Mr. Tran Xuan Ngoc, General Director of Nam Long Investment Joint Stock Company (stock code: NLG), commented that the real estate market has faced difficulties in recent months such as lack of confidence among home buyers, high demand for real housing compared to the ability to supply products from investors, and low liquidity...
The information was shared by Mr. Ngoc at the Nam Long Day event - Overview of the real estate market 2023-2024.
In that context, Mr. Ngoc assessed that the market's opportunities lie in products that serve real housing needs, meeting people's desire to own their first home.
Nam Long's board of directors determined that affordable products will play a key role in the next 10 years, accounting for about 10-15% of the company's revenue.
Nam Long's General Director announced that pre-sale sales had improved significantly in October and November. If in 9 months, pre-sale sales reached 1,769 billion VND, then in the next 2 months, this figure reached 3,038 billion VND. That means in 2 months, the company recorded sales of nearly 1,300 billion VND.
In the last month of the year, Mr. Ngoc expects to have an additional pre-sale of about 1,000-1,500 billion VND.
Nam Long leaders acknowledged that compared to the plan, these numbers are still quite modest, but the trend in the past 4 months has been positive and encouraging, as the market has been supported by a lot of positive information.
Mr. Ngoc also updated the legal status of some Nam Long projects. In Can Tho and Long An, the Nam Long - Can Tho social housing project and The Pearl subdivision of Southgate received sales licenses in October.
In Dong Nai, the Izumi City project has been updated with its investment registration certificate. In Ho Chi Minh City, the Akari City project has completed all financial obligations related to land.
The real estate market is said to be recovering confidence (Photo: QA)
Ms. Duong Thuy Dung - CEO of CBRE Vietnam - said that looking at the rate of products sold on the market in recent months compared to the beginning of the year and the same period last year, it can be seen that homebuyers' confidence is gradually recovering.
A project in Binh Tan opened for sale in November with an absorption rate of about 80%, before that another project had about 65%. Investors applied many measures to support customers such as extending payment schedule, discounting on selling price, incentives for customers paying early in cash...
However, experts from CBRE Vietnam believe that there is still a lot of work to be done to restore confidence, in which the State's management policy needs to "match words with actions", and although interest rates have decreased significantly compared to 12 months ago, they are still not enough to meet buyers' expectations.
For the market to grow again, buyers need to be more open to borrowing.
Mr. Pham Dinh Huy, Investment Director of Nam Long, expressed a different view on homebuyers' confidence. According to Mr. Huy, the current supply in the market is limited, interest rates are lower than before the Covid-19 pandemic, but why is it difficult for investors to sell houses?
The reason given is that investors are in a difficult situation, having difficulty mobilizing capital from bonds, banks and customers.
On the contrary, home buyers can be completely assured because they buy a project that already has a sales license, and can proceed to sign a sales contract, which means more complete legal documents, instead of previously only being at the construction license step, deposit contract...
Mr. Huy believes that when the law in the market is applied more strictly, the general confidence of the industry will be better. Investors who want to maintain their reputation must implement projects on schedule, hand over as committed and sell with a license.
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