Real Estate Briefing: Ho Chi Minh City Revenue Rises as Social Housing Expands and Interest Rates Weigh on Demand
The real estate market is seeing notable developments in Ho Chi Minh City, Hanoi and several other localities. In Ho Chi Minh City, real estate business revenue reached VND 322.63 trillion in the first nine months of the year, up 8.4% year on year. However, slow liquidity and high capital costs are prompting 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. MBS forecasts that the real estate absorption rate in the second half of the year may reach only about 40-50%, 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, adding pressure on homebuyers and homeowners seeking to refinance.
The social housing segment remains a major focus. The selling price of social housing in Long Truong has been set at nearly VND 24.5 million per square meter, while the rent has been reduced by nearly VND 13,000 per square meter per month from the previous provisional estimate. The HUD Thu Duc social housing project in Hiep Binh Ward includes 209 apartments, with a provisional selling price of more than VND 30.7 million per square meter, and is expected to begin accepting applications in the fourth quarter. The Government has also assigned Khanh Hoa to develop 7,343 social housing and rental housing units during the 2026-2030 period. Meanwhile, more than 1,100 apartments at the 4S Linh Dong condominium have had their certificate issuance problems resolved after more than a decade of delays. In Hanoi, more than 6,000 square meters of land near Vinh Tuy Bridge will be converted for the UDIC Riverside 2 residential and service complex. The 8.2-hectare Ky Hoa urban area in Hoa Hung Ward has also been proposed for rezoning into a high-rise residential complex connected to the metro system.
In other developments, Nui Chua - Phuoc Binh National Park announced the leasing of forest environments at seven locations, covering more than 870 hectares, for tourism activities. Ecopark was honored as a Leading Enterprise Brand in the private economic sector for its green and sustainable urban development strategy. Sun Urban City allocates about 82% of its area to greenery, water surfaces and amenities, while Phat Dat introduced the 39-storey Q’Terra coastal tourism apartment tower in Nam Quy Nhon. CityLand Group has also expanded into Hanoi with The President Park, a high-end villa project in Dai Mo Ward. At the same time, homes featuring distinctive spatial solutions, including a house of more than 1,000 square meters that records time through sunlight and shadows, a 500-square-meter house oriented toward nature, and a 20-square-meter house with rotating functions on each floor, highlight the diversity of contemporary design. The Government Inspectorate also identified numerous shortcomings in the management of public houses and land in Da Nang, including incomplete records, vacant land, encroachment and improper use.
The social housing segment remains a major focus. The selling price of social housing in Long Truong has been set at nearly VND 24.5 million per square meter, while the rent has been reduced by nearly VND 13,000 per square meter per month from the previous provisional estimate. The HUD Thu Duc social housing project in Hiep Binh Ward includes 209 apartments, with a provisional selling price of more than VND 30.7 million per square meter, and is expected to begin accepting applications in the fourth quarter. The Government has also assigned Khanh Hoa to develop 7,343 social housing and rental housing units during the 2026-2030 period. Meanwhile, more than 1,100 apartments at the 4S Linh Dong condominium have had their certificate issuance problems resolved after more than a decade of delays. In Hanoi, more than 6,000 square meters of land near Vinh Tuy Bridge will be converted for the UDIC Riverside 2 residential and service complex. The 8.2-hectare Ky Hoa urban area in Hoa Hung Ward has also been proposed for rezoning into a high-rise residential complex connected to the metro system.
In other developments, Nui Chua - Phuoc Binh National Park announced the leasing of forest environments at seven locations, covering more than 870 hectares, for tourism activities. Ecopark was honored as a Leading Enterprise Brand in the private economic sector for its green and sustainable urban development strategy. Sun Urban City allocates about 82% of its area to greenery, water surfaces and amenities, while Phat Dat introduced the 39-storey Q’Terra coastal tourism apartment tower in Nam Quy Nhon. CityLand Group has also expanded into Hanoi with The President Park, a high-end villa project in Dai Mo Ward. At the same time, homes featuring distinctive spatial solutions, including a house of more than 1,000 square meters that records time through sunlight and shadows, a 500-square-meter house oriented toward nature, and a 20-square-meter house with rotating functions on each floor, highlight the diversity of contemporary design. The Government Inspectorate also identified numerous shortcomings in the management of public houses and land in Da Nang, including incomplete records, vacant land, encroachment and improper use.