The scarcity of affordable apartments in Ho Chi Minh City has caused buyers with limited budgets to look to neighboring markets such as Binh Duong, Dong Nai, and Long An.
The scarcity of affordable apartments in Ho Chi Minh City has caused buyers with limited budgets to look to neighboring markets such as Binh Duong, Dong Nai, and Long An.
The real estate market in Ho Chi Minh City is facing a shortage of land, while project development costs are increasing. This forces investors to carefully consider the product segment selection to ensure minimum profits. In particular, if owning land in a strategic location and close to the center, investors tend to prioritize developing products in the mid- and high-end segments to optimize financial efficiency. Therefore, buyers who need to find affordable products are forced to move to areas further from the center.
“The scarcity of affordable apartments in Ho Chi Minh City has led buyers with limited finances to look to neighboring markets such as Binh Duong, Dong Nai and Long An. In these areas, apartment prices range from VND30-40 million/m2, creating strong attraction,” said Ms. Giang Huynh, Director of Research and S22M (Savills Ho Chi Minh City).
From another perspective, the average apartment rental yield in Binh Duong is currently 4.7%, far exceeding the 3.7% in Hanoi and 3.6% in Ho Chi Minh City.
Mr. Dinh Minh Tuan, Southern Regional Director of Batdongsan.com.vn, said that rental yields in Binh Duong are high, largely due to the high-end apartments here having moderate prices, while rental prices are high and occupancy rates are stable.
On average, each luxury apartment in Binh Duong can be rented for 10-12 million VND/month for a 1-bedroom apartment, 15-20 million VND for a 2-3 bedroom apartment. Meanwhile, if in Ho Chi Minh City or Hanoi, an apartment in the price range of 45-50 million VND/m2 can only be rented for about 7-12 million VND/month depending on the number of bedrooms, not to mention the increasingly fierce competition.
Faced with a strong wave of cash flow, real estate businesses in the suburbs of Ho Chi Minh City are speeding up legal procedures to bring projects to market soon. This trend not only demonstrates the acumen of investors, but also creates attractive opportunities for home buyers and investors in 2025.
Kim Oanh Group plans to launch a 27-hectare urban area in Binh Duong New City in the first quarter of 2025. This is the first project the company has cooperated with Surbana Jurong (Singapore) according to EDGE green standards, including 1,656 townhouses and 1,666 social apartments, priced from VND700 million/unit.
Phat Dat also plans to launch two large projects, Thuan An 1 & 2, in Binh Duong, with a total area of 4.46 hectares. Of which, Thuan An 1 (1.8 hectares) provides 2,604 apartments & shophouses, while Thuan An 2 (2.66 hectares) has 3,270 apartments and 16 townhouses. The projects are located on major roads such as Binh Duong Boulevard, Phu Loi and My Phuoc - Tan Van.
At the same time, An Gia Group will launch 3,000 The Gio Riverside apartments and 76 shophouses in Di An City (Binh Duong). The project is 3 hectares wide, located on the frontage of DT16 road, with optimal apartment design: 1 bedroom (40 m2, accounting for 10%), 2 bedrooms (65 m2 type, accounting for 80%), 2 bedrooms (75 m2 type, accounting for 10%).
Sharing about the opportunity to own a house, Mr. Phan Cong Chanh, a personal real estate investment expert, emphasized that owning a house requires a complete knowledge base and time to accumulate finances. Especially for young people who have just graduated from school, buying a house immediately is a challenge due to limited financial resources. Therefore, the process of financial accumulation is inevitable.
Buyers can look to financial assistance packages and use financial leverage to shorten the time of real estate ownership. However, this needs to be accompanied by reasonable planning to ensure long-term affordability.
In case you are not ready to buy a house, renting a house is a suitable and popular solution in many countries. This is the optimal choice to help young people have time to accumulate finances, while still ensuring living needs. Currently, the market has many good quality rental options, meeting the need for temporary accommodation.
“In general, home ownership is not just a purchasing decision, but also requires a smart financial strategy. Whether choosing to buy outright, rent a house or invest in real estate in any segment, each person needs to consider carefully based on their financial conditions and personal plans,” said Mr. Phan Cong Chanh.
Source: https://baodautu.vn/batdongsan/dong-tien-dau-tu-bat-dong-san-dich-chuyen-ra-vung-ven-d251209.html
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