pillars of the foreign investment portfolio of Korean investors, along with the US and Japan. He said that Cloud will continue to expand its partner network and presence in Vietnam to provide transparent information and appropriate investment strategies to Korean investors in the context of the Vietnamese market continuing to expand in a sustainable direction.
Strong interest in Vietnamese real estate is expected to increase in the coming time as many new legal policies are implemented and key infrastructure projects enter the operational phase.
Source: https://baotintuc.vn/bat-dong-san/viet-nam-noi-len-nhu-tam-diem-moi-cua-nha-dau-tu-bat-dong-san-han-quoc-20251207153347924.htm
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