'Bright colors' of the real estate market in the first quarter of 2025

Real estate supply continues to improve in the first quarter of 2025 - Photo: VGP/Toan Thang

Housing real estate supply continues to grow positively

Research data from the Vietnam Association of Realtors (VARS) shows that in the first quarter of 2025, the total supply of Vietnam's residential real estate market will reach 27,000 products, an increase of 33% over the same period in 2024.

Of which, there are 14,500 new products for sale, only about half of the previous quarter but tripled compared to the first quarter of 2024.

The supply of residential real estate continues to grow positively, as the number of newly approved housing projects is improving, with an increase of 18% in 2024. Thanks to the Government's efforts to remove legal obstacles, hundreds of real estate projects have been restarted and accelerated in implementation and launch to anticipate the market recovery.

Ms. Pham Mien, Deputy Director of the Vietnam Real Estate Market Research and Evaluation Institute, said that housing projects opened for sale in the first quarter were generally well absorbed, thanks to the increasing trend in real housing demand.

Notably, the signal of monetary "loosening" from the State Bank, with the Government's direction to maintain low interest rates, has contributed to stimulating real estate demand, not only from home buyers but also from individual investors.

According to VARS, the overall absorption rate of the whole market reached 45%, equivalent to 12,273 transactions, equal to 50% of the previous quarter but double the same period in 2024. VARRS analysis shows that the absorption rate of newly opened projects is still very positive, reaching about 60%, especially in provinces and cities with specific information on planning, infrastructure and new projects such as Hanoi, Ho Chi Minh City, Ha Nam, Hai Phong, Bac Giang, Da Nang, Thanh Hoa, Thai Nguyen.

The apartment segment continues to lead the market - Photo: VGP/Toan Thang

Apartment segment continues to lead the real estate market

According to VARS data, the apartment segment contributed to 72% of transactions. The absorption rate at newly launched low-rise projects reached about 52%.

Some projects with high selling prices still attract demand for housing and investment from customers who want to shelter their assets for the long term before the information is fixed about the implementation of new infrastructure.

In the secondary market, transactions and prices of low-rise products and land plots also recorded a sharp increase. Especially in the suburban areas of Hanoi, benefiting from a series of newly implemented projects with high selling prices.

Many villas and townhouses that have been abandoned for many years are being sold at prices that have increased by up to 30%, even double compared to 2023.

However, in reality, the transaction volume and transaction price only increased in land lots with reasonable investment value, usually under 2 billion VND, with guaranteed legal status in areas with infrastructure under development and full utility services.

The implementation of the 1 million social housing project has also shown many positive signs with the scale of completed and licensed social housing projects, starting construction in 2024 increasing by 46% and 13.4% respectively compared to 2023, especially in cities with large housing demand such as Hanoi, Ho Chi Minh City, and Hai Phong.

In particular, the Prime Minister has assigned the target of completing social housing for localities to add to the socio-economic development target, forcing localities to take action more drastically and effectively and not to stand "on the sidelines".

Not only promoting the implementation of social housing projects for designated subjects, the Government also has many moves to support the housing needs of people, especially young people, and has had specific results.

Accordingly, immediately after the Prime Minister requested research to implement a credit package program to support people under 35 years old to buy houses, a series of preferential loan packages following the above orientation were "launched" by commercial banks.

At the same time, the Prime Minister also directed research to establish a National Housing Fund, develop social housing and low-cost housing in large cities, which has contributed to increasing people's confidence, especially those with low incomes.

Notably, the differentiation of supply between localities and regions has improved in the first quarter of 2025.

Industrial real estate continues to maintain strong growth momentum in both supply and demand - Photo: VGP/ Toan Thang

Industrial real estate continues to be a "bright spot"

According to VARS data, the industrial real estate market in the first quarter of 2025 continues to play a leading role with strong supply growth and demand still on an upward trend.

In the first quarter of 2025, the whole country will have 15 more industrial park infrastructure investment projects adjusted/approved by the Government with an area of ​​4,930 hectares, nearly 3 times higher than the first quarter of 2024 and equal to 54% of the whole year 2024.

Demand for industrial real estate continues to remain high and is on an upward trend thanks to strong FDI inflows, especially from high-tech industries.

The tourism and resort real estate market continues its "slow but steady" recovery trend as investors find new directions for their projects and investment demand recovers. The supply of tourism and resort real estate continues to improve. The entire market recorded 950 new products for sale, 2.4 times higher than the previous quarter and nearly 3 times higher than the same period in 2024, although it is only 18% of the same period in 2022.

Newly launched projects were absorbed relatively well, with an absorption rate of 51%, equivalent to more than 400 transactions.

The commercial office and retail real estate market also recorded stable growth thanks to increased supply and demand along with economic growth.

According to VARS's general assessment, Vietnam's residential real estate market has had a relatively positive start in the first quarter of 2025. Although there are still many challenges, especially the impact of new US trade tariffs, with proactive adaptation and flexibility in policy implementation, Vietnam will minimize the impact of tariff policies and find new opportunities in the challenges.

Especially the trust in the private business community, including real estate businesses. When the private economy is properly recognized, with many mechanisms and policies to promote development, certainly real estate businesses, with a key role in the sector, will continuously grow and contribute to promoting the prosperous development of the real estate market in particular and the economy in general.

Toan Thang

Source: https://baochinhphu.vn/nhung-gam-mau-sang-cua-thi-truong-bat-dong-san-quy-i-2025-102250416110149386.htm