Apartment transactions increase, housing market enters new cycle

Apartment transactions increased again in the first months of the year but only focused on the high-end apartment segment - Photo: NAM TRAN

Many experts believe that the above signals show that the real estate market is entering a recovery cycle. Apartment consumption in the first quarter of this year also recorded an increase of 124% compared to 2023, reaching 3,700 units, of which 74% came from the high-end segment.

Hanoi apartment market shows clear signs of recovery

Records in Hanoi in recent months show that many apartment projects have been launched on the market, with selling prices mostly ranging from 50-70 million VND/ ^m2 .

Specifically, the selling price at many projects (excluding VAT) at the projects: Lumi Hanoi is about 66 million VND/ ^m2 ; Trinity Tower selling price ranges from 41.6 - 55.8 million VND/m2; TSQ Mo Lao from 49.2 - 54.8 million VND/m2; The Sakura selling price ranges from 45.2 - 65.6 million VND/m2; Masteri West Heights selling price ranges from 58.7 - 75.2 million VND/m2; Heritage West Lake selling price ranges from 85.7 - 155.3 million VND/ ^m2 ...

In addition, in the past month, a series of luxury apartment projects have started selling such as: QMS Top Tower, Lumiere EverGreen (buildings A1, A2, A3); The Sola Park (buildings G1, G3) with selling prices of over 50 million VND/ ^m2 depending on location.

Data from the OneHousing Center for Market Research and Customer Insights also shows clear signs of recovery in the Hanoi apartment market. New supply in Hanoi increased for the fifth consecutive quarter, with the first quarter of 2024's supply increasing 3.6 times compared to the first quarter of 2023.

Apartment consumption in the first quarter of this year also recorded an increase of 124% compared to 2023, reaching 3,700 units, of which 74% came from the high-end segment.

The Ministry of Construction also said that in the first quarter of 2024, the total number of successful real estate transactions nationwide increased compared to the same period last year, reaching 133,512 transactions (in the first quarter of 2023, there were only 109,066 transactions), including 35,853 transactions of apartments, individual houses and 97,659 land transactions.

The Ministry of Construction believes that the apartment market continues to attract the attention of groups with real housing needs and medium and long-term investors.

Market recovery is not sustainable

Speaking to Tuoi Tre Online, Mr. Dinh Minh Tuan, director of Batdongsan.com.vn in the southern region, commented that the real estate market is recovering locally, especially in the Hanoi market where prices on the secondary market and high-end apartment projects have increased. The average price of apartments has increased because high-end projects that have just been launched are offering high prices, causing the average price of the whole market to increase.

Speaking with Tuoi Tre Online , Mr. Nguyen Duc Lap, director of the Institute for Real Estate Research and Training, also said that with high input land costs (due to having to go through land use rights auctions and land use project bidding), coupled with the scarcity of market supply, investors will only focus on developing the high-end apartment segment to maximize profits.

"To regulate the market, the State needs to promote the rapid development of social housing supply to balance housing supply and demand in the market. Currently, many people in need of housing are struggling to buy high-priced housing because they do not have affordable housing options," Mr. Lap added.

Source: https://tuoitre.vn/giao-dich-chung-cu-tang-thi-truong-nha-o-buoc-vao-chu-ky-moi-20240623154707753.htm