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Houses in alleys keep their value, but customers still prefer to buy them

VTC NewsVTC News17/08/2023


According to a survey by Batdongsan.com.vn, the price of private houses located in alleys in Hanoi has not decreased but remained stable since the beginning of the year.

Accordingly, private houses in Dong Da district in the areas of Kham Thien, Thai Ha, Thinh Quang, Trung Tu, Kim Lien, De La Thanh, Trung Tu with an area of ​​25-40m2, in small alleys where cars cannot enter, still maintain the price of 3 - 4.8 billion VND/house.

With the above characteristics, the selling price of private houses in Thanh Xuan district in the areas of Khuong Trung, Khuong Dinh, Trieu Khuc, Nhan Chinh, Kim Giang... also has no significant fluctuations. The common price is still at 2.5-3.7 billion VND/unit. In particular, there are some houses that, in order to sell quickly, the owner reduces the price by 100-150 million VND/unit compared to the market level.

Houses in the alley still hold their value and attract many people's attention.

Houses in the alley still hold their value and attract many people's attention.

In Cau Giay district, the price of houses in alleys with an area of ​​25-40m2 in Yen Hoa, Trung Hoa, Dich Vong, Quan Hoa, Nghia Do, Nghia Tan, Mai Dich... still maintains the price range of 2.7-4.2 billion VND/house.

Private houses in Nam Tu Liem district in Me Tri, My Dinh, Trung Van, Phu Do areas... have prices ranging from 2.8 to 4.4 billion VND/unit. In Tay Mo and Dai Mo areas, prices range from 2.6 to 3.3 billion VND/unit. The few private houses in this area that sell for higher prices than the general level are because the owners have invested in renovation, repair, and interior design before putting them up for sale.

The selling price of private houses in Ha Dong district has also remained stable during the first 7 months of the year. Private houses in the areas of La Khe, Phu Lam, Duong Noi, Kien Hung, Yen Nghia, Ha Cau with an area of ​​30-40m2, cars cannot enter, the price ranges from 2 - 3 billion VND/house. Some areas further from the center such as Dong Mai, Bien Giang... the price is around 1.7 - 2.5 billion VND/house.

With the price level remaining the same, the house segment in the alley still has a stable number of customers. Explaining this, according to brokers, in the context of high apartment prices, around 40 million VND/m2, many people will tend to switch to buying houses in the alley. In addition, although the price is equivalent, townhouses have a longer-term accumulation value.

For over a month now, Tran Hong Hanh and her husband (Hoang Mai, Hanoi) have been continuously looking at houses on weekends. The couple has saved and borrowed about 2 billion VND. Ms. Hanh plans to buy an apartment in Linh Dam area. However, when the project opened for sale, the apartment price offered by the investor was up to 50 million VND/m2. A 70m2 apartment costs over 3 billion VND, which is not suitable for her financial ability. After learning about another project in Phap Van area, the apartment price is also over 35 million VND/m2, the couple had to shake their heads at the apartment.

After calculating, Ms. Hanh decided to buy a small house in an alley. In some areas of Hoang Mai district such as Linh Nam, Ngoc Hoi, many houses are for sale for only about 2 - 3 billion VND, with an area of ​​about 40 square meters, in an alley. Although it is inconvenient to have to travel in the alley, there is no monthly service fee. Not to mention, the price of real estate can increase over time, while apartments will decrease in price when degraded.

Apartment prices are quite high, with around 2 billion, the only option is an old apartment. After considering, my husband and I chose the house in the alley, after all the land and house is ours, ” said Ms. Hanh.

Ms. Pham Thi Thuy, a real estate broker in the West of Hanoi, said that the general price level of the Hanoi real estate market is flat, after a period of feverish growth. While many segments and types of the real estate market are in a state of loss, prices are falling sharply, and transactions are frozen, private houses in alleys are priced at around 2-4 billion VND/unit, because they are aimed at real demand, so transactions are still regular, although prices are flat.

Ms. Thuy said that since the end of July, the number of customers asking to buy has increased slightly compared to previous months. The growth comes from customers from the provinces who come to Hanoi to buy a house for their children to study at university in Hanoi. Private houses in alleys with prices ranging from 2-4 billion VND/unit are of interest to this group of customers because the price is more affordable than townhouses, private houses in large alleys, and main streets.

Regarding the attractiveness of landed real estate, a leader of Savills said that in recent years, although the market has fluctuated a lot, the profit margin of landed real estate has had a high price increase, fluctuating between 20-25% per year. In some projects, the secondary market price has even increased by 40-50% per year.

He also assessed that landed real estate is still an effective investment channel and a safe haven in the context of inflation continuing to increase in the near future. This product line is suitable for investors with stable financial flows, who can invest in the medium and long term.

Ngoc Vy



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