Many real estate businesses returning to operation is a signal that the market is gradually recovering.
According to the General Statistics Office, as of August 31, 8 out of 17 industries nationwide recorded an increase in the number of newly registered enterprises compared to the same period in 2023. This includes the real estate industry with an increase of 2.24%.
Not only that, in the past 8 months, the real estate market has welcomed 370 businesses back to operation. In August 2024 alone, the number of companies re-entering the market was 52. The above figures show that the real estate industry is gradually improving.
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| Large urban areas on the outskirts of Hanoi are making the real estate market in the North more vibrant. Photo: Vinhomes Co Loa |
In all three regions, many new real estate projects are simultaneously launched on the market, of which the most exciting is in the Northern region. Some prominent names include Vinhomes Co Loa (Hanoi), The Senique (Hanoi), The Wisteria (Hanoi), Sun Urban City (Ha Nam), Vinhomes Royal Island (Hai Phong), Golden Crown (Hai Phong)...
In the Central region, there are projects such as Sun Ponte Residence (Da Nang), Sun Symphony Residence (Da Nang), Gran Mélia (Nha Trang)... In the Southern region, many projects are also bustling to organize kick-off or open for sale, such as D-Homme apartments (HCMC), Lavida Plus (HCMC), Eaton Park (HCMC), The Opus One (HCMC), Uni Complex (Binh Duong), Green Emerald (Binh Duong), Orchard Hill (Binh Duong)...
Not only is the supply being strongly supplemented, demand in the market is also witnessing a clear upward trend. According to the second quarter 2024 report of the Ministry of Construction, the total real estate transaction volume reached 150,876 transactions, an increase of 13% compared to the previous quarter and an increase of about 55% compared to the same period last year.
In addition, according to the report of the Ministry of Construction, the amount of real estate inventory has also decreased significantly. In the second quarter of 2024, the amount of unsold products calculated in 60/63 provinces and cities was 17,105 units (including apartments, individual houses, and land). This number is lower than the 23,029 units in the first quarter of 2024 (calculated in 56 localities) and 16,688 units in the second quarter of 2023 (calculated in 17 localities).
In terms of segment, apartments are still the main type, dominating the market liquidity. The low-rise and land segments have also begun to recover positively. 
Ms. Pham Thi Mien, Deputy Head of Market Research and Investment Consulting and Promotion Department of Vietnam Real Estate Brokers Association
Assessing the current market situation, Ms. Pham Thi Mien, Deputy Head of Market Research and Investment Promotion and Consulting Department of Vietnam Association of Realtors (VARS), said that the market recovery process is showing strong differentiation between segments in different localities.
“Accordingly, in terms of segment, apartments are still the main type, dominating the market liquidity. The low-rise and land segments have also begun to recover positively, when some projects, mainly in the Central region and beyond, recorded quite good sales and transfer transaction results,” Ms. Pham Thi Mien shared.
In terms of regions, segments such as land, villas, apartments, etc. in the North continue to record impressive growth results. The Central region, including Da Nang, Nha Trang, Nghe An, has begun to see positive changes in the high-rise segment in the primary market and cash flow products in the secondary market.
“Meanwhile, the recovery process in the Southern market is showing unevenness, with supply trickling in, mainly coming from the next sales phase of old projects,” said Ms. Mien.
August 2024 is also the time when the three real estate laws come into effect. According to Dr. Can Van Luc, Chief Economist of BIDV, the new laws will remove difficulties and legal problems for many projects. Among them, the most prominent issues expected to be resolved are land valuation, site clearance, resettlement, etc. These are important premises for the development of the market in the new period.
According to the report of An Binh Securities Company (ABS), as of August 2, the business results of the second quarter of 2024 of the real estate group on the stock exchange were somewhat better. Accordingly, the total profit after tax of the companies reached more than 13,300 billion VND, an increase of 4.2% compared to the first quarter of 2024. Of which, Vinhomes is still the main force with quarterly profit reaching 10,600 billion VND.
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