Many positive signals for the real estate market in the third quarter of 2023

The market has been given more attention than before.

According to Batdongsan.com.vn data on the real estate market in July, the number of real estate listings nationwide increased by 4%, and the level of interest also increased by 6% compared to the previous month. This upward trend is being recorded in all types of real estate such as apartments, land, private houses and townhouses. Of which, apartments, villas and land recorded the best recovery in search volume, with an average increase of 6-7% compared to the previous June.

The rental market has also recently recovered, with demand for apartments and boarding houses nationwide increasing sharply, by 14% and 33% respectively compared to the previous month. Private houses and townhouses also saw an increase in demand of 3-4%, but mainly for rental premises outside the urban center.

Many positive signals in the third quarter of 2023 show the recovery of the real estate market. — The real estate market is showing many positive signs in the third quarter of 2023.

In the Ho Chi Minh City market alone, the number of listings for sale increased by 6%, and the number of searches for real estate increased by 8%. The types of properties that recorded the best increase in demand last month were villas and suburban land. The growth in demand for these two types was 8% and 9%, respectively, compared to the previous month. In the apartment segment alone, the search demand only increased slightly by 3% last month, mainly concentrated in the mid-range and high-end segments, with prices ranging from 30 to over 50 million VND/m2.

As for the rental market, the number of searches for apartments in Ho Chi Minh City increased by 14%, and for rental houses and rooms increased by 32% in July. Areas with high rental demand in Ho Chi Minh City are concentrated in districts 7, 9, Thu Duc City and Binh Tan. In addition, Binh Thanh, Phu Nhuan and Tan Phu are the inner-city districts with the highest number of searches for rental rooms in recent times.

In addition to Ho Chi Minh City, neighboring provinces also recorded signs of recovery when the number of sales and demand increased significantly. In particular, the number of real estate searches in Long An increased by more than 5%, Binh Duong increased by 3%, Dong Nai and Ba Ria - Vung Tau provinces also recorded a slight increase in real estate interest of about 1-2%, even some areas that are receiving a lot of attention such as Nhon Trach, Ben Luc, Duc Hoa, Thuan An also recorded an increase in real estate searches of 8 - 11% in July.

Supply is supplemented by new projects

Along with the interest of investors, since the beginning of the third quarter of 2023, the market has shown more positive signs due to new supply from many projects. Many investors have started to launch many projects in the suburban areas of Ho Chi Minh City and neighboring areas. Among them are many projects in the mid-range and affordable segments, forecast to support current actual demand. Although the number of products about to be launched is not equal to the first period of 2022, it will be a great support for the market to gain momentum to recover clearly from mid-2024 onwards.

Many experts also commented that the most difficult period of the real estate market has passed and more positive signals have appeared such as signs of economic recovery, interest rates cooling down, credit room opening, public investment being boosted, especially infrastructure projects being launched across the country... In addition, many policy support moves of the Government have also begun to "permeate" into the market to accelerate recovery in the coming time.

Through research, many investors have begun to look for products with bargain prices at the present time. With many products still in the preferential or loss-cutting phase, the investment risk of new entrants to the market is also reduced. Many opinions say that this is also the time to determine the bottom of real estate, a buyer's market.

However, according to experts, although investing at this stage is less risky, caution is needed because of information confusion. In this stage of mixed gold and copper, it is necessary to carefully observe the market before making a decision to avoid buying fake "loss-cutting" products. With the market having too many attractive products for investors, many unreliable projects have also been recorded to release fake news to the market.

In addition, experts also recommend that investors should not search widely but focus on real estate types close to the center, with full legal documents, belonging to reputable investors in the market to limit risks. If these requirements are met, land and townhouses are types with high profitability in the coming time. Not to mention that they can be held for a long time if the market suddenly appears negative factors at the end of the year.

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