Daily Real Estate Briefing: Fourth-Quarter Transactions Expected to Improve as Major Projects Advance
The real estate market is seeing mixed developments in demand, rents and transactions. In Ho Chi Minh City, shophouses at the podiums of apartment buildings are gradually moving away from a period of vacancy as landlords proactively reduce rents, attracting households to open service and retail businesses. In contrast, primary apartment transactions in the third quarter fell by 72% to 83% year on year as high borrowing costs and sharply rising prices made buyers more cautious. Nevertheless, stronger homebuying demand, more abundant supply and demand stimulus policies are expected to support a more positive fourth quarter, with transactions potentially doubling. In Nha Trang, tenants continue to face difficulties as apartment rents have risen 30% to 40% compared with the beginning of the year. Meanwhile, Ho Chi Minh City has issued ownership certificates for 43,200 homes since the beginning of the year, while 13,949 applications are awaiting buyers’ payment of registration fees.
Regarding policies and planning, Ho Chi Minh City has proposed a charge equivalent to 1% of the transaction value for organizations and individuals making their first transfer of houses or land in TOD areas. The Government has also proposed placing 5% of the final payment for future homes into a safeguarded account, allowing buyers to earn interest. In Hanoi, a consortium of Vinhomes investors has been approved to raise capital for an international sports urban area of nearly 9,000 hectares, considered the largest in Vietnam by scale. Nearly 160 hectares of land in Long Thanh Ward, next to Long Thanh International Airport, are expected to be auctioned this year to support airport operations. In Hue, a plot of more than 6,700 square meters in the city center is set to be auctioned with a starting price of VND 281 billion for the development of a five-star hotel complex. A social housing project in Ba Diem Commune is also planned across nearly 192 hectares, including more than 7.5 hectares for commercial housing.
Among projects and products, Palm Heights residents in Palm City received the first batch of ownership certificates on October 21. Eco Retreat launched the low-rise Rung Hong subdivision with more than 300 products connected to major boulevards, a square and a commercial area. Lusso Saigon WorldHotels Residences is presented with international management and operations standards, an integrated amenity system and connections to National Highway 13 and the metro, targeting both end-user demand and long-term rental needs. Sun Urban City offers opportunities to generate rental income from specialists, local workers and weekend visitors, while Qtopia is developing a seaside weekend city model on a site of more than 7.3 hectares. Van Xuan Group is also preparing to launch nearly 800 Happy One Elite apartments in eastern Ho Chi Minh City.
Regarding policies and planning, Ho Chi Minh City has proposed a charge equivalent to 1% of the transaction value for organizations and individuals making their first transfer of houses or land in TOD areas. The Government has also proposed placing 5% of the final payment for future homes into a safeguarded account, allowing buyers to earn interest. In Hanoi, a consortium of Vinhomes investors has been approved to raise capital for an international sports urban area of nearly 9,000 hectares, considered the largest in Vietnam by scale. Nearly 160 hectares of land in Long Thanh Ward, next to Long Thanh International Airport, are expected to be auctioned this year to support airport operations. In Hue, a plot of more than 6,700 square meters in the city center is set to be auctioned with a starting price of VND 281 billion for the development of a five-star hotel complex. A social housing project in Ba Diem Commune is also planned across nearly 192 hectares, including more than 7.5 hectares for commercial housing.
Among projects and products, Palm Heights residents in Palm City received the first batch of ownership certificates on October 21. Eco Retreat launched the low-rise Rung Hong subdivision with more than 300 products connected to major boulevards, a square and a commercial area. Lusso Saigon WorldHotels Residences is presented with international management and operations standards, an integrated amenity system and connections to National Highway 13 and the metro, targeting both end-user demand and long-term rental needs. Sun Urban City offers opportunities to generate rental income from specialists, local workers and weekend visitors, while Qtopia is developing a seaside weekend city model on a site of more than 7.3 hectares. Van Xuan Group is also preparing to launch nearly 800 Happy One Elite apartments in eastern Ho Chi Minh City.