Townhouse and villa prices increase despite decreased transactions, experts say surprising things

Báo Dân tríBáo Dân trí17/08/2024


According to the report on housing and real estate market in the second quarter just announced by the Ministry of Construction, the selling prices of villas and townhouses in projects all tend to increase compared to the previous quarter. The "hot" price increase in the apartment market has also had an impact, leading to an increase in the prices of individual houses, townhouses in projects and houses in existing residential areas.

This ministry stated that according to a survey, some areas of the two big cities of Hanoi and Ho Chi Minh City had increased price fluctuations in the second quarter.

In Hanoi, the average selling price of some projects increased compared to the previous quarter, such as: Iris Garden (Nam Tu Liem) increased by about 7.7% (to 242.7 million VND/m2), Vinhomes Riverside (Long Bien) increased by about 9.4% (to 244.7 million VND/m2), Rue De Charme (Thanh Tri) increased by about 9.3% (to 259.9 million VND/m2), HUD Me Linh Central (Me Linh) increased by about 8.4% (to 53.1 million VND/m2), Co Nhue urban area (Bac Tu Liem) increased by about 8.8% (to 232.5 million VND/m2)...

According to a recent report by Savills, villas and townhouses in Hanoi are recovering slowly in terms of both liquidity and supply. In the second quarter, the market had more than 600 units from 16 projects, down 9% quarter-on-quarter and 24% year-on-year. Of these, villas are the dominant type.

The second quarter recorded 54 new villas for sale in Ha Dong district and 12 new townhouses in Hoai Duc district. However, the townhouse and villa segment only had more than 110 units traded, down 40% compared to the previous quarter.

Giá liền kề, biệt thự tăng dù giao dịch giảm, chuyên gia nói điều bất ngờ - 1

Despite a sharp drop in transactions, prices of townhouses and villas are still increasing (Photo: Duong Tam)

Ms. Do Thu Hang - Senior Director, Consulting and Research Department, Savills Hanoi - said that the villa and townhouse segment in Hanoi is performing poorly because prices are fixed at high levels while liquidity is low. The high price of villas and townhouses has a great impact on investment decisions and market liquidity.

In the first 6 months, the primary price of villas in projects increased by 9%, reaching VND178 million/m2 of land. Similarly, the price of shophouses also increased by 3% quarter-on-quarter, reaching VND288 million/m2 of land. The townhouse type reached VND188 million/m2, a slight decrease because the high-priced units were sold out, leaving only lower-priced products. Meanwhile, neighboring markets still have new supply at competitive prices, stimulating more demand.

Speaking with Dan Tri reporter, Mr. Le Dinh Chung - member of the Market Working Group of the Vietnam Association of Realtors (VARS) - said that after a period of adjustment in the prices of townhouses and villas, prices have rebounded at the beginning of this year.

At that time, the price level was not too high, so the transaction volume was very good. By April and May, many investors felt that the price was too high, so they temporarily stopped buying for fear of getting caught up in "virtual fever". Since then, the liquidity of this segment has decreased. However, the price of townhouses and villas has continued to increase until now.

Explaining the recent price increase, Mr. Chung said that the supply of townhouses and villas has been scarce for many years but investment demand has always been high. This has caused an imbalance in supply and demand, causing prices to increase. In addition, since August 1, the three laws on real estate have taken effect, so the increase in taxes and land valuation has affected the prices of townhouses and villas.

Commenting on the price of townhouses and villas in the next 1-2 years, Mr. Chung said that they will continue to increase. However, the price increase will be more comfortable, not "shocking" like the beginning of this year.



Source: https://dantri.com.vn/bat-dong-san/gia-lien-ke-biet-thu-tang-du-giao-dich-giam-chuyen-gia-noi-dieu-bat-ngo-20240817020416880.htm

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