The real estate market is facing clear pressure from high interest rates and elevated financing costs. MBS Securities forecasts that the property absorption rate in the second half of the year may reach only around 40 to 50%, down 10 percentage points year on year, as high interest rates continue to weigh on purchasing power. In the United States, the 30 year mortgage rate rose to 7.28%, its highest level in three years, putting pressure on homebuyers and homeowners seeking to refinance. In Vietnam, slow liquidity and high capital costs have prompted some investors in Ho Chi Minh City and the former Binh Duong area to put apartments up for sale, accepting lower profit expectations to recover capital. Nevertheless, real estate revenue in Ho Chi Minh City reached VND 322.63 trillion in the first nine months of the year, up 8.4% year on year.
In project development, local authorities and businesses are stepping up preparations for land funds, housing and resort real estate. Hanoi has approved the conversion of more than 6,000 square meters of land near Vinh Tuy Bridge for the UDIC Riverside 2 housing and service complex. Hai Phong plans to prioritize investment attraction for 52 housing projects with a total scale of approximately 2,000 hectares by 2030. CityLand Group has introduced The President Park, a high end villa project in Dai Mo Ward, Hanoi, while Phat Dat has introduced Q’Terra, a 39 storey beachfront tourism apartment tower in Nam Quy Nhon, Gia Lai Province. BIM Group is studying investment opportunities in resort tourism, urban development and services in Moc Chau. TH Group has proposed a 960 hectare marine eco tourism complex in eastern Dak Lak, with expected capital of VND 28 trillion. Vinhomes is also expected to raise the total investment in its urban project along Cam Ranh Bay from VND 85.3 trillion to VND 194 trillion.
Infrastructure remains a key market driver, particularly in northeastern Ho Chi Minh City, where the expansion of National Highway 13, the Ho Chi Minh City to Chon Thanh expressway, the metro system and ring roads are expected to create more room for urban development. At the same time, the Government has proposed adding three cases in which the State may recover land for socioeconomic development, including rental housing projects. Experts have also proposed allowing overseas Vietnamese to directly register inherited land use rights. Alongside planning and legal developments, architecture news highlights designs focused on personalization and space efficiency, including a 20 square meter house with functions rearranged on each floor, a 50 square meter house within a multigenerational family compound, and a 500 square meter house closed on two sides for privacy while opening views toward nature. The Government Inspectorate also identified numerous problems in the management of public houses and land in Da Nang, including incomplete records, vacant land, encroachment and improper use.
In project development, local authorities and businesses are stepping up preparations for land funds, housing and resort real estate. Hanoi has approved the conversion of more than 6,000 square meters of land near Vinh Tuy Bridge for the UDIC Riverside 2 housing and service complex. Hai Phong plans to prioritize investment attraction for 52 housing projects with a total scale of approximately 2,000 hectares by 2030. CityLand Group has introduced The President Park, a high end villa project in Dai Mo Ward, Hanoi, while Phat Dat has introduced Q’Terra, a 39 storey beachfront tourism apartment tower in Nam Quy Nhon, Gia Lai Province. BIM Group is studying investment opportunities in resort tourism, urban development and services in Moc Chau. TH Group has proposed a 960 hectare marine eco tourism complex in eastern Dak Lak, with expected capital of VND 28 trillion. Vinhomes is also expected to raise the total investment in its urban project along Cam Ranh Bay from VND 85.3 trillion to VND 194 trillion.
Infrastructure remains a key market driver, particularly in northeastern Ho Chi Minh City, where the expansion of National Highway 13, the Ho Chi Minh City to Chon Thanh expressway, the metro system and ring roads are expected to create more room for urban development. At the same time, the Government has proposed adding three cases in which the State may recover land for socioeconomic development, including rental housing projects. Experts have also proposed allowing overseas Vietnamese to directly register inherited land use rights. Alongside planning and legal developments, architecture news highlights designs focused on personalization and space efficiency, including a 20 square meter house with functions rearranged on each floor, a 50 square meter house within a multigenerational family compound, and a 500 square meter house closed on two sides for privacy while opening views toward nature. The Government Inspectorate also identified numerous problems in the management of public houses and land in Da Nang, including incomplete records, vacant land, encroachment and improper use.